Part 2 Growth: Plan for It, Get It – Profit

PART 2

Growth: Plan for It, Get It

We will discuss the following: Sales, Planning, Leadership (management—motivation), and finally a discussion of wealth versus income.

Now that we have analyzed your business and corrected any of the items that an analysis of our variable and fixed costs brought to our attention, and more importantly, set up a usable, simplified weekly P&L, we are now in a position to look at growth. Growth is usually defined by revenue or sales. There are some business owners who looked at growth as being the number of employees they had; however, if you add employees, but you don’t add sales, guess what happens to your fixed or variable costs; they go up and your profit goes down. Consequently, I’ve always felt better utilizing sales as my main indicator of growth.

If we accept that using sales or revenue is the correct way of measuring growth, then we as the business owner have to some extent be a salesman and learn how to improve in this area.