Why businesses should stop begging for more funding when they’re blowing it on conferences and away days

Let’s get real: If your company is constantly asking for more funding while your executives, managers, and staff are jetting off to conferences, away days, and lavish “team-building” retreats, you’re doing it wrong.

It's time to have an uncomfortable conversation that’s been avoided for far too long. Many businesses, especially training providers, have made it a norm to chase after funding rounds, government grants, more funding, and various subsidies. Yet, these same businesses have a peculiar tendency to splurge on high-cost activities that have little to do with actual business growth.

The real question: Are conferences and away days really necessary?

Stop crying poor if you’re spending rich

If you’re knocking on doors for more funding and public funding while simultaneously spending exorbitantly on non-essential activities, you’re sending a very mixed message. It’s like asking for spare change while wearing a Patek Philippe.

Here are some tough-love recommendations:

• Audit Your Expenses: If you’re truly in need of funding, your first step should be a thorough audit of where your money is going. Cut out anything that doesn’t directly contribute to revenue generation or operational efficiency.
• Re-Evaluate the Purpose of Conferences: If the ROI of attending a conference is questionable, skip it. Virtual events and local team-building exercises can be equally effective at a fraction of the cost.
• Implement a Frugality Culture: It’s time to walk the talk. If funding is tight, everyone from the C-suite to the entry-level should feel it. No more luxury retreats, first-class flights, or unnecessary travel. If it’s not mission-critical, it’s off the table.
• Transparency with Stakeholders: If you’re going to request more funding, be prepared to show that you’re making sacrifices. Investors and the public (public spending) want to see that their money will be used responsibly, not for the next company jolly or conference.

The hypocrisy needs to end

It's hypocritical to beg for more funding while burning cash on frivolities. If your company is truly in need of financial support, then act like it. You can’t have it both ways: indulging in luxury under the guise of business development while claiming to be strapped for cash.

In a world where many businesses are struggling to keep the lights on, this kind of behaviour in my opinion isn’t just tone-deaf; it’s unacceptable. So, let’s cut the pretence. Focus on what matters — actual business growth, employee satisfaction, and sustainable practices. If you can’t justify the expense to your shareholders, public, employees, or investors, then it’s time to cut it out.

Don’t ask for more funding. Spend wisely with what you already have.

This article will ruffle some feathers, but maybe it’s time they were ruffled. It’s 2024, and the old ways of doing business aren’t just unsustainable—they’re reckless. If you disagree, I’ll be at my desk, not on a plane or train to another “must-attend” conference.

Feel free to let me know your thoughts in the comments below, especially if you’re reading this from your latest away day.