Disclaimer
Please note that the information provided isn’t intended and should not be relied upon as professional or personal nancial
product advice. You should seek professional advice before making any decision that could aect the nancial health of your
business. Source TSBC.com.
Prot increase calculator
How to use the Prot Increase Calculator
By entering your existing business data and then developing strategies to improve each factor by a small
percentage, you can see how a number of incremental steps may lead to a signicant increase in net prot. The
factors are:
Current
performance
Improved
performance
Number of potential customers %
Conversion rate % % %
Number of customers
Number of transactions per customer %
Average value of each sale %
Total turnover
Net prot percentage % % %
Resulting net prot
Increasing the number of potential customers
Look for ways to increase awareness, promote to
new customers, look for referrals and advertise.
Increasing the number of conversions into
customers
Set up sales campaigns or oers to improve the
chance a customer will convert into sale.
Increasing the number of transactions per
customer
Add on complementary products or services,
or partner with other businesses to move
customers from buying one item, to two.
Increasing the average sales transaction
value
Either increase prices, or sell higher margin
products and services.
Increasing net prot percentage
Reduce costs and overheads as a proportion of
sales without impacting on quality.
The prot increase calculator automatically computes
the number of paying customers, total turnover, and
resulting net prot based on the gures you enter.
As you enter various improvement factors, pay
attention to how the resulting net prot improves
compared to your current net prot. The concept is to
have all ve of these elements working together, rather
than focusing on one element.
Improvement
factor
12,500
10.0
13,750
10.0
10.0
11.0
1,250
1,513
2
10.0
2.20
10.0
$ 55
$ 125,000
$ 183,013
40.0
10.0
44.0
$ 50,000
$ 80,526