In your company, is profit “whatever happens to be left over” after expenses are paid, or is it a goal you plan for? What if I told you that how you view profit has a direct impact on whether you’re likely to achieve one?
As a financial professional, I encourage the leaders I work with to see profit as a target that should be planned.
How do you plan for profit? First, find your break-even point. To do so, calculate your burn rate, which is gross profit less average monthly operating expenses. Multiply by 12, and that’s your annual break-even point.
