What does that even mean? - Revenue

When people ask you how big or successful your business is, what's the first thing that pops into your head?

Most folks think of how much they *sell* every month or year.

Revenue is the term that most accountants and bookkeepers will use when they talk to you about your sales number. So this one's pretty straightforward.

A couple of examples:

If you build 3 decks for $3000 each and 1 porch for $1000, you've made four sales and those are worth a total of $10k. $10k is your Revenue.

If you spent 30 hours working on a client account at $50/hour, your Revenue for that time is 30 x 50, or $1500.

---

What can you do to control your revenue?

- Marketing *that gets you measurable results* and gives more people more opportunities to buy

- Improving your close rate - more people who know about you and consider buying do

- Tweaking your pricing

- Adding to or reducing the catalog of products and services that you provide

- and plenty more...

---

But if your business provides pretty much anything other than a pure service, you know that Revenue isn't the whole story.

Revenue is only the money you expect your business to receive for the products and services it provides.

So what's the next big step in understanding the financial health of your business? I'll talk about that soon ;)