What To Do With Your Quarterly Profit Distribution

It's here! This is my FAVORITE part of the quarter! If you've been implementing Profit First, it's time to celebrate the hard work you've put into your business the last 3 months. So how does this work? Do you get all the money? The answer depends on the amount of debt your business carries. If You, or Your Business Has Debt I encourage business owners to maintain a debt-free lifestyle, both in their business and personal lives. The beauty of Profit First is it can help you reach that goal of debt freedom. So what should you do with the money in your profit account? I suggest you take 98% of it and throw it at your debt! Do you feel that? It's the feeling of your success punching your debt i

Opportunity Over Excuses

I was speaking with a friend of mine not long ago about what causes us to fail. I mean, no one sets out to fail (obviously). So where is the breakdown? We both started rattling off ideas that we'd experienced, or things we've heard from others. "Not enough time." "Not enough money." "Too overwhelmed." "I just can't make myself do it." It was crazy that even though our areas of expertise are different (he's in investment real estate and I'm in financial coaching), we had both run into these things at one time or another. We agreed they all boiled down to one thing; excuses. Excuses, while sometimes valid, almost always halt progress. Why? It's because we're giving ourselves a pass. When we sa

What Profit First Rhythm Works Best?

Profit First revolves around rhythms. Behavior and habit go hand in hand. We need to create solid rhythms in our business to reinforce our behaviors. That's why Profit First developed the 10/25 rule. What is the 10/25 rule? It simply means allocating your funds and paying your bills on the 10th and 25th of the month. On the 10th & 25th of the month you log into your bank account and move funds from your income account to the other accounts. You'll also use this time to pay any outstanding invoices. This allows you to see cash flow in your business. So that brings a question; can I make allocations on different days? Yes. Profit First was designed to be flexible. I personally use a week

What Types of Business Accounts Do I Need?

Are you jumping into Profit First with both feet? A common question I receive from business owners is, "Which Profit First accounts should be checking accounts and which should be savings accounts?" It is important to understand the difference between a checking account and a savings account. As a general rule, savings account yield interest, but are limited in the number of withdrawals (usually 6) during the statement period (usually a month). A checking account typically offers an unlimited number of withdrawals and checks, but does not yield interest. OPTION 1: Since Profit First encourages the 10/25 rule (allocating funds and paying bills on the 10th and 25th), for most businesses, all a

Pinpointing Our Budgeting Weakness

When it comes to cash flow planning (that sounds way more pleasant than "budgeting"), there are a few areas that cause a lot of us to stumble. These are the variable expenses. They might include: Restaurants Groceries Clothing Entertainment Pocket money If you're nodding your head right now, you're not alone. What's your area of weakness? Take a moment and be honest with yourself (it's okay, no one else is listening). What category in your budget tends to suck your bank account dry? If you are already using an envelope system, pump your fist in the air in celebration! If you're not, then you might want to try it. Cash envelopes are the best way to go because it's nearly impossible to overs

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Profit First Coach

info@craigdacy.com |   (512)573-4387

Austin, TX

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