Everyone Gets Paid. Except You.

Enter four numbers and see exactly where your profit is hiding — in 30 seconds.
The Problem

You're cutting the pie three ways.

Think of your revenue as a pie. Every sector takes a slice — payroll, materials, operating costs. The pie is only so big, so if the pieces are too big, you run out of pie.

What I find is that most owners never cut a slice for themselves. If you're only planning on three pieces, those three will always grow to take everything.

The other common issue: one sector is helping itself to way too big a piece. Usually payroll.

The Solution

Cut it four ways.

Your service company P&L should be broken into four buckets, not three:

  1. 01
    PayrollLabor, plus taxes and burden
  2. 02
    Cost of GoodsMaterials
  3. 03
    Operating CostsRent, insurance, utilities, software
  4. 04
    ProfitYour slice — planned, not leftover

Every week, add these up and compare them to overall sales by percentage. I call this Functional Accounting — four buckets to fit every cost in.

The P&L your accountant hands you won't be built this way, and will likely confuse you. I use this exact formula to buy businesses and figure out what to change immediately to put them back on track.

Your Turn

Now cut your pie.

Four numbers from last month. Estimates are fine — you'll see your buckets the moment you type.

Your Monthly Numbers

Use last month's totals — estimates are fine.
$
$
We automatically add 10% for payroll taxes & burden.
$
$

Your Four Buckets

Updates as you type. Every dollar lands in one of four.
Net Profit / mo
–
Profit Margin
–
Labor
Cost of Goods
Operating Costs
Profit — Your Slice
Your numbers are in.
Your breakdown is ready.

No spam. Just answers.
Why I hold payroll to 25%. Most business experts will tell you payroll can be 33% of sales. I used to be one of those people — until I bought franchises. Those models require payroll at 25% for there to be enough profit to cover a 7–10% franchise fee. If franchises can structure their model that way, so can we.
Free · 45 Minutes · With Josh

Let's find your profit.

We'll go over your numbers together and build a map to exactly what's needed for more profit. No charge, no obligation — and you keep the map either way.
Free Profits Call With Josh

Where are you losing profit at?

An example of a typical month at a 3-bay auto shop.

Sales of $50,000 and a profit of $14,300. Looks good in QuickBooks — it would make most owners happy. Until you break it into the four buckets.

BucketActualShould BeOver
Labor$13,200$12,500+$700 High
Cost of Goods$12,500$12,500$0 Good
Operating Costs$10,000$8,500+$1,500 High
Profit — Your Slice$14,300$16,500−$2,200

Now you can see it. Labor should be $12,500 at 25% of sales — it came in at $13,200. That's $700 walking out the door. Operating costs should be $8,500 at 17% — they came in at $10,000. Another $1,500 gone.

$2,200 in one month that QuickBooks called a good month.

In this case the company needs more sales to bring that operating number down. And if this shop was already maxed out on productivity, that's the sign it needs to charge more per hour for its services.

Same numbers. Same month. The only thing that changed is how the pie got cut — and now there's something to actually fix.

Free · 45 Minutes · With Josh

Let's find your $2,200.

We'll go over your numbers together and build a map to exactly what's needed for more profit. No charge, no obligation — and you keep the map either way.
Free Profits Call With Josh