Increase Profits

Increase business profitability

It’s important to review your business’ success and to break down and understand your profit streams. This way you’ll know where and how to focus your efforts in order to increase business profitability. As you would expect, your products or services with the highest profit margins are the ones to concentrate on. Once you’ve identified which are the most profitable, you may need to rethink certain aspects of your business or devise new strategies to increase sales. It is also important to decide what to do with business products or services that are less successful.

Six ways to increase business profitability

Wise & Co can help with this process and business finance advice. From preparing the information you need in a useable format, to challenging your strategies, we can help you to assess matters from a different angle.

Six ways to increase business profitability – part 2

Focusing your business reporting Getting the right information regularly will help you to be more efficient. We can help to develop your accounting systems, processes and controls so that your business reporting is watertight and timely. Understand how your market may be changing We can help you to benchmark your business against your competitors or help you to look strategically at the markets you operate in. Wise & Co ensures you maintain business agility so you can stay ahead of the game. Incentivising your staff Attracting and retaining talent is another key area to increase business profitability. Furthermore, there may be staff who are central to the business that you wish to gain greater commitment and loyalty from by rewarding and motivating them with a tax efficient share option scheme. We can advise you on the best options for you and your business. Streamline business processes Internal systems and controls are essential in any business especially if you have aspirations to grow. They are the key to greater business efficiencies and increase business profitability. Using the right processes can deter fraud, as well as generate accurate and reliable financial information. Wise & Co can assess the robustness of your systems and controls making suggestions to strengthen or improve them. Analyse your pricing policy You know your product or your service line. Using your knowledge, we’ll help you to evaluate the most suitable pricing policies and ultimately to choose which is best for your business. Each different pricing strategy supports a different objective – for example to achieve market penetration goals, or to achieve sales revenue. Narrow your focus and drop unprofitable lines Adopting an analytical approach to how or which product lines contribute best to your profits, should be part of your overall business strategy. Equally, you may have some which are loss leaders, but do increase the sales of other products. An objective review from Wise & Co will keep you focused on which products or services are key.

“Wise & Co have provided services for The Concrete Society for many years and throughout this time have been professional and efficient in all of their dealings. The services have involved completing monthly management reports from our own Sage data and compiling yearly profit and loss calculations. Wise & Co also complete our annual tax return, and provide ad hoc advice on a range of accounting matters. The company have always met our requirements in an efficient but friendly manner.”

Kathleen Calverley
The Concrete Society