March is the time when most businesses start collecting and turning over their documents to their accountants to prepare their taxes. For some businesses, it is pulling out a shoebox of receipts, for others it may be a scramble to bring their books up to date. In either case there is a certain level of financial “madness” that happens in March. There is a simple way to avoid the rush and improve your business at the same time.
If you’re like most companies, at some point you’ve had a large customer that’s made up a majority of your income. We refer to them as giant clients. It’s hard to look past the steady stream of orders, and the big fat checks. In the back of your head you know you’ve got all your eggs in one basket but it’s hard to think about that when you are so consumed in the day-to-day of delivery and service. It’s a good idea to start diversifying your portfolio of customers—adding more and possibly in different industries. You’ll need to get creative and here’s how…
OK, I’ll be frank. Sometimes business owners can be the greatest downfall of their own companies. You’ve probably heard the hundred ways this is possible from management and HR issues to lack of “business” skills. I’m in the business of finance, so I’ll talk about only one—handling money. There are two scenarios where a business
Many companies that offer unique or custom products figure out what to charge by adding up their costs and tacking a markup on top of that. That’s called cost-plus pricing. However without being careful, you may find that cost-plus pricing can actually benefit your customers more than you.
Have you ever wondered why you may be selling more and more but aren’t making any more money? You may have a problem with your mix. Just as too much of one ingredient can ruin a recipe, mix can make the difference between profitability and losses, a cash crunch and money in your pocket. It
If you’re like me, you’ve gotten dozens of emails about why you should set up a budget for 2011. The word “budget” often spurs a collective groan. It sounds so restrictive. Not to mention the effort that needs to go in to putting one together and the tediousness of all that number crunching. No thanks.
I used to row on the crew team in college. For those of you who know me, at 5’2″ I’m not exactly the typical long and lanky rower-type. Despite my lack of height we did pretty well for a bunch of novices—and even won some regional races. But that’s beside the point. The boats we
For any business to be successful, they need to have a good plan looking at the 4Ms of business: Money. Do you have enough money so that your business is paying its own bills? Or does the owner or investors need to sink their funds into the business to keep it afloat? If you are
If you are puzzled by your profitability, looking at your P&L will give you only part of your answer. If you are trying to figure out why you are not making any more money even though your sales are increasing, or if your bottom line hasn’t moved from the last few years, here are some