Description: Bottom Line OVER Top Line Growth is key. You’re going to need to go “against your instincts” at times during your growth phases. This is one of those times. It’s easy to focus on gross income / invoicing growth. But it’s WRONG, once your phone is ringing by itself with inbound inquiries. Avoid the temptation to chase the bright shiny object of TOP LINE. It’s your BOTTOM LINE that matters most. It’s the ONLY thing that matters. How much money you KEEP is the VALUE of your company, not how much money you MAKE. Fine tuning your salaries to be fair and keep staff, reviewing your expenditures & overhead expenses on a regular basis (quarterly or bi-annually) will keep you abreast of where you are leaking money paying out in areas that aren’t necessary, or you may have grown out of needing. Don’t lose sight of the money going out. Now your success should be measured in percentage of PROFIT MARGIN. Reputation matters, both internally and externally now more than ever. Keeping staff happy with fair pay and flexibility is your internal culture and your responsibility as the owner & leader in your organization. It’s way easier to keep someone than to hire someone. That said, you need to know when to “hire slow” vs. “fire fast”. It’s both an art and a science. And you need to keep asking for reviews from your happy clients. You will NOT please everyone, and you will have unhappy clients occasionally. Those are lessons learned, to be reviewed and make internal edits to avoid in the future, at all costs.
You will LEARN:
- Where to adjust your attention, from TOP line to BOTTOM line P&L and Balance Sheet data.
- Why tracking and adjusting to measuring PROFIT MARGIN vs. gross income growth is crucial to your sustainability.
- How to focus on REPUTATION, in both internal culture and staff retention, as well as external reviews and feedback.