Master Your Money Machine
Turn your trade business into a profitable, cash-flowing machine. Price for profit, manage cash like a pro, and build wealth while you scale.
4 Cash Flow Hacks That Work
Never run out of cash again
Progress Billing
Immediate ImpactHow to implement
30% deposit, 40% midway, 30% completion
Benefit
Never fund jobs from your pocket
Payment Terms
High ImpactHow to implement
7-day terms, 2% early payment discount
Benefit
14 days faster payment average
Credit Cards on File
High ImpactHow to implement
Require card for all residential
Benefit
Instant payment ability
Supplier Terms
Medium ImpactHow to implement
Negotiate 30-60 day accounts
Benefit
Use their money, not yours
The Perfect Pricing Formula
How to price every job for profit
$1,000 Job Breakdown
Minimum Margin
35%
Total Job
$1,000
Emergency Rate
2.5x normal
5 KPIs to Watch Like a Hawk
Early warning system for financial health
Gross Profit Margin
Target
> 45%
Calculation
(Revenue - Direct Costs) / Revenue
Warning Level
< 35%
Action Required
Review pricing immediately
Net Profit Margin
Target
> 10%
Calculation
Net Profit / Revenue
Warning Level
< 5%
Action Required
Cut unnecessary expenses
Cash Conversion Cycle
Target
< 30 days
Calculation
AR Days + Inventory Days - AP Days
Warning Level
> 45 days
Action Required
Improve collections
Current Ratio
Target
> 1.5
Calculation
Current Assets / Current Liabilities
Warning Level
< 1.2
Action Required
Build cash reserves
Revenue per Employee
Target
> $200K
Calculation
Annual Revenue / FTE Count
Warning Level
< $150K
Action Required
Improve productivity
Target Monthly P&L
What good looks like for a 15-person trade business
Income Statement
Key Margins
Smart Growth Investments
Where to invest for maximum ROI
New Service Vehicle
+$12K/month revenue
Apprentice Program
50% labor cost reduction
Marketing Campaign
+25 leads/month
Software Systems
15 hrs/week saved
Ready to Maximize Profits?
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