Chapter 2 – Financial Control – Rule your money
This is part of the ‘How to’ coaching series. An ongoing series of activities to make your business successful. Follow it step by step and see positive results as you develop a robust business model, set on a solid foundation.
Activity 27 – I plan for profit and set daily/weekly/monthly profit goals
‘How can I plan for the profit I’m going to make? I don’t even know where my next customer is coming from!’ That’s the sort of comment I get from most clients when we start this exercise.
You may not know the name of your next customer, but you have to be ready to serve them when you have enticed them to buy from you with your powerful marketing, and professionally carried out sales process.
Whatever approach you take, by doing something, you should see positive changes.
The ‘How to’ bit:
First, make a plan for continued growth and then see what you will need to do to achieve it.
It can be as easy as just adding a small percentage onto the next timeframe of your annual budget plan. For example, if you sold £5000 worth of stock last month, could you up it by 2% the next month? That would be £5100. In 12 months of continued growth, you would have £6216.87 per month. Just by a 2% improvement month on month you would see your sales increase by over £1200.
Alternatively, you may choose to take a more systematic approach. This could involve using data from previous results, and the link between your marketing campaigns through to sales figures.
What activities and tasks could you work on to give you that uplift? These tasks need to be implemented to drive up the Sales, Gross Profit & Net Profit. No point just selling more, you need to see the positive results on the bottom line.
If you would like help to develop your profit planning exercise, and to find out more about what activities could improve your bottom line by around 50%, follow this link and Contact Us…