PROFIT MODEL WORKSHOP
In this two-hour workshop you will learn the tools and techniques to ensure that your business’s profitability stays on track.
1. Business Components
Using the information from your One Page Business Plan, we map out the main components of your business that determine your income, costs and profitability.
2. Income and Cost Drivers
We demonstrate a simple model to create a forecast profit for your business for the coming year and years 2-5.
3. Income Assumptions
We work with you to create a model to allow you to forecast your business’s income over time, based on a number of assumptions that can be adjusted as your business evolves.
4. Detailed Cost Analysis
In this session, we identify and categorise the costs of your business (fixed, variable, investment, financing) that will be critical in working out your overall profitability.
5. Increasing Profitability
We look at some of the tools to maximise the amount of profit available for distribution, including company structure, ownership, taxation, and dividend policy.
Many profitable businesses fail because they run out of money. We review the key differences between profitability and cashflow and show you how to create a simple cashflow forecast tool for your business. We cover tips to improve your positive cashflow and what to do if your forecast shows a cash deficit.