When is a marketing service expensive? How long is a piece of string?!
In business, it makes sense to have an amount, a percentage, that you are willing to pay to obtain sales. What is this amount or percentage?
When you are starting out in your business, it is not possible to designate this amount when you don’t know how much revenue is going to come in from the marketing services you are paying for.
So, you have to start somewhere. You have to do something. Whether it is the time you put in, the consultants you pay, the tools you subscribe to – start now! Then measure, measure, measure. Make sure you know where every sale came from.
You will then know what has worked, what your investment was to gain the revenue – and you can easily calculate what your percentage in investment (the cost of the particular service) against the sales you received.
From this information, you can decide what your threshold is for investing in services. You will have a better idea what service is expensive, and what service is worth investing in as you know that it will generate revenue, that is, which services provide value for your investment.
Need help with setting up your accounting system to measure, to track costs and sales? Contact Elke!
Learn XERO online with MIEBS!
We offer 4 Xero courses delivered by a ATO Registered BAS Agent with extensive experience in using and training in XERO:
- XERO in a Day – how to use XERO day to day, and the fundamentals of bookkeeping.
- Managing Payroll Using XERO – how to set-up and process payroll, and meet regulatory reporting using XERO
- Smarter XERO – how to sort out issues, set-up and use Fixed Assets, Hubdoc, Budgets, Manual Journals and much more
- Introduction to XERO Projects – how to setup and effectively cost manage small projects
Do you need assistance with getting yourself organised? Contact Elke on 0410 819 783, Email firstname.lastname@example.org.
Our expertise is in systems, XERO training, MYOB and Microsoft Office applications.