Net Profit Percent & Dollars

Your Bottom Line...
It's What You Get To Keep From Your Business

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What is Profit Image

DiversifyRx Blog

Profit is the key to staying in business. Understanding the what exactly profit is will be crucial to your success.

Net Profit Goes In Your Wallet

Net Profit By The Numbers

  • Minimum 4% of revenue, better at 5+%
  • Percentage = how well revenue is converted to profit
  • Dollars is what you are able to take out of the business

Pitfalls For Higher Net Profit

  • High expenses
  • Low Gross Margin
  • Cash vs Accrual accounting can make it complicated