Our mission statement of Empowering business owners with knowledge and understanding of the finances was penned, because I wanted business owners to succeed and believed having real, up to date financial information was a key to this.
But, with bookkeeping it became all about keeping businesses compliant with the Australian Taxation Office, while the real struggle for business owners was cashflow. This led to down a windy path of complicated spreadsheets and reports to try to help business owner’s see where the money leaks in their business were and make changes, but sadly it never changed behaviour in their financial management and some businesses did not survive.
As a bookkeeper I had a good understanding of our finances, but my own business was not really paying me well, it was a struggle each month to have enough income to meet the expenses and, it was really not profitable. (Actually, I was the last to be paid.) Business coaches were all about more clients and marketing, and more employees but that strategy made me take on the wrong clients and work more hours in the day than were available. It was implementing the Profit First system in my own business that changed everything.
With Profit First, I changed my behaviour in managing cashflow. With putting Profit first and implementing a bank account envelope system, I was able to pay myself and my staff well, see the expenses that needed to be cut and focus on my clients/business.
Then I started working with clients to implement the Profit First system in their business and help them improve their cashflow. In just over 18 months I went from seeing my business as a job of endless tasks and little reward to building a business that I love. Profit First has helped me dream again….