You’re working too hard to not have the profit you need.

You sell your products and services, but realize that after each month, you’re no further ahead.

Your bank account is dismal and there doesn’t seem to be much left to invest back into your company.

Does this sound familiar?

If so, you may be suffering from the profit conundrum.

This is suffered by those businesses who are selling, but not making any money.

This is no bueno.

If you’re not familiar with the 4 Levers of Profit, then you’re going to love today’s article.

Let’s dive in!

There are a number of metrics as a business owner for you to consider in the running of your business: revenue, pricing, expenses, profit, but there’s another important piece to knowing your numbers.

Understanding your cash flow.

Cash flowing through your business is like water flowing through a river; if it dries up, the environment around that river dries up and suffers.

You could have sales going through your business, but there’s a timing to cash flow and if that timing is off, it could hand-tie your business, inhibiting growth. If cash is running like that flowing river, then you have enough to fund growth and allow your business the flexibility it needs to operate.

The considerations that go into cash flow are largely around the timing of when money comes and money flows out, and ensuring there’s more coming in than going out.

For money coming in, consider things like…

Even though I called this the second driver, these are really in no particular order and not necessarily in the order in which we would focus on for your business. If you missed the first driver of company value that I spoke about, you can check it out here.

To grow your business and to build a valuable asset, this is likely the most common area we think about for a business: Financial Performance.

Financial Performance is simple to understand but not necessarily easy to achieve…