When you own a small business, there are dozens of people and projects vying for your time and attention. It can get hard to figure out where to focus your resources and easy to become overwelmed.
Furthermore, in my years of consulting what I have found to be the difference in success or failure of a business was not the amount of money, a business owner had on hand, nor the education level of the management team. It was his or her daily habits and beliefs, that determined success or the lack there of.
What is profit? It is simply, how much money the business makes after transaction and paying taxes is over.
Traditional thinking about profit says, Revenue – Expenses = Profit. However, this method fails to measure lost opportunity.