This is the second in a series about dealing with “business leaks” and the focus of this article is “Understanding Your Business Leaks”. If you missed the first one in the series, you can find it by clicking on the series title, “Business Leaks”, to the right.
Now that we’ve gone through the process of identifying our “business leaks”, let’s start the process of understanding what their impact means to running a business. A “business leak” can have a small impact like needing to simply change a process to be more efficient or it could be big like a major cost-savings on services or products.
Case in point, I mention in the first article that I was paying for services that I hadn’t been using on a regular basis. Below are some numbers to think about:
- Monthly cost for the services: $47
- Number of months paid for the service: 6
- Number of times used: 2
- Total cost for service: $282
- Cost per use: $141
As you can see, I only used the service twice in the 6 months that I paid for it, so my average cost per use was $141. So does that look like a business leak to you? I would say that it definitely does and I stopped using the service. What are some of the ways that you have tried to understand your business leaks? Please share them by leaving a comment below.
In the video below, information is shared that focuses on the “latest ideas for accessing finance”.