Gross Profit vs Operating Profit Explained
Your profit and loss statement shows more than one kind of profit, and each one answers a different question. Gross profit tells you whether what you sell earns …
Category
Finance
Cash flow, pricing, unit economics and the financial basics every owner should know.
How to Track Project Profitability
A busy month can still lose money. If you run projects for clients, some jobs quietly pay for the others, and you will not know which ones until you track …
How to Handle a Cash Flow Crunch
A cash flow crunch can hit a business that is busy, growing and profitable on paper. Customers pay late, a big bill lands early, and suddenly payroll looks …
Days Sales Outstanding Explained
Days sales outstanding, or DSO, tells you how long it takes, on average, for your customers to pay you after a sale. It is one number, but it says a lot about …
How to Build a 12-Month Cash Flow Forecast
A 12-month cash flow forecast is a simple map of the money you expect to come in and go out over the next year. It will never be perfectly accurate, and that is …
Tax Deductible vs Non-Deductible Expenses: The Basics
Every receipt you collect falls into one of two piles: costs that can reduce your taxable profit and costs that cannot. Knowing the difference between tax …
Choosing a Business Bank Account in the UK
Your business bank account is the plumbing of your whole operation. Every sale lands there, every bill leaves from there and your accountant will spend hours …