All business owners need to know if their business is healthy . Here are a handful of key numbers that you need to keep an eye on. A quick look once a week will help surface any early warning signs for you to investigate.
- Your cash flow (ie: will I have enough cash to pay my debts in the following weeks), including:
- Current bank balances
- Most urgent payments due
- Old customer debt
- Interest and debt repayment schedules
- Profit/loss per product/service (ie: should I continue to sell this product/service or is it making a loss on every sale), including:
- + Sales price, less discounts
- – Material and labour costs
- – NB: marketing, selling and banking fees
- Actuals vs budget (ie: are things going as expected or does the plan need to be looked at again)
Most of this information can be pulled straight out of your accounts and shown on your dashboard to check each time you log into them. There are also some great products such as Syft that can give you more details straight from your accounts. Ask us if you’d like to know more.