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Why you keep making sales but no profit.
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[QUOTE="Jasz, post: 232042, member: 61772"] It's easy to get carried away with increasing sales. After all, it's the goal of every business. But what happens when you increase your sales, but you still aren't making profits? There are a few things that could be happening: You're spending too much on your marketing. Your products or services are too expensive, and you're losing money on each sale. You're buying materials at a higher price than you're selling them for. It doesn't matter how many sales you make if your costs exceed the revenue they bring in. Here are some signs that this is what's happening to you: You know exactly how much it costs to produce each product but not how much revenue each product brings in By the time you've sold any of the products, you've already lost money on them You don't have a clear picture of how much it costs to run your business What can you do about it? Have someone who isn't involved with your business calculate the cost of all of the expenses associated with producing your product. This includes materials and labor. Once they have an accurate number, it will be easier for them to determine whether or not there is enough profit left over after these costs are covered. [/QUOTE]
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Why you keep making sales but no profit.
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