Joey de Wit on LinkedIn: Financial Ratios are key to analysing a business. And even better, they… (2024)

What I think is one of the hardest things of growing a biz: time management. Not just the obvious stuff like being productive or procrastinating work. But the actual stuff that you need to keep track off as you scale up: > Utilisation; > Cost per Hour; > Billable Rate. Like I often find my days just fly by and then at 21:00 I'm wondering what I really did. Now if you'd add a couple team members to that and even more clients that becomes way more difficult to answer. Next phase for me is to really get more intentional about where I put my time. Familiar feeling?

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If you had a crystal ball. Telling you how to proceed with your agency. You'd hit your goals faster, right? Although you can't quite predict the future, you can forecast it. I'm giving access to a step-by-step guide on how to create a financial forecast for your agency. This will help you ensure profitability as you scale and take on more clients, hire accordingly etc. All you have to do is comment "access", and I'll get it across to you.

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Most entrepreneurs dream of their big pay day, i.e - exiting their business. It would be a shame if you worked your ass off for 5 years to build your agency; only to sell it for low multiples in the end, just because your finances weren't in check. So, if selling your agency is the ultimate goal, if it's in the horizon for this year, or if it's just something you're curious about - I got you. I created a guide going over all the things you need to have in place in your agency to be able to sell it for the highest possible multiples. All you have to do is comment "access", and I'll get it across to you.

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Stocks, shares, crypto - forget all of that. Reinvest back into your own business. And if you're an agency owner looking to do so, I have a resource going over the 10 Areas of your business to re-invest cash flow into for max growth. If you're looking to scale this year, having these things in mind is a must-have. All you have to do is comment "access", and I'll get it across to you.

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+$50,000... +$30,000... +$3500... these were the savings we found for one of the agencies we work with. I wrote down the entire breakdown of the process we followed, including: - How to correctly set up your bank and Stripe accounts for international payments; - How to implement a budgeting system to spot inefficiencies; - How to ensure your bookkeeping is bullet-proof. If you're looking to scale this year, having this infrastructure in place is a must-have. And not having it in place means you're literally burning cash. All you have to do is comment "access", and I'll get it across to you.

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If this is your agency– pay attention... I've met agency owners doing multi 5 and even 6 figures a month, running on razor thin profit margins. One of the main reasons why people start agencies is because of the margins. So why even run such a high-maintenance business if your margins are tiny? The space might seem easy when you see the gurus online boasting about similar figures - but plenty are fake gurus. It's no secret that these guys make money from selling courses, but many of them ONLY make money from the courses. Your profit margin will go down as you grow, but if you're struggling to keep your margins over 25% - you're doing something wrong. If you want to make sure your finances are in check going into 2024, I have a resource for agencies doing +$50k/mo. Comment "access", and I'll send you the setup you need to ensure your agency is primed for growth from a financial standpoint.

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Operating a business is not the same as managing one. And I'm telling you from experience from having seen it from both sides for the last few years. I now work with multiple marketing agencies, and analysed dozens of businesses while I was in banking (managing). And at the same time, I run my own financial consulting business. If I was back in corporate and only had to worry about my to-do list - I'd sleep extremely well at night. But knowing that the businesses I work with NEED my services to run smoothly, and that if I don't do any work for my business, it literally all comes to a stop: definitely keeps me on my toes. Bottom line is, running a business isn't for everyone. I'm not saying you should or shouldn't start your own. But definitely ask yourself: "Can I handle the heat?" before you start one.

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The agency space has many skilled entrepreneurs, marketers and operators. But many of them lack a specific skillset. Maybe because their agency is their first venture, and sometimes even their first professional experience. Or maybe because they have no formal education in business management or finance (totally fine btw). So the unfortunate truth is: many of them can't properly deal with their finances. You'll never be good at everything - which is okay. But not spending enough time on this part of the business means you won't be able to grow as fast as you'd like. If you'd like to focus on what you're good at and grow your business at a high pace, without worrying about your finances crumbling: comment "finance" and I'll get in touch with you shortly.

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It took me 10+ years of failed side-hustles to find my passion. - Failed a mobile app; - Failed a web design business; - Failed and quit multiple online sites; But now I'm finally seeing success with my fractional CFO services. Still, social media - and LinkedIn is no exception - makes us think everybody is a multimillionaire by 21, and that if you're not retired, living in Bali by 25: you're a total failure. This obviously couldn't be further from the truth. Everyone has a different timeline. Just keep trying and following your interest until you find what sticks. Not easy, but worth it.

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