Revenue Hides Inefficiencies. Profit Exposes Them - Profit Tip #20 of 99

When I look at a business, I’m less interested in revenue.

Revenue can be all talk with no walk.

Profit tells the truth.

I’ve seen $3m businesses making less profit than $1.5m businesses.

Not because of demand.

Because of how the business operates.

Margins.

Cost of sales.

Delivery efficiency.

Pricing discipline.

The levers that determine whether a business works for the owner or the owner works for the business.

If you want to improve your business this year, start here:

Understand the middle of your P&L better than anyone else.