https://www.completecontroller.com/wp-content/uploads/cclogo_main-long-300x63.png 0 0 Complete Controller https://www.completecontroller.com/wp-content/uploads/cclogo_main-long-300x63.png Complete Controller2017-06-13 18:10:032017-10-31 18:10:27How to Invest Profit Back into Your Business
The importance of investing in your business to generate growth and increase your future profit. Invest profit back into your business starting today.As a new business owner, it is tempting, when you finally turn a profit, to stuff all of that money directly in your wallet. Well, be patient, here are some reasons why delaying your gratification will really pay off! Invest profit into your business with these simple guidelines.
How much of my profit should I be reinvesting into my company; I need personal income too!Building your company to the point where it is profitable can be a grueling process, working extra long hours, scraping pennies together, and working harder than anybody else for zero reward. So, when the light at the end of the tunnel comes nearer, all expenses and everyone is paid and, what is this? There is still money left over! You think finally my work has paid off and, it has, but if you want to continue to increase that profit, it is extremely important to choose your next move correctly. Before you cash out, remember it takes money to make money,therefore investing some of that money back into your business will be an invaluable decision. Of course, you have financial responsibilities of your own, you absolutely need an income too, so find the right balance. There is no exact number but I have found that reinvesting about 50% of profits will get you moving in the right direction. This means if your net profit is $60,000 then you can afford to invest $30,000 into your company and, now you have a modest $30,000 a year salary. But invest that $30,000 into building and advertising your company, that number will increase as your company grows where pocketing that money halts your growth, you will continue to only generate a net profit of $60,000. Let’s say we invest $30,000 and because we were able to improve our company, next year your net profit is $120,000, again we invest half but we are pocketing that $60,000 that we refrained from keeping last year but with the opportunity to double our profits again!
Invest in my business, sure, but where? Here are three areas you can start with.We have established that it takes money to make money, but how can be a difficult question that really depends on your business and how much time and money you have to spend. Three options that are sure to be useful are; advertising, get your name out there show the world who you are; invest in increasing your skill set, you and your employees can benefit from new coaching and experiences; build your company to its potential, don’t underestimate your company, invest in its growth.
AdvertisingThere are tons of affordable ways to advertise your company and, with the world wide web, a lot of places to do it!
- Making your company a website.
- Social Media.
- Make a commercial