Profit Drivers
Profit is the amount of money a business has remaining after subtracting expenses incurred from revenue generated over a period of time.
The 6 drivers of profit are:
Number of Sales Transactions
Average Sales Transaction Value
Cost of Sales (as a % of Revenue)
Payroll Expenses
Marketing Expenses
Overhead Expenses
Similar to the revenue drivers, a seemingly insignificant change to these profit drivers can greatly impact your overall profit margin.
Working to increase profit isn't necessarily as difficult as you may believe. As with revenue, small changes can very easily produce big results! Let Farrell Financial show you how simple it is to increase the profit margins of your business.
