Profitability
We're busy. Why aren't we making more money?
A packed diary can still produce a thin business. This check separates sales, direct costs, overheads and owner pay so you can see where the work stops becoming money.
Find out what the work is actually leaving you
Materials, subcontractors, stock or other costs that rise with sales.
Turnover can make a struggling business look successful
Revenue tells you how much work passed through the business. It does not tell you how much the business kept. The useful journey is sales → direct costs → overheads → owner pay → cash and tax.
If the result surprises you
Do not immediately slash the biggest cost. First ask whether the problem is price, the type of work being accepted, poor purchasing, too much fixed overhead, owner withdrawals or slow customer payment.