Know your real profit margins.
– As a small business owner, understanding your Gross Margin % is essential for financial success.
– This week, calculate your gross margin by subtracting your cost of goods sold from your revenue, then divide by revenue.
– Identify which products or services yield the highest margins to focus your sales efforts effectively.
– Regularly tracking this metric will help you make informed decisions about pricing and inventory management.
– Start taking these steps to enhance your profitability!
💡 Need support putting this into action? Reach out — we’re here to help.
References: David Neville Davis, The PROFIT Coach and Donald Miller, How to Grow Your Small Business.