As I write this, I am working tirelessly to provide as many
resources and guidance as possible in order to extend a hand
to you in service. One of these resources, unbeknownst to
me while writing it, is my next book. Fix This Next. I wrote
the book over the course of five years, during which I never
could have imagined we would be in this current crisis.
I am, however, grateful that I did write it and within it created a
diagnostic tool for your business called The Business Hierarchy
of Needs (The BHN). The BHN is the compass to help you
determine the vital needs of your business, and the compass
to help you navigate to which need you should focus on first.
Enter profit, the second of the base levels in The BHN.
Profit is the creation of sustainability. Now, it is commonly
misunderstood that profit means making money, when in
reality, it means taking money. Profit is the reserve you can
use in any way you require, and it won’t hurt your business.
Without profit, your company will constantly be teetering on
the edge of going under. When you master the profit level,
you bring fiscal health and sustainability to your company.
There are a lot of ways we can discuss profit, but let’s apply
it to the current situation. For your business to survive a
crisis it must be able to retain cash. Many businesses revert
to sales when in reality they should focus on creating profit,
because profit is what insulates your business during these
times of a crisis. That retention of cash gives you a runway.
Depleting the funds from your profit account is not running
business as usual, it simply gives you time to look at the data
significance. Ask yourself, do you have enough data to point
out that you are having an actual problem and you need to take
action? Or, is your business running as it normally would?
The thing is, if you don’t see money coming in, you react
without having data significance, and it’s not a good move.
It is best to use your cash reserve to get through the crisis
you are facing – usually a period of two to four weeks is
enough for most businesses. In that time you can determine
from your data if there are trends, if your business is a risk,
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