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Profit Autopilot Wrap-up

Congratulations.  You have reached the fourth and final part of the Profit Autopilot project.

By now, you will know how to be confident that your business will produce the Profit and Salary you "Desire" and you have learned how to have sufficient cash available when payments have to be made.

Both of these will enormously reduce the stress you face as a business operator and make the whole experience a bit more comfortable.

That’s It

In this article we have:

  • Turned the conventional situation of leaving Profit to be discovered several months after the end of the Financial Year on its head by making sure we take the Profit up front.
  • "Guaranteed" a Salary and some Profit level for ourselves.
  • Assured ourselves that our operation is balanced and we will not find a hidden expense at the end of the day.
  • Hidden away money that has to go out of the business, into accounts that are not easily accessible, so that we have to make a conscious effort to withdraw money from them.
  • Shown how to estimate how much money should be put into these safety Piggy Banks so that, when their bills fall due, you can be reasonably confident of having sufficient money.
  • Shown how to adjust your Business Model to reflect quarterly changes in circumstances.

The Profit Autopilot, once engaged, gives you a high degree of confidence that all the uncertainty to do with budgeting to pay your bills and having sufficient cash when they fall due will go away.

With that new-found confidence, you can now turn to looking at building growth into your business while keeping the Profit Autopilot engaged.

Where to from Here

Profit Autopilot is the introductory level (yellow belt) Profit Savvy project.  It is in both written and video formats to make it more convenient for you to access.

Even by itself, it should improve your business planning confidence and lead to more profitable and less stressful outcomes.

You might decide to stop here and that is fine.  Find your own comfort level.

We encourage you to at least read the next (intermediate or blue belt) level where we set a target of doubling your profit.

The Double Your Profit in 100 Days (DP100) strategy is a rapid assessment of how streamlined your current business is and will throw up recommendations for improvement which will have a positive impact on your current Profit.  Much of what goes on in DP100 is similar to the first stages of building your Business Model in Profit Autopilot

If you have time, you will benefit from reading about the DP100 program before you look at changes to your Business Model to get a positive value for the Residual Amount.  These 2 programs work hand in hand.

Our third Profit SavvyProject sets out to Double your Revenue and your Profit in a Year (DP365). In comparison, this is an advanced or black belt project. But don’t be deterred.

As you work through Profit Autopilot (yellow belt) and then Double your Profit in 100 Days (blue belt), you are improving your business skills.  By the time you get to DP365, you may find it is not nearly as hard as you might think.

It is the same as a martial arts person starting at a novice yellow belt level, moves through blue belt and eventually finds themselves at expert/black belt level.

Enjoy the trip!

Personal Business Model

You could build a Profit Autopilot Business Model for your personal affairs as well using the same methodology.  That way, you should always have money available to you when you anticipate a need for it to arise.

You can lock away fortnightly contributions to such things as education fees or a travel fund that just happens on automatic pilot and is there when you need it.

Wrap Up

This has been the final part of the Four Part Profit Autopilot series.

Revisit the others at the following links or move onto Double Your Profit in 100 Days:

  1. We begin with an introduction to Profit Autopilot.
  2. Then we look at building a Profit Focused Business Model designed to give you confidence that you will earn enough to pay you a Profit and a Salary.
  3. From there, we discuss how to set up a system of “Piggy Banks” to be confident of having cash for expenses when you need them.
  4. Finally, we review what you have covered and introduce the next Profit Savvyprojects which continue you on the path of building your profit (this article).

A Disclaimer

We do not know your business and its environment so we can only offer general advice on what might assist you to grow the Profit for the business you presently have. You should always seek professional advice on specific matters only discussed in general terms here.

As discussed above, we cannot guarantee results in any particular period of time or amounts, we do not know your particular circumstances.

Resources

We have a written and video course on Profit Autopilot that you can use for deeper study.  Visit;

https://www.profitsavvy.org/manager-training/my-courses/guruPrograms/8-profit-acceleration-courses/11-profit-autopilot-18

 

There are several resources that you can find on using a Piggy Bank type model for your Personal Finances.  You may be able to learn from this and use it in your business as well.

Pape, Scott (2017), The Barefoot Investor: The Only Money Guide You'll Ever Need. (John Wiley & Sons). Worthwhile joining the newsletter for extra tips.

Ramsey, Dave (2003), Total Money Makeover. (Nelson). Talks about debt reduction, there are several YouTube videos by this author.

Crabtree, Greg (2011), Simple Numbers, Straight Talk, Big Profits. (Greenleaf Book Group Press). Talks about taking your profit first, there are several YouTube videos by this author.

Michalowicz, Mike (2014), Profit First. (Penguin). Talks about "Piggy Banks", there are several YouTube videos by this author.

Bach, David (2004) The Automatic Millionaire (Penguin)  Talks more generally about saving money in simple ways to become much better off financially than your peers.  An easy to read book.



 

 

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