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I'm focusing on revenue because our profits are very low right now - by choice. I believe that 12 mos from now, Freckle could be earning $450k-650k/yr... if I c
by ahoyhere 16y ago
I'm focusing on revenue because our profits are very low right now - by choice. I believe that 12 mos from now, Freckle could be earning $450k-650k/yr... if I can keep up the growth rate we've had so far. Therefore, as I said in the article, we roll almost all of the money from Freckle back into Freckle - advertising, hiring freelancers, etc.
Otherwise, most of our endeavors are almost pure profit. What overhead does a two-person business have? Tech goodies, fonts, clip art, software, internet access, hosting, occasional travel... almost all things we could skip if we chose to. We have a home office - before, we were paying about $900/month. We'll have an office again but not right away. My husband's business (Austrian, not counted in my reckoning) has a part-time office manager. We pay for a cleaner to come twice a week, and about half of that is considered a business expense.
The biggest profit suck that we can't avoid is transaction fees. But I'm not a cost-cutter, I'm a revenue-grower. It works better in the end.