High profitability is an indicator of success in business
High revenue is not always a sign of success in business. You can invest a lot of money and still get a low profit.
One of the main characteristics of a successful startup is chinese overseas british phone number list high profitability. If there are difficulties with this, then the entrepreneur does not receive income, and investments in the company turn out to be meaningless.
Profitability is a relative indicator of economic efficiency, calculated as the ratio of profit to assets or flows that form it.
Why profitability is needed
There is always a demand for elite tea and coffee roasted in-house. Svetlana and Irek opened a small shop in one of the shopping centers of the metropolis. A year later, they had an idea about expansion - the idea of opening another point seemed tempting to them. A familiar auditor suggested calculating the profitability.
Enlarge imagehow to calculate profitability
How to calculate business profitability
This indicator should be taken into account by everyone who owns a business.
