Own a business? What your net profit / year?

amother

Obsidian

Tue, Jan 17 2023, 9:36 pm

You’re saying you opened shop on 2021 and 2022, second year in business, was a slower year and you netted 100k. I would say you really know what you’re doing already.

(Or your numbers are not accurate….)

amother

Lily

Tue, Jan 17 2023, 9:44 pm

I have a business
https://www.goldsmithswim.com/register
Just opened it formally last year so don’t really have profit yet because every ounce of profit goes into the downpayment for our new building and indoor pool.
Based on the amount I make in the 2-3 months of swimming weather with the outdoor pool, I think I can see myself earning 100k a year within a couple years (I daven).

amother

Ruby

Tue, Jan 17 2023, 9:44 pm

As someone in the financial industry my question to you would be what is your profit margin.
Are you maxing your current overhead?
How is your cash flow? Do you have a lot of open recievables?
And most importantly do you have good books and review detailed reports at least quarterly?
Those questions are more important than a number.

amother

Tue, Jan 17 2023, 9:46 pm

Right.
First year we had half the designs and inventory as 2nd year. We expected to double our earnings in 22 with more designs/ retailers/ inventory but we barely reached the 100k in profit.

amother

Tue, Jan 17 2023, 9:49 pm

amother Lily wrote:

Good luck! Lots of hard work and tefilla!

amother

Ginger

Tue, Jan 17 2023, 9:52 pm

amother OP wrote:

Absolutelyy!!
I thought I was the only one but after inquiring by me fellow retailers they all came back with the same responses.
business is was way slower in 22 then in 21...
people dont have the extra cash they had with all those stimulus and child tax credit money.

business owners: come in with your story.

This is really making me think twice before buying at big box stores vs local ones

amother

Tue, Jan 17 2023, 9:52 pm

amother Ruby wrote:

Also start taking a salary asap. Whether you do a weekly wage or a percentage of sales it is extremely important.

Thanks ruby for your input.

Receivables and reports are done very periodically. The issue is that most of the profit is used for new inventory..

I wonder how much a healthy business should spend on marketing and if it's worth it's price tag.

amother

Oak

Tue, Jan 17 2023, 10:40 pm

amother DarkRed wrote:

That's great for a new business! Most businesses do not earn 100k profit after being open for just 2 years.

I have a business for 8 years, and for the first few years it was breaking even, barely. Currently, it nets around 300-350k. We went thru ups and downs and we tweaked our strategies again and again, until it BH took off.

We can definitely expand, but taking it slowly, as I don't want to be in over my head.

We do minimal advertising at this point, and have no social media presence. It's repeat customers and word of mouth. (But that's only because we are high in demand).

May I ask what your industry is?

amother

Ebony

Tue, Jan 17 2023, 10:44 pm

I opened a service business a few years ago.
The first year I made about 6k
Then next year 12k
The next year 85k
This year 200k+

I thank hashem every day for it. I feel like I’m on a train going a little too quick honestly. It just blew up in front of me. I really provide stellar service and a personal relationship with all my clients and bh never needed to advertise. All my clients were recommended by clients, family or friends.

Edited to add: the first three years it was a side business. This year it’s full time.

amother

Seagreen

Wed, Jan 18 2023, 8:52 am

amother NeonPink wrote:

Wow! I own two businesses. People think I rake it in because I’m very high end and I charge a lot, and I’m usually fully booked, but I actually only make about 40k net a year
I do not have a business head and I would prob do better with a consultant. I am very creative and do an excellent job at what I do. I am considered top in my industry. But I still net very very little

Business coaches and consultants were made for people like you.

amother

Babyblue

Wed, Jan 18 2023, 9:16 am

Can I ask why it’s important to take a salary if it’s your own business? Does that apply to service based as well? Thanks

amother

Wed, Jan 18 2023, 9:56 am

amother Ebony wrote:

Wow! Im so proud of you!
Dont worry that its going this fast because when a service business is successful this is the way it runs. You build your business according to the flow of customers vs product business which you need inventory before you get your customers.

I wish you loads of luck and may your business grow faster and faster.

amother

Ebony

Wed, Jan 18 2023, 11:43 am

amother OP wrote:

Thank you for your kind words.

amother

Wed, Jan 18 2023, 8:51 pm

amother Arcticblue wrote:

Do any of you have business partners?

Are these businesses run by you imas only or your husbands are involved?

For me: no business partner.

My husband likes to be a regular 9-5er so yeah, its totally and only me who likes to risk .. and I love being my own boss...

amother

Steelblue

Wed, Jan 18 2023, 10:07 pm

To all of you women business owners out there, Kol hakavod!!

I just wanted to come in and mention that if any of you would want to grow at a quicker paste there are options out there of business funding. I've been helping my clients and bh money makes money, amazing to see them grow at a quicker paste... wheather it be for inventory, cash flow or other reasons...
I'd be happy to discuss

amother

Aquamarine

Wed, Jan 18 2023, 10:09 pm

amother Lily wrote:

I live in a different state and have been renting my pool to women for many years. The income only covers the expenses, short term and long term maintenance.

Is your main profit from the courses?

Do you give the courses and lessons yourself? Or you hire instructors?

amother

Sienna

Wed, Jan 18 2023, 10:22 pm

Kol hakavod to all you hustlers!

“ I have a business
https://www.goldsmithswim.com/register
Just opened it formally last year so don’t really have profit yet because every ounce of profit goes into the downpayment for our new building and indoor pool.
Based on the amount I make in the 2-3 months of swimming weather with the outdoor pool, I think I can see myself earning 100k a year within a couple years (I daven).”

I didn’t know how to contact you privately: you need to edit the prices in the 1:1 swim lessons.
It’s $50 pay as you go and the price for 12 lessons is also $50 instead of $500 I’m assuming.
Sorry I’m doing this in public.

Btw I’m thinking of hiring myself out for media content editing. Jk

amother

Mon, Feb 06 2023, 11:05 am

So since business didnt really pick up as much we are going to try for the first time to spend money in a marketing campaign.
Ill keep you posted here on the thread how its developing.

Our budget is 20k for the next few weeks following up to Pesoch.
-paid 4K on ad design.
-aprox 16K in ad placement in local advertising books and paid magazines like AMI and Mishpacha.

which publication do you think is the most popular and effective?

TwinsMommy

Mon, Feb 06 2023, 2:33 pm

you said you're custom jewelry wholesale to retailers, right? Are jewelry retailers reading frum publications like Ami and Mishpacha? What's your website, and what's your target market? What type of jewelry?