5 STEPS TO HIGHER PROFITS
We achieve higher valuations for our clients by increasing profitability which forms the basis of that valuation. We achieve this by creating a set of profit metrics specific to your business vs generic accounting metrics. Then we MEASURE, ANALYZE & IMPROVE THESE METRICS by more efficiently allocating your resources via predefined plan. These include: 1) MONEY; 2) TIME; 3) CAPITAL; 4) ASSETS; 5) LABOR; 6) MARKETING. We apply our 5 Step Process with this philosophy in mind: If you optimize your resources you optimize your profits.
Our 5 Steps To Higher Profits mimics how large billion dollar companies maximize profits & business value, manage risk & plan. We provide the same tools for small businesses to achieve their profit goals.
Phase 1: Review. This is when we conduct a detail review of current business practices. It first starts by defining your businesses unique value statement or what differentiates your products & services. This serves as the basis of developing profit metrics that align & support it that drives customer adoption & revenues. Our process starts by visiting and understanding the business by interviewing the owner/execs ,using the products or services offered by the business and competitors. By doing so we can better understand the business's overall strategy as well its core competencies, its uniqueness and ultimately its competitive advantage.
Phase 2: Audit. This is when we conduct a business and finance management process, expense & collections audit. The fastest way to improve profitability is to review current business practices and where money is spent. In this phase we review vendors to see if we can leverage our network of vendors to deliver better services and or lower prices. Also we deploy our "bookkeeping best practices" whereby we make changes to financial management process that saves time & money. That may include adjustments to invoicing, expense payment and overall record keeping. Further, quite often the methods of payment used in business are often either expensive or inefficient. This phase usually delivers significant savings quickly to our clients. Lastly, each of the resources listed above are analyzed for efficiency to determine where improvements can be made.
Phase 3: Capture. At this phase we review your bookkeeping to assure your business is capturing the necessary data to improve its valuation. If not we implement a way to develop this. This can occur within your bookkeeping system and/or outside of it by using other software. In the end the goal is to create data necessary for a set of profit metrics so they can be measured, analyzed and improved.
Phase 4: Measurement & Analysis. After we have the necessary data to create a set of profit metrics we then define them to track & analyze them over time. We look at past, present and future/forecasted metrics.
Phase 5: The Profit Plan. The Profit Plan is focused on the IMPROVEMENT of the stated profit metrics. We do this in a written report that summarizes what steps need to occur to improve the stated metrics. Over the term of service we then implement & manage the plan to assure its success.
Ultimately, by creating a plan to increase profits and managing its implementation we improve the value of our client's business.