Most business owners are obsessed with it.
Early stage entrepreneurs focus on top line revenue. As they gain experience some of them shift priority to profit. As they gain more experience, some veterans shift back to revenue (or back and forth.)
Many entrepreneurs focus on vanity metrics like headcount.
For the past five years, I’ve managed a small team and been stuck under the $300,000 revenue ceiling. The entire time I’ve worked diligently to grow the company and have continually invested in sales and marketing.
Superficially, it doesn’t seem like much has changed. We certainly haven’t grown from the perspective of revenue or number of employees.
But we’re actually much more profitable than we were five years ago.
We’re more productive at creating value.Continue reading