Why (in my opinion) everyone should learn business skills...

[Dien Rice]

Originally Posted by MMacGillivray

I can hear my former accountant scolding me for thinking that sales were the main consideration. If you don't know how much profit you're making for each sale, you could be losing money on each transaction. So, yes, it's great to drive sales forward but only if you've got a good handle on the costs.

Hi Margaret,

Of course, if you don't know how much you're making in profits - you might not be making any! I wouldn't be surprised if it is not too uncommon that people make a lot of sales, but because they haven't fully counted their costs, they don't realize they're making little or no profit!

I know I've come across examples like this (I think it may have been watching the UK show "Dragons' Den" - which is like the UK version of the US show "Shark Tank"). Every now and then a business comes along where the business isn't making any profit (or is making very little profit) - but they don't seem to actually realize it, because they're focused on their sales only, and haven't fully counted their costs...

Best wishes,

Dien