Maximize Your Profit
Learn How to Achieve Greater Profitability
- Determine Your True Operating Costs
- Price Effectively
- Plan for Max Profit
Business
Survey™
Key Performance
Indicators (KPIs)
Pre-Determined
Profits™ System
Determine True
Costs
Employee Incentive
Plans
Planning for Profit Takes Hard Work
Our Expert Business Consultants Make it Easier
Labor, benefits, and operating costs are rising fast. So how do you build your business to maximize profits? It starts with uncovering, in detail, what it costs you to run your business.
About half the businesses we work with do not know their true operating costs. To create sustainable profits, you need to know exactly how much each hour of labor costs you. Only then can you develop a plan that achieves your profit goals.
Your True Operating Cost
Don’t Leave Money on the Table
There’s a common misconception we see with many small- to mid-sized businesses: Just add your direct labor and material costs, and then profit margin, to set your prices.
This couldn’t be further from the truth.
Failing to know your true operating costs frequently leads to underpricing your services and products. This could put your business at serious risk.
Know All Costs Impacting Your Ability to Turn a Solid Profit
Indirect Business Costs Cut Into Your Bottom Line
To maximize your profit, all indirect costs must be considered when determining what to charge for your products and services. However, many business owners overlook too many of them.
Your SG&A Expenses
Selling, General and Administrative expenses (SG&A), more generally known as operating expenses, include everything related to these categories:
Selling
All costs associated with selling your product or service, from marketing and advertising to sales distribution and commissions.
General
Costs such as rent, utilities, insurance, office supplies, maintenance, and technology infrastructure costs.
Administrative
Expenses including non-sales salaries, employee benefits, and wages.
SG&A includes both fixed and variable costs not directly associated to a product. This total number—in relation to what you are charging customers —is a key indicator of the long-term health and viability of your business.
As an Independent Business Owner, You Need a Clear Understanding of:
- Your SG&A in relation to your prices and revenue streams
- How to calculate your fixed and variable costs, and effectively anticipate what they will be in shifting markets
- Using these numbers to determine your true operating cost and achieve your desired profit
To Remain Successful, You Must Also Employ:
- Your SG&A in relation to your prices and revenue streams.
- How to calculate your fixed and variable costs and effectively anticipate what they will be in shifting markets.
- Using these numbers to determine your true operating cost and achieve your desired profit.
How American Management Services Can Help
Since 1986, we have helped thousands of small to mid-sized independent businesses owners using our unique Pre-Determined Profits™ system. Talk to us about your business challenges and work-life goals and see if our proprietary Business Survey™ analysis is right for you.
See What Our Clients Are Saying
Our Expert Business Consultants Will Help You Plan Your Profits
We have put in place key tools and processes to increase our level of profitability, team performance, and the accountability of our employees.
Paul Hauck
ARBCO Industries, LLC
[The Predetermined Profit plan allows] us to put strong management focus on achieving targeted profit.
Leslie Goolsby
Anchor Graphics, Inc.
"[American Management Services] showed us how to make changes, make decisions. Where we were earning money, where we weren’t. This year is our best year yet.”
Lynn Eplawy
Gary Jet Center
Helping Independent Owners Succeed
We Serve Businesses from $3MM to $500MM in Revenue
Running a successful business while maintaining a healthy work-life balance can be difficult. If this sounds like you, we’ve been helping business owners achieve their goals for nearly 40 years.
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