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Create more profit
Often I am asked how can I create more profit? One observation I have made that comes up time and time again it is not the sales of the company that need increased, in most cases they are satisfactory to a good result but closer attention to the costs which I call “profit with wings”. This type of profit flies away from under the noses of the business owners a lot of the time it can amount to 1 or 2% of net profit.
What is not evident is the relentless quest to find better and more cost effective ways of doing the same job. Small incremental improvements can have a dramatic effect on the overall profitability of a Balance Sheet, conversely failure to keep costs under control can soon lead to a cash flow crisis. I am nervous when I hear business owners expect their fledgling business to pay for a whole lot of expenditure which is often not necessary.
