Author

Ruth King

Vanity Metrics or Clarity Metrics?

Reading Time: 3 minutesVanity Metrics vs. Clarity Metrics There are two types of tracking, nice to know and need to know, otherwise known as vanity metrics and clarity metrics. Many industries call them Key Performance Indicators. I’m taking it one step further and… Continue Reading →

It’s Really Easy to Lose $220,000 a Month Without Realizing It

Reading Time: 2 minutesIn conversations with clients and other business owners over the past few weeks the topic of a “bad apple” employee has come up over and over again. The comments were similar to this: “We finally let Person X go after… Continue Reading →

Beware! Don’t Get Caught in this Credit Card Reader Scam!

Reading Time: 1 minuteThis conversation between a business owner and me happened about a week ago: “Thank You.” “You’re welcome. What are you thanking me for?” “You know your book you made us read, The Ugly Truth about Cash?” “Yes.” “You saved me… Continue Reading →

5 Ways to Improve Labor Productivity and Boost Your Bottom Line

Reading Time: 2 minutesIn honor of Labor Day, here are five ways to increase labor productivity. Increased labor productivity increases your bottom line. First, you have to track and measure labor productivity using the productivity ratio or compensation percentage. This ratio answers the… Continue Reading →

5 Critical Cash Procedures

Reading Time: 2 minutes5 Critical Cash Procedures I find that the more cash a company has the more it has a tendency to become complacent. That means that great cash flow gives a false sense of security and many contractors have a tendency… Continue Reading →

What Would You Do With $140,000?

Reading Time: 2 minutes$140,000. This is the amount of money a Naples, Florida bookkeeper was indicted for stealing. And, I’d bet it was more. That’s what they found. The tragedy – she was writing checks to herself, for more than 3 years, in… Continue Reading →

How Do You Deal with Money? Fair Warning…You Leave Clues!

Reading Time: 2 minutesMany of you know that I am a runner. Most of you don’t know that I pick up things along my run: money and lottery tickets. Over the years I have picked up hundreds of dollars and invested them. I… Continue Reading →

This Business Owner was Earning 34 Cents Per Hour…What are You Earning on Your Bottom Line?

Reading Time: 2 minutesA company owner was burned out and questioning whether he should stay in business. He loved the business but hated the hours that he was working for the money he was making. What was wrong? When I analyzed his financial… Continue Reading →

Are You a Slave to Your Business or Are You Truly Free?

Reading Time: 2 minutesIn honor of July 4th, Independence Day in the United States, many business owners declare their business freedom. Yet are they really free? Ok, they operate a business that they enjoy, providing products and services that make a difference. But do… Continue Reading →

The Real Cost of Loss Leaders – Can You Afford it?

Reading Time: 2 minutesSome companies believe in loss leaders – products or services that you sell to a customer for less than the cost of making that product or service. This belief may come from supermarkets who are famous for loss leaders –… Continue Reading →

The New Definition of Insanity

Reading Time: 2 minutesWe all know the old definition of insanity – doing the same thing over and over and expecting different results. Here’s the new definition – as it relates to marketing: Doing the same thing as your competitors and expecting to… Continue Reading →

Do You Have an ROI or an ROI (and no, this isn’t a typo)

Reading Time: 2 minutesThe difference might be a wake up call for you! Most of us have associated the acronym, ROI, with return on investment. From a business perspective, it is defined as net profit divided by the capital invested. Looking at it… Continue Reading →

Man Gets 50 Year Jail Sentence for Stealing $1.2 Million in Fajitas

Reading Time: 2 minutesWhat This Has to Do With Your Business – Watch Out! A man in Brownsville, Texas got 50 years in jail for stealing $1.2 million in fajitas. He worked for the jail and the jail didn’t even serve fajitas. His… Continue Reading →

If Your Siblings, Mother, or Other Relative Has Check Signing Authority… Watch Out!

Reading Time: 2 minutesMost business owners don’t think twice about letting a spouse or even a trusted employee have check signing authority on the business bank accounts. A sad, but true story: Three siblings own and operate a company. Each sibling has his/her… Continue Reading →

Don’t Get Caught in this Accounts Receivable Scam – 3 Way to Protect Yourself

Reading Time: 2 minutesClick here to listen to this story. Most of us think that data breaches only happen to large companies. However, it happens to us too…except it isn’t large enough or sensational enough for the national news. And, it can hurt… Continue Reading →

Are Your Books a Mess? If You Have a Bookkeeper – Watch Out!

Reading Time: 3 minutesAfter working with business owners for more than 30 years, I can almost smell when the books are not right. Unfortunately sometimes it is a bookkeeper stealing, other times it is field employees. Either way, it is a sickening feeling… Continue Reading →

Sobering Budget vs. Actual Results – Are Your Managers Seeing the Same Thing?

Reading Time: 2 minutesManagers got their first budget ever this year. They were a part of the creation of the budget and approved it. They just got their first results – January 2018. Yes, this is later than I like to see it… Continue Reading →

An Advertising Investment that Shocked a Business Owner

Reading Time: 2 minutesHe didn’t think it would work…and it did Several years ago I was working with a contractor in his 30’s. His business was on Hilton Head Island – a community with a large population of very wealthy individuals. People on… Continue Reading →

How Much Are Your Customers Worth – Here’s How to Find Out

Reading Time: 2 minutesSurprise! Your customers may be worth $1200 or more per year? Knowing the lifetime value of a customer helps you estimate the volume of business you could expect from each new and existing customer. Once you know how frequently a… Continue Reading →

I Made a Profit – Where’s the Cash?

Reading Time: 2 minutesYou look at the bottom line of your profit and loss statement every month and see that your company has a profit. You see profits month after month yet you run up against a cash crunch – payroll, or in… Continue Reading →

4 Top Ways Employees and Vendors Steal from You – Part 2

Reading Time: 3 minutesLast week I covered two of the four top ways people steal from you. This week I cover two more ways. 3. Use Signature Stamps Three partners operated a business. One was focused on sales, one on operations, and one… Continue Reading →

Is There a Thief In Your Business? Read this before You Say NO!

Reading Time: 3 minutesA friend called my colleague to demand to know why his bill was 90 days past due. The bookkeeper found a copy of the cancelled check with the dates, etc. When my colleague called to offer to fax the check, his… Continue Reading →

Why People Steal

Reading Time: 2 minutesIn the 36 years I have been consulting with and coaching small business owners, one of the most difficult things I’ve ever had to do was tell two partners that a third partner was stealing at least $50,000 a year… Continue Reading →

2018 Financial Budget -Keep the Grinch Away!

Reading Time: 2 minutesTo keep the Grinch away in 2018 – Put your budget in writing – or at least in an Excel spread sheet. Before you begin, here are some questions to ask: 1. Are you getting your monthly financial statements in… Continue Reading →

I’m the Grinch Who Stole Christmas – Part 3a – Who are Your Customers – Really?

Reading Time: 2 minutesI’m the Grinch that Stole Christmas – Part 3a Who are Your Customers – Really? I’m being the Grinch – reminding you that there will be no Christmas if you don’t plan and don’t track. And, if you don’t plan… Continue Reading →

I’m the Grinch that Stole Christmas – Part 2

Reading Time: 3 minutesSuggested Goals for 2018 I’m being the Grinch – reminding you that there will be no Christmas if you don’t plan and don’t track. And, if you don’t plan and don’t track, you can’t complain about what happens to your… Continue Reading →

I’m the Grinch that Stole Christmas

Reading Time: 2 minutesI’m the Grinch that Stole Christmas Traditionally at this time of year I write about planning – and how simple it can be. So, I’m being the Grinch – reminding you that there will be no Christmas if you don’t… Continue Reading →

Can You Generate $14,352 to pay for one overtime hour every week?

Reading Time: 3 minutesOr, looking at it another way, is paying one hour of overtime per week worth $4,784? Overtime is expensive. Here’s what it really costs. If you pay an employee $16 per hour, then one hour of overtime is $24 per… Continue Reading →

Beware: Who Has Check Signing Authority on your Business Checking Account?

Reading Time: 2 minutesMost business owners don’t think twice about letting a spouse or even a trusted employee have check signing authority on the business bank accounts. A sad, but true story: Three siblings own and operate a company. Each sibling has his/her… Continue Reading →

Why You Should NEVER Give Out Bonus Checks

Reading Time: 2 minutesTo listen to my interview with Kevin Price about this subject: https://soundcloud.com/user-759550640/11-8-17-ruth-king One of your company perks should be a bonus based on company profitability. This bonus is given every year in February, and never at the Christmas holidays. You… Continue Reading →

5 Cash Flow Mistakes that Can Kill Your Business

Reading Time: 2 minutesThese five cash flow mistakes can kill your business. Don’t make them! 1. Thinking you can lose money on a product and make it up on selling your other products and services. If you have 1,000 “give aways” and you… Continue Reading →

Do You Have Enough Cash to Grow?

Reading Time: 2 minutesHistorically, the fastest growing companies can grow themselves out of business fast. Why? They run out of cash. Their sales are increasing rapidly and their cash is decreasing at a greater rate. In other words, their sales are outgrowing their… Continue Reading →

How to tell if your financial statements are wrong in less than 97 seconds

Reading Time: 3 minutesAs owners and managers, your responsibility is to review accurate financial statements on a timely basis. This allows you to make good business decisions and spot minor issues before they become major crises. Here are six, easy-to-spot things to look… Continue Reading →

How Dog Food Tells You IF Your Advertising is Working

Reading Time: 2 minutesThis weekend I was watching one of my recorded sessions of Chopped (yes, I am a food junkie) and an ad for Hill’s Science Diet came on. Most of the time I fast forward through the ads. However, this one… Continue Reading →

Are You Tired and Grumpy? The Quick, Easy Way to become Enthused Again

Reading Time: 2 minutesThis summer was really hot in many areas of the country. And, the hurricanes disrupted many lives in the southeast and Gulf Coast. You might have become grumpy – you’re not having fun anymore. One of the air conditioning installation… Continue Reading →

Three Easy Ways to Increase Productivity

Reading Time: 2 minutesIn honor of Labor Day, let’s look at three easy actions to increase labor productivity. First, why is productive labor important? The more productive your employees, usually the more profit you earn. The more productive your employees, usually the more… Continue Reading →

Do You Have the Mercedes Benz Syndrome?

Reading Time: 3 minutesA colleague was helping a business owner look for funding for his business. He introduced him to a potential investor at lunch. The next day the investor called my colleague and told him that the person was nice but he… Continue Reading →

My CPA Should Have Told Me That!

Reading Time: 3 minutesI recently had breakfast with a colleague. We had a conversation about her accounting software and some of the problems she was having with it. I asked her a few questions and she didn’t know the answers. Her feelings were… Continue Reading →

How You Can be Profitable and Still Go Broke

Reading Time: 2 minutesProfits are not cash. When you look at the bottom line on your Profit and Loss statement, the dollar amount at the end of each month’s statement is NOT the amount of cash you have in the bank. Profits are… Continue Reading →

Can you Afford this $250,000 Fine for Being Nice?

Reading Time: 2 minutesFor years a contractor let their employees come in to the office, drink coffee, and “shoot the breeze” before work began. A disgruntled employee left the company and went to the Department of Labor to see how he could “get… Continue Reading →

Three Keys to Business Freedom

Reading Time: 2 minutesIn honor of Canada’s 150th Birthday on July 1st and the Fourth of July Independence Day in the United States, here are the three keys to business freedom. First, my definition of business freedom: you have a smooth running, profitable,… Continue Reading →

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