The Only Three Ways to Increase Profits

Do you want to increase your take-home profits in 2020?

Do you know the fundamental mechanics for making this happen?

Do you love articles that start with a series of questions?

If you’re going to increase revenues, and most importantly, profits, within your tax or accounting practice, then you need to be aware of the three ways for doing so.

Yes, there are three ways to make more money…. and only three.

Once you understand these three things, you’ll also understand the fundamental formula for growing any business.

Every business, from your local car wash to Pepsi to Saudi Aramco, all rely on these exact same three fundamentals to grow their top (and bottom) lines.

What’s the formula? What’s the secret sauce? What are the magic three ways to make more money?

  1. Get more customers.
  2. Get more money from each customer transaction.
  3. Get more transactions from each customer.

I’m sure you’ve heard this before. It’s not secret, magical, or hidden. Well, maybe hidden in plain sight, but I digress.

These are the only three methods that exist on the face of the Earth to grow your revenue. Understand this basic business concept, and you’ll be at least 1 AU (astronomical unit….light years are too cliche) ahead of your competitors.

Now, you can evaluate your marketing and other business decisions against the standard set by these three things. Whenever you are faced with a business decision, a potential expenditure, an opportunity…ask yourself if it achieves one of the three objectives:

  • Will this get me more clients?
  • Will this increase my revenue per client for a particular service?
  • Will this increase the number of times I can get paid by a client?

For more on this topic, check out my book Profit Optimizers.

Ready to increase the profitability of your tax firm? Get your copy of my new book, Profit Optimizers: 12 Big Ideas for a More Profitable Tax Firm

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