Profit First: Implementation Profit First
Day 5! Happy Friday!
When implementing your Profit First system do not get trapped in the details, your percentages do not need to be perfect, they will just give you snapshot of where you currently are.
The key to successful Profit First implementation lies in stringing together a series of many small steps in a repeating pattern, a simple rhythm that will give you clarity and control over your financials. (Michalowicz, Profit First).
For Chapter 4, our goal is to set our TAPs (Target Allocation Percentages). The Instant Assessment form is the starting point for you to ascertain all of your TAPs. TAPs are the goals in terms of funds that you will distribute to each of the designated accounts.
Take your time with this chapter, if necessary read it twice. Remember not to get trapped in the details. Determine your Profit, Owner's Pay an Tax percentages based on your industry and other factors as enumerated in the chapter.
For today’s selected podcast/blog click here: http://www.mikemichalowicz.com/episode-99-freedom-and-profitability-with-jonathan-pototschnik/
To Whole Businesses ~ Constance
I love that Mike has all the Profit First worksheets on his website, you can download them by clicking here.
You can also get access to Mike’s Wall Street Journal articles, book excerpts, and entrepreneurial tips by subscribing to his website. He has the first couple of chapters of Profit First for free!
Meet me on March 15th for a discussion of the book 'Good to Great' https://www.meetconstance.com/upcoming-events/beverlyhillsbookclub
Pick up a copy of February’s book 'The Goal: A process of Ongoing Improvement'