Small Business Formulas
This year during my annual review, I took a couple of minutes to write down my favorite goal setting and sales projection formulas. I put them in this handy infographic that you can reference throughout the year. These formulas can help keep your small business on track to meet your monetary goals. Use these as part of your own annual or monthly review process to make sure you’re spending your time and resources in the most effective places and with the most profitable clients.
Included in the infographic, you’ll get the following:
- Close Rate Formula: Shows the percentage of proposals sent that converted to paying clients
- Average Contract Formula: Shows the average dollar value of each contract
- What Are Your Goals Questions: Helps you to figure out how much money you’d like to make this year
- Number of Sales Needed: Shows the number of sales you need to make to meet your financial goals
- Number of Proposals Needed: Shows the number of proposals/quotes you need to send out to meet your financial goals
- Proposal Value: Shows how to equate a value to each proposal you send to help keep your momentum up
- Hourly Rate: Shows what you are making per hour
You’ll also get ideas on how to categorize the different types of business you do and how to use referral sources to increase in your bottom line in the upcoming year.
Now that you’ve got a clear picture of where you’re going, get started!