Create a business dashboard. Build a system of records showing workload, cash flow, profitability, staff needs, stock levels, marketing budgets, and other key indicators about the health of your business.
One of the biggest mistakes rookie entrepreneurs make is failing to separate their personal and business finances
BQ Making Profit and Generating Cash Flow
The second of the 7 Big Questions of Small business. Personally I believe the question about making money is even more important than the first question about growth. Business Growth only makes sense if you end up with more money in your bank account as a result.
Many of the numbers to control your business with come out of your bookkeeping system, but there are also a bunch of really important numbers that you obtain from different sources.
The biggest opportunity in the development of your small business is to work out what the critical KPIs for your business are. Finding your KPI’s starts by conducting an objective review of your business from the outside looking in. It forces you to really get under the bonnet.
Not All KPI’s are equal… Rick Polito helps us work out which KPI’s we ought to focus on to grow our business with control
At the end of that quarter, Jamie couldn’t believe his eyes when he printed out his profit and loss report that showed an increase in net profit of 20% over the previous quarter. After 4 months Jamie also noticed that the backlog had shrunk by 50%.
Doing business without numbers is like playing football without a scoreboard. You simply cannot run any kind of business for any length of time without keeping your eye on the numbers.
1001 Business Bedtime stories…… Truth 3, Finger on The Pulse Here follows another one of the “1001 Business Bedtime Stories” … Every story comes straight from the New Perspectives Small Business Bootcamp, stories of business and courage and they illustrate…