How Do You Put Profit First in Your Business?
Profit is a positive, yet scary word for all us babes when we first start out. There will be times when ALL the money is coming in or sometimes that it might be trickling slowly. Either way, it’s important to set up solid money habits to make sure you’re always in the green.
A great way to start implementing good money habits is to start putting profit first. Whether that’s setting aside money every time you pay yourself, auto-scheduling money into your savings or updating that profit and loss sheet, make sure to take time for profit. See how these 3 Babe Crafted ladies put profit first in their business.
xx, Gina
Erika Vidal Holmes // Erika Vidal Holmes // IG
“I'm trying very hard to implement the Profit First system, where each time a client payment comes in, I hold back 2% in an account I'm not allowed to touch. Let's just say it's a work in progress!”
Tampa, FL
Jessica Santander // Project Moment Designs // IG
“Though my business is in the very early stages of the start-up phase, I've learned to respect profit first in order to not build an expensive hobby. The way that I ensure to put profit first is to set 2 dates a month where I take a certain percentage from my payouts and set this amount aside in a savings account that I won't touch. This helps me to visually see the cash flow of my business and if we're growing over time. As each quarter progresses, the goal is to subtly increase the percentage allocation to this profit first savings account and build up a lasting dream, business, and platform.”
Tampa, FL
Katie Hardie // Hardie CPA // IG
"Back to that bookkeeping! For me, putting profit first requires having financial information about my business that I can evaluate. A profit & loss statement summarizes revenues & expenses over a period which helps me identify which of my services are most profitable, if at all. Then I can consider whether I need to increase prices, more closely examine costs & process efficiencies, outsource, or all of the above."
Dunedin, FL
