Profits, profits anywhere?

Let’s be honest, you are in business to make money. And, you’d like to make enough money to cover your costs and your expenses, pay yourself, and have some left over.  It’s a good, and attainable, goal.

Ask yourself, is your company truly profitable? The basic formula for profitability is income – expense = profit. If you have your Profit and Loss statement in QuickBooks or another program, click here to use our easy form. If you need to create a P&L and Balance Sheet, click here to download an Excel file.

If you’ve been running a company that is consistently not profitable – and we mean month after month, year after year – you should close down. However, if you are like the vast majority of business owners you have highs and lows, and do a bit better than break even when the year is done.

How do you become more profitable?

There are three main causes that affect a company’s profitability. Pick one that sounds interesting to you and let’s begin.

It Costs Too Much to ProduceNot Selling EnoughOperational Inefficiencies