Sales leads and prospects come from a variety of sources. A long time ago, and dating myself with my copyright statement in the image below, I had to present to investment bankers that were providing interim financing and representing our company in a pending IPO. The investment community wanted to know how we were going to market and sell our products, and spend our healthy marketing budget, to attain the fast growth in revenue we were committing to.
Start-ups do not have a Brand or reputation and while immediate sales are critical, long term success hinges upon your ability to become a creditable vendor/supplier at the time of purchase consideration. Simply stated; “Will the buyer seriously consider us and our products or services when they need to buy”.
With capital as tight as it is and revenues for many companies down, calculating your company’s breakeven sales is a skill that can help you better plan and manage your fixed and variable costs. Small business owners who are struggling with profitability should calculate their breakeven sales so they have an accurate understanding of how much they need to sell each month in order to make a profit. The exercise is pretty easy but you have to know some terminology:
Learn how others do it. Download our guide to growth.
When evaluating your company’s overall risk of sustainability, examining your company’s product lines or services you offer may help determine ways to minimize risk. Single product companies face several challenges not faced by companies offering two or more product lines or services.