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How To Make Sure Your Business Is Making Money

How To Make Sure Your Business Is Making Money

Every business is different in some way, and that’s a good thing – you need to be different if you want to stand out from the crowd and become successful.

Copying someone else exactly is only going to lead to problems (potentially legal ones) and far fewer sales than you need to stay open and profitable. 

However, even though a unique business is a good business (assuming you’re selling things people want to buy, of course), there is one thing that every business has in common, no matter what sector or niche you might be in – it has to make money. 

A business that doesn’t make money isn’t a business at all; it’s a burden.

Many people think they’re a business owner because they decided to start a business but if the business isn’t profitable, it is definitely not a business.

All it’s going to do is cause you problems and expenses, and in the end, it’s usually better to call it a day and do something else than to keep pushing forward and getting nowhere.

So you need to make money, but on top of that, you need to know you’re making money.

Unless you can be sure you’re actually making money (and making enough to keep running your business), you might be heading in entirely the wrong direction.

Without tracking, you will never know that you could make changes that would benefit you, and eventually, you could run out of cash altogether. 

Knowledge is crucial in business. You have to know your products and services, you have to know your employees, you have to know your customers, and you have to know your finances.

It’s this last point that we’ll focus on now, so keep reading to find out more.

Get a $125 Bonus from ING

Until 30 September 2024, ING is offering $125 cash to new account holders. Here’s what you need to do:

  1. Open an everyday account and put the promo code Cnw116 in the promo box (you must use the code to get the $125 bonus) and complete all the steps below in the first month.
  2. Deposit $1,000 into the account such as your income or Centrelink payments within the month
  3. Make 5 settled transactions
  4. Open a Savings Maximiser (current interest rate is 5.5%)
  5. Make a deposit of ANY amount into the Savings Maximiser

Then you get your $125 the following month.
Note: The $1,000 deposit doesn’t need to be $1,000 at once, it can be smaller amounts as long as it is $1,000 total within the month.

How To Make Sure Your Business Is Making Money

1. Have A Plan

It’s exciting when you have a business idea and you’re sure it’s going to be the making of you, and no one can blame you for wanting to get started as soon as possible.

After all, the sooner you start, the sooner you can see your dreams come true. 

However, as much as it might be difficult to do, especially when you’re raring to go, it’s far better to hold back on pushing the launch button and ensure you’ve come up with a good business plan first. 

Your business plan is your guide to help you realise your goals and get where you want to go.

Without it, you’ll never be quite sure if the route you’ve chosen is the right one.

By the time you see you’re not making money, it might be too late to turn back.

When you’ve taken the time to create a good, solid, sensible business plan, making the right choices and taking the right paths is much easier.

Plus, because you’ll have entered all your financial information and predictions, you’ll be able to see precisely what’s happening with your money, and you’ll instantly know if there’s a problem.

Then you can make changes to stop things getting worse and put yourself back on track. 

Your business plan will also be useful if you need to borrow money or find an investor at any point.

They’ll want to see your business plan; they’ll pore over it to ensure that the money they put into your business is going to be used wisely.

And they’ll want to know when they’ll get their money back as well or for a long-term investor they’ll want to know what their return will be.

With all of this laid out ahead of time, you stand a much better chance of getting funding when you need it. 

2. Track Your Progress

Having a great business plan to follow – a business plan you’ve spent a long time getting right and that you know is accurate – is wonderful.

It’s going to help you make money since it’s going to point you in the right direction every time you need to make a business decision. 

However, although that’s important, following a business plan isn’t enough because things can still change, unexpected problems and challenges can occur, and mistakes can still happen.

That’s why you need to track your progress and keep on top of your finances regularly, ensuring that you’re making money and not just assuming you are. 

There are a few different ways to do this, and you can pick and choose the ones that work best for you.

The simplest, and the one that should be on your list no matter what other options you want to consider, is to check your bank account every week.

Just taking a few minutes to look through all the transactions and make sure that you’ve got more coming in than you have going out will help to show you right away if there’s a problem.

It’s a great place to start when it comes to tracking your finances and progress. 

Another option is to invest in decent software specifically for tracking your business.

One business option we are seeing more people go into is the disability sector, as such NDIS software would be suitable.

This platform allows everyone in the company to share important information, and when you have it in place, you can see what the issues might be and where the shortfalls.

Then before those issues and shortfalls become something that’s going to cause you a problem, you can make changes.

This software is a great way to track progress and ensure invoices are sent out and bills are paid. Plus it will give you the chance to see where financial bottlenecks and problems might lie. 

You can also hire specialists, and this is generally recommended for all business owners such as having an accountant, bookkeeper, lawyer and insurance broker.

By outsourcing your bookkeeping, for example, you don’t have to spend time dealing with your finances, and you can be sure that the reports you get are accurate and give you a real overview of what’s happening in your business.

Not only that, but a good bookkeeper or accountant might also be able to give you advice and guidance about how to improve things if you’re not making money or if you could make more. 

One key area is tax, as no one wants to pay more tax than they have to and professionals can ell you all the ways to reduce your tax.

3. Diversify Your Income Streams 

If you want to be sure your business is making money and not losing it, another great idea is to diversify your income stream and sell more products.

The more products you sell, the more profits you’ll make – at least, that’s how it should work if you price things correctly. 

Of course, it’s not just a matter of selling things at the right price; you also need to make sure that your customers are going to want to buy those things.

Yes, they might love what you sell at the moment, but that’s no guarantee that they’ll love the new products and services you bring in, and that’s why market research is crucial.

Survey your existing customers to find out whether or not the new products you want to add to your business are going to be of interest, and widen the question out to those who haven’t yet bought from you.

You won’t want to alienate your current customers, but if you can add products that will bring in new customers and you can keep your existing customers happy (and sell to them as well if possible), then you’ll make more money. 

This market research is a crucial step in deciding what to add to your inventory to improve your revenue stream, so don’t skip it – the last thing you want to do is invest money in stock only to find that no one wants it, and you’re stuck with it! 

Final Thoughts

If you’re in business, you need to make money, and that’s a fact, which is why it’s so important to be sure that that’s what you’re doing.

The good news is that by finding out sooner rather than later, you can fix issues and get right back on track before it’s too late. 

Get a $125 Bonus from ING

Until 30 September 2024, ING is offering $125 cash to new account holders. Here’s what you need to do:

  1. Open an everyday account and put the promo code Cnw116 in the promo box (you must use the code to get the $125 bonus) and complete all the steps below in the first month.
  2. Deposit $1,000 into the account such as your income or Centrelink payments within the month
  3. Make 5 settled transactions
  4. Open a Savings Maximiser (current interest rate is 5.5%)
  5. Make a deposit of ANY amount into the Savings Maximiser

Then you get your $125 the following month.
Note: The $1,000 deposit doesn’t need to be $1,000 at once, it can be smaller amounts as long as it is $1,000 total within the month.

How to get a $125 bonus from ING

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