Proudly serving the industry for which it was named for more than 50 years, Outdoor Power Equipment provides dealers who sell and service outdoor power equipment with valuable information to succeed in a competitive market.
Issue link: https://read.dmtmag.com/i/270157
OUTDOOR POWER EQUIPMENT w w w. o u t d o o r p o w e re q u i p m e n t . c o m 20 W hen it was time to bring your 2013 business year to a close at the end of December, was it necessary to borrow from your line of credit to pay end-of-year bills? If so, the New Year began with an operational expense debt burden. Have you said to yourself, "I enjoy owning and managing my business, but I'm tired of working for nothing."? Have you ever said to yourself, "Why do I keep running out of money at the end of the month (or year)? Something must change, but I do not know what to do."? With all due respect, I would say to you, "Stop selling your product and services for less than their value/worth." As a business owner, I place myself in this mix when I ask these questions. Are we not aware of our gross profit requirements? Are we not aware of our earning goals? Do we not know our annual break-even profit goal and time frame? We can and should know these numbers. There is no greater feeling than to be able to say to yourself, "By the end of September, we will have earned gross profit sufficient to paying all annual costs of doing business, including taxes. These last three months of profit may be identified as return on my investment." Call it what you will, but it's a feel-good feeling to have this amount of positive cash flow. One final question: "Will I have sufficient funds in the bank to get through the first quarter of a new year?" As we move closer to some answers, it's very important to remember these three golden nuggets of wisdom. Nugget #1: Owning and managing a business for profit and growth is a learned skill and cannot be inherited. Nugget #2: The only way to keep score in business is to count the money. Nugget #3: Never, never, never stop learning. Isn't it time to start learning and earning exceptional profits? Isn't it time to receive an equitable return on dollars you have invested? At Jim Yount Success Dynamics (JYSD), we have unwillingly participated in this recession. Together, let's say to ourselves, "I will not let these events change my dream." Yes, there are more challenges today than a few years ago. And yes, as a survivor of this recession, there are additional opportunities for growing sales, growing profit, and growing income. However, business as usual no longer works. For us to harvest our share of success, new business strategy must include a richer understanding and sharper focus on the "Five Keystone Pillars of Profit," their application, and results. When things are not producing as planned, make necessary adjustments and move forward. Let's revisit the third article in this series from December 2013 Outdoor Power Equipment by referencing that article's analysis charts, which re-appear on the opposite page, to receive the most from a simple yet powerful equation. Five keystone pillars of profit (Part IV): FEATURE STORY By Jim Yount Improving gross profit earnings Fourth article in a series Image ©istockphoto.com/ozgurdonmaz