There is a new formula for businesses these days. It is Profit First. The system is simple, yet very powerful. The profit formula we have been taught is that Sales – Expenses = Profit. The problem with this formula is that profit is something hoped for, something leftover.
Sales – Expenses = Profit
Sales – Profit = Expenses
With Profit First you flip the formula to Sales – Profit = Expenses. Yes, the math is the same, but how this small change affects the business owner’s behavior is HUGE. With Profit First, you take a predetermined percentage of profit from every sale first, and only use the remainder for expenses.
Why We Have Become a Certified Profit First Professional Firm
We have been working with small businesses for many years. We have seen small businesses struggle with making a profit. Oftentimes the financials may even show that the business made a profit, but the business owner wonders where the profit went. Or the business owner wonders if there should be more profit.
We met Mike Michalowicz in 2014. Mike is the author of the book Profit First. We started implementing the Profit First cash management system for our firm within one week of meeting Mike. The system works! We have been thrilled with our own results and want to share the Profit First method with our clients.
Are you ready to maximize your profits? Contact us or call us at 408-778-1843 to schedule your FREE call to find out more about Profit First.