In this edition of Franchise Direct’s Business Insights video series, Franchise Direct CEO Sean McGarry talks about generating profit for your business.
Download Business Insights #10, or view in the player below
Profit, as Sean says, is “the magic word for every business”.
“Every business must create profit. That is the lifeblood of the business. These are the internal funds that are created by the business that if retained in the business, can help it to grow and develop and fund its working capitol.”
Sean urges that every businessperson, particularly during a recession, continually monitor their income and expenditure, especially in this changing business environment. It is vitally important that businesses avoid accruing the hardcore debt that could hang like a millstone around its neck.
If your profits are down, Sean urges you to address the situation quickly. If necessary, it might be essential to “cut back the size of the business, get it back profitable again, get yourselves into a position where you can expand again.”
Finally, Sean offers this bit of insight regarding profit:
“Always remember, profit is the internally generated funds, and we do mean that, and we particularly need our businesses profitable at the moment. It is critical you do get advice. You must have advisers to help you on a monthly or annual bases in regards to specific questions you may have.”
Visit the Franchise Direct blog every Friday for more advice and information from Franchise Direct CEO Sean McGarry.