Did you know that nearly 82% of businesses fail due to poor cash flow management?
If you want to know whether your business is thriving or just surviving, there are 3 key numbers you need to track.
In this episode, I’ll explain what they are, why they matter, and how they can give you a clear picture of your business’s health. Stay on top of these 3 metrics, and you’ll have the confidence to make smarter decisions, grow faster, and avoid costly mistakes.
You don’t need an expensive degree in finance. Just a little focus on this episode will guide you through.
Timestamps:
00:00 Welcome to the $100 MBA podcast
00:33 Why Tracking Numbers Is Crucial for Business Success
01:53 Free Profit and Loss Sheet to Track Metrics
03:07 Metric #1: Revenue
05:45 Why Tracking Revenue Isn’t Just Checking Your Bank Account
06:39 Metric #2: Profit Margin
07:15 Difference Between Gross Profit Margin and Net Profit Margin
10:20 Metric #3: Cash Flow
11:45 Example of Positive Profit, Negative Cash Flow
14:24 Omar’s Daily Habit: Reviewing Profit and Loss
17:25 Wrapping Up with Free Templates and Resources