And so I thought I'd just tell you about the five takeaways that I took out of the book.
The first one is around break even. You know with all businesses we should always be working out what that break-even cost is uh and understanding how that relates to sales and cash flow uh but he's got some good thinking around that and talks about you know making sure that you're including a profit in that break-even piece.
The next one is around fair market remuneration. Quite often I see business owners are taking drawings or paying themselves below fair market rem and he's got some good commentary around that.
The next one is around labor to efficiency ratio and that's a really good KPI and for those that have listened to me speak before you'll know that I always talk about GP dollars and having a focus on GP and the labor efficiency ratio is a really good way to work out for every dollar of labour, how many GP dollars you produce. So he's got some good commentary on that and some other tips and tricks around KPIs.
He's got some good practical advice around incentive programs and some examples of different incentive programs for your staff.
And I suppose the main thing is that he's challenging you to think a tiny bit different about your business, so think about that balance sheet side of your business, think about how cash impacts on the business.
So if you're looking for a simple read, it's written in pretty simple English that is Simple Numbers by Greg Crabtree.
Thanks very much and until next time, take care out there.
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