Starting in October, MultiFunding will host a three-course class, ARA Masterclass: Sizing Your Business.
This course is available to American Rental Association (ARA) members only and begins by looking at and tracking your profit and loss (P&L) statement in a different way. Variable costs are usually included at the top of the income statement. These costs include the cost of goods sold, commissions, etc. These are costs associated with products and services provided and sold to customers. So it goes up and down depending on the sales.
At the bottom of the income statement is ‘other expenses’. These include items such as rent, marketing costs, labor costs, insurance and travel. So when you think about the costs at the bottom of your statement, you can divide them into two different categories. It’s money and money that can be used. Chosen to try new things for business growth and expansion.
The money you have to spend includes things like rent, insurance, utilities, and salaries. These are the basic costs of keeping the lights on and the business running on time. Any money you don’t need to spend that you think should be tagged as an “investment expense” is a new item you’re trying to test or use to grow and scale your business. These are investments to become bigger, better or different in the future.
What have you invested in? These investments may include new sales representatives, new products, or different marketing campaigns and channels. You may have decided to open a new store or location. Any investment must be tracked and monitored to make sense of it.
If you invest $100,000 in the stock market, you can log on to your account at any time of the day or night to see how your investment is doing. When it comes to investing in your business, the information may not be as accurate, but you still need a similar understanding. How are we doing and what have we learned? Where should we double down and what programs should we kill? Are we investing fast enough?
If you don’t seem to have time to focus on these questions, you’re probably “working too hard” in your business. Instead, consider hiring other people to work for your company. Because only you can “work” on your business and focus on taking it to the next level.
“ARA Masterclass: Sizing Your Business” can help. The first class will take place on October 6th at 1pm ET, the second on his October 20th, and the third on his November 3rd. Here’s what participants can expect to get out of the class:
Determine the investments required to reach your goals.
Knowing if you’re making those investments quickly enough.
Make sure you have the right capital structure to support your plans.
Learn a new way to categorize your P&L costs.
The best way to track your investments.
For more information and registration, please visit kf1brdxe.pages.infusionsoft.net.
Ami Kassar is the founder and CEO of MultiFunding, a Philadelphia-based consulting firm. MultiFunding specializes in helping business owners across the United States develop creative, cost-saving alternatives to meet their business debt needs and structures. He can be reached by email at ami@multifunding.com or online at multifunding.com.
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