In an Integrated Business, the CEO and CFO should create a budget for the entire company and for each of the departments. They will create a projection on how much revenue each department will make and base their initial budget proposal on that amount.
This amount is taken to the board to be approved at the first board meeting.
An Integrated Business needs at least three months of cashflow in the bank at all times to serve as working capital. Anything above that, the owner decides how much, as a percentage, is reinvested into the company. That is what the budget is based on.
The budget will be reviewed on a constant basis. How the money is allocated should come from the bottom-up. The Leadership Team will create projections on how much each department will need. The GM will decide how that money is allocated. If the total amount for all of the departments goes over the total budget, the GM will decide which departments and growth ideas receive priority.
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