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141. The Profit Trilogy - Part 2 - The REAL cost of investment

Unveil true salon profits beyond revenue and equipment myths with Phil Jackson.

Lessons from this episode:

  1. Revenue does not equate to profit; salon owners must differentiate between covering costs and actual profitability.
  2. Investing in new equipment, such as a laser hair removal machine, should be evaluated based on its impact on the profit margin, not just the turnover.
  3. Understanding and calculating the payback period is crucial before committing to expensive investments in salon equipment.
  4. Profit margin is the key metric to consider when assessing the financial return of any new service or equipment investment.
  5. Be sceptical of claims from equipment manufacturers about quick returns on investment and always conduct thorough financial analysis.

Categories: : Goal-setting, Money