Business Alchemy 101 Lesson 19–Revenue to Space (Part One)

Business Alchemy 101 Lesson 19–Revenue to Space (Part One)

One day when you have nothing better to do, take a roll of masking tape and mark out the floor of your whole office into a one-foot square grid. Count all of the squares and make note of how many squares there are in your office.

Next, take a huge jar of pennies and count them all. Divide the total pennies by the total number of squares in your office and then go throughout the office and place the same number of pennies on every square in the office.

Surely that sounds like fun!

This is a quick illustration of the Revenue to Space ratio. Instead of using a jar of pennies, you use your revenue and place the same amount of revenue in every square.

The equation for this ratio is quite simple and you have probably already figured it out, but I will still go over it in the next post.

Your business THRIVES on a solid FOUNDATION!

Bookkeeping Training