…so could manage where you are going, not just where you’ve been.
My last post highlighted Fixed Overheads which are the usual cause of losses. When these are subtracted from Gross profit we have (if we are lucky) a surplus called Net Profit. This determines whether the return on your business investment is worthwhile. The only way to secure that is to have enough Gross Profit to comfortably absorb Fixed Costs. If that isn’t happening, I look forensically at pricing, costs of sale, fixed costs and recommend changes to get you back to the return you deserve.
My next post deals with Cash coming into the business. More important even than Net Profit.
Meanwhile, if you don’t have a FD, call me. I’m a fraction of the cost, and I work on the basis that every £1 you invest in me delivers at least a £3 return.
We are Accountancy and AI Business Advisor® specialists, building high performance for ambitious owner-managed companies.
