Ever wonder about the true importance of financial literacy in business? I had an enlightening conversation with Ellen Rohr, president of Zoom Drain Franchise LLC, about just that. One key takeaway - never ignore your numbers. Understanding them can make the difference between just getting by and truly thriving.
In this episode, we discussed:
Discussion on the challenges of starting a podcast and the importance of perseverance
Importance of financial literacy and the role of accountants in helping entrepreneurs understand their numbers and improve profitability
Ellen's experience in the plumbing industry and the importance of pricing strategies
Need for tradespeople to stay up-to-date with pricing and not be afraid to raise prices
Importance of understanding the costs of doing business and fully burdened labor cost
Importance of having a good relationship with bookkeepers, CPAs, and other financial professionals
Key performance indicators (KPIs) for businesses: cash flow, profit, and sales
Concept of profit first and structuring expenses around planned profit
Importance of building financial strength gradually and making smart financial decisions to improve cash flow
Managing payroll and finding efficiencies in the trades industry
Importance of truck inspections and addressing inefficiencies and unproductive hours
Profit leaks in family businesses and the need to address underperforming relatives
Listen to all episodes at https://profitablehomeservices.com/
Get a free copy of the Path To Profits Book at https://yourpathtoprofitsbook.com
