Tag Archives: expenses

PROFIT FIRST

Posted on by

book

You get what you focus on. In business, it means focusing on profit.

A business without profit will die.   Being passionate about your work may keep you in the game longer, but without profit you are still losing money. You have to keep business expenses in control. There isn’t a shortcut that allows you to succeed if don’t have a clear path to profitability for your company.    Every business may go through short cycles when expenses exceed income, but allowing it to happen repeatedly without making adjustments is the definition of insanity – doing the same thing over and over without making changes, expecting a different result. Continue reading →

It’s Beginning to Look a Lot Like Numbers…

Posted on by

kooky-numbers

The season where we all start to look at our numbers will quickly be upon us. The end of the year. The context that those numbers are in matters, so take a deeper look this year until you understand what your numbers are really telling you.

Let’s say you brought in $200,000 of revenue this month. Is that good or bad? It depends. If you brought in $100,000 last month, it’s good. If your expenses were $400,000 this month, it’s bad. Everything in context. Continue reading →

Is It Time to Move Your Business Out of the Spare Bedroom?

Posted on by

bedroom

I found this article from Doug and Polly White to be right on target.

Moving from a home office, where occupancy costs are effectively zero, to rented space is a big decision.

Obviously, monthly expenses will increase. You’ll have to pay rent. If it’s not included in the rent, you’ll have to cover utility costs. In some circumstances, there may be other monthly fees for services such as cleaning and grounds maintenance. There will also be one-time costs. You may need to hire movers or purchase furniture, office equipment, or phone systems. Continue reading →

Is Your Business Viable?

Posted on by

 

Wordle

Why is it that we put so much emphasis on a business plan?  The goal is to be able to determine if you have a viable business.  What is a viable business?  A business that is freestanding, self-sustaining, capable of making it without outside financial support.  That means no credit card debt, no loans, just the business itself, standing alone, able to meet all the expenses from the transactions of the business. Continue reading →