Why is it important to keep costs under control?

why is it important to keep costs under control such as running costs and start up costs





and why is is important to have budgetsWhy is it important to keep costs under control?
If your costs are too high, then you won't make a profit. If you don't make a profit, then you'll eventually have to shut down your business.





A budget is important so that you don't spend more money than you earn.Why is it important to keep costs under control?
A budget is a cost control measure.





Controlling costs is very important because it is the only area in a business that you can have a chance of controlling. You cannot control revenue (you can influence it but not control it). Revenue is basically a function of outside people doing business with you. However, controlling your costs is important because you do not want to spend more than you bring in for revenue...a business should not be operated as a loss...