1. Planning 2 Succeed How big does your business have to be to be as successful as you want? Alistair Tait Tait Enterprise Development Limited

2. Domestics Finish Breaks Lunch Toilets Fire alarms Smoking Phones off/on discrete please

3. Introductions Tell us; Who you are What your business does (or will do) How big do you think your business needs to be?

4. What do you want to achieve as a result of attending this workshop? Your objectives

5. Workshop overview 1.Get what you want from your business 2.Understanding the Profit and Loss account 3.Setting a profit target 4.What are key steps to achieve your target? 5.What is holding you back? 6.Action planning

6. 1. Get what you want from your business

7. Get what you want from your business PersonalBusiness Time How do you want to spend your free time? What “nice” things would you like? (house/s, car, yacht, diamonds!) How many weeks holiday? What do you like to do at work? What do you not like to do at work? How many days a week do you want to work? Money How much do you need to earn to have this lifestyle? How much income do you have from other sources? How much do you need to earn from your business?

8. PersonalBusiness Time How do you want to spend your free time? What “nice” things would you like? (house/s, car, yacht, diamonds!) How many weeks holiday? What do you like to do at work? What do you not like to do at work? How many days a week do you want to work? Money How much do you need to earn to have this lifestyle? How much income do you have from other sources? How much do you need to earn from your business? Get what you want from your business

9. PersonalBusiness Time How do you want to spend your free time? What “nice” things would you like? (house/s, car, yacht, diamonds!) How many weeks holiday? What do you like to do at work? What do you not like to do at work? How many days a week do you want to work? Money How much do you need to earn to have this lifestyle? How much income do you have from other sources? How much do you need to earn from your business? Get what you want from your business

10. PersonalBusiness Time How do you want to spend your free time? What “nice” things would you like? (house/s, car, yacht, diamonds!) How many weeks holiday? What do you like to do at work? What do you not like to do at work? How many days a week do you want to work? Money How much do you need to earn to have this lifestyle? How much income do you have from other sources? How much do you need to earn from your business? Get what you want from your business

11. PersonalBusiness Time How do you want to spend your free time? What “nice” things would you like? (house/s, car, yacht, diamonds!) How many weeks holiday? What do you like to do at work? What do you not like to do at work? How many days a week do you want to work? Money How much do you need to earn to have this lifestyle? How much income do you have from other sources? How much do you need to earn from your business? Get what you want from your business

12. PersonalBusiness Time How do you want to spend your free time? What “nice” things would you like? (house/s, car, yacht, diamonds!) How many weeks holiday? What do you like to do at work? What do you not like to do at work? How many days a week do you want to work? Money How much do you need to earn to have this lifestyle? How much income do you have from other sources? How much do you need to earn from your business? Get what you want from your business

13. 2. Understanding the Profit and Loss account

14. Gross sales Cost of sales Gross profit Gross margin Overheads Net profit/(loss) Finance charges Profit/(loss) before tax Taxation Retained profit/(loss) £’000 2010 Actual Profit and loss account 885 584 301 34% 259 6 36 7 29 42

15. Gross sales Cost of sales Gross profit Gross margin Overheads People costs Premises costs Sales & marketing Other overheads Depreciation Fixed asset sales Overheads Net profit/(loss) before finance charges £’000 2010 Actual Profit and loss account 885 584 301 34% 259 42 132 71 17 18 21 0 The jargon a b c d e f j g h i k l

16. Gross sales Cost of sales Gross profit Gross margin Overheads People costs Premises costs Sales & marketing Other overheads Depreciation Fixed asset sales Overheads Net profit/(loss) before finance charges £’000 2010 Actual Profit and loss account 885 584 301 34% 259 42 132 71 17 18 21 0

17. Gross sales Cost of sales Gross profit Gross margin Overheads People costs Premises costs Sales & marketing Other overheads Depreciation Fixed asset sales Overheads Net profit/(loss) before finance charges £’000 2010 Actual Profit and loss account 885 584 301 34% 259 42 132 71 17 18 21 0 The arithmetic a b c d e f j g h i k l

18. Gross sales Cost of sales Gross profit Gross margin Overheads People costs Premises costs Sales & marketing Other overheads Depreciation Fixed asset sales Overheads Net profit/(loss) before finance charges £’000 2010 Actual Profit and loss account 885 584 301 34% 259 42 132 71 17 18 21 0 The arithmetic a b c = a-b d e f j g h i k l

19. Gross sales Cost of sales Gross profit Gross margin Overheads People costs Premises costs Sales & marketing Other overheads Depreciation Fixed asset sales Overheads Net profit/(loss) before finance charges £’000 2010 Actual Profit and loss account 885 584 301 34% 259 42 132 71 17 18 21 0 The arithmetic a b c = a-b d = c/a x 100 e f j g h i k l

20. Gross sales Cost of sales Gross profit Gross margin Overheads People costs Premises costs Sales & marketing Other overheads Depreciation Fixed asset sales Overheads Net profit/(loss) before finance charges £’000 2010 Actual Profit and loss account 885 584 301 34% 259 42 132 71 17 18 21 0 The arithmetic a b c = a-b d = c/a x 100 e f j g h i k = e + f + g + h + i + j l

21. Gross sales Cost of sales Gross profit Gross margin Overheads People costs Premises costs Sales & marketing Other overheads Depreciation Fixed asset sales Overheads Net profit/(loss) before finance charges £’000 2010 Actual Profit and loss account 885 584 301 34% 259 42 132 71 17 18 21 0 The arithmetic a b c = a-b d = c/a x 100 e f j g h i k = e + f + g + h + i + j l = c - k

22. 3. Setting a profit target

23. Gross sales Cost of sales Gross profit Gross margin Overheads People costs Premises costs Sales & marketing Other overheads Depreciation Overheads Target earnings £’000 Target Profit and loss account 154 54 100 65% 70 30 40 12 10 6 2 Assumptions I person + admin help £ 1,000 per month Web, PR, advertising, etc £ 500 per month Keep £65 in every £100 sale £ 3,000 per week Personal target

24. Now you!

25. Gross sales Cost of sales Gross profit Gross margin Overheads People costs Premises costs Sales & marketing Other overheads Depreciation Overheads Target earnings £’000 Target Profit and loss account Assumptions

26. Gross sales Cost of sales Gross profit Gross margin Overheads People costs Premises costs Sales & marketing Other overheads Depreciation Overheads Target earnings £’000 Target Profit and loss account 154 54 100 65% 70 30 40 12 10 6 2 Assumptions I person + admin help £ 1,000 per month Web, PR, advertising, etc £ 500 per month Keep £65 in every £100 sale £ 3,000 per week Personal target

27. 4. What are the key steps to achieve your target?

28. 5. What is holding you back?

29. Workshop review

30. Workshop Review 1.Get what you want from your business 2.Understanding the Profit and Loss account 3.Setting a profit target 4.What are key steps to achieve your target? 5.What is holding you back? 6.Action planning

31. What did you want to achieve as a result of attending this workshop? Your objectives

32. 6. Action planning What three things are you going to do now to get closer to having the business you want?

33. Action planning What three things are you going to do now to get closer to having the business you need? 1 2 3

34. Ongoing support Alistair Tait Email: alistair.tait@tedl.co.uk Mobile: 07932 044 137

35. Me again! 17/05/12 How much funding might the business need and where to find it. 14/06/12 The importance of Gross profit vs Net profit in a business.

36. Next session 12 January 2012 Smarter with Time

37. Thank you!