All businesses need KPI’s, or key performance indicators, by which they can measure the performance of their business over time. Performance indicators should be structured in the context of the organization’s overall mission and direction and should be part of the strategic management process that connects short-term and long-term goals to specific business objectives.… Read more >
This is the book every business owner should have readily available. If you re a business owner, the truth is that at some point you will exit the business. Don t take that step lightly. Being prepared is key. Written by Jerry L. Mills, the founder of B2B CFO, this book takes you through a step-by-step process to help you get the most out of your business.… Read more >
This is our fifth and final installment for the blog post covering the topic: Cash Flow. Build a cushion of cash that will maintain you in emergencies. Establish a rainy-day fund. So, how much do you need in this kind of fund? Good question.
Many experts say that you need to be able to cover six-months of operating expenses. … Read more >
Let’s continue with our blog series on the topic of “building a business you can sell”. Last time, we discussed ‘recurring revenue streams’. In this blog post, we will talk about Consistent Profitability. In addition to recurring revenue streams, buyers will value profitability. Buyers will value the bottom line. Profit is always a good business goal.… Read more >
Have you ever wondered where the “bottom line” on profitability starts? It actually doesn’t start at the bottom. The “bottom line” starts up higher on the income statement with a healthy Gross Margin (GM) or Gross Profit Margin. Simply stated, GM is total sales revenue minus the cost of goods (services) sold, divided by the total sales revenue (expressed as a percentage).… Read more >