One thing I have always admired about some business bloggers is their transparency to what they make online. This part of the site is here for accountability of business incomings and outgoings, and to track progress.
Since there are general overheads that everyone incurs in any type of business (accountancy, web hosting, work space) I will include these as a flat figure month on month. Any change in these numbers will be expanded upon.
My online business is inventory based and I have decided to report in terms of monthly profits and costs. Investment in inventory means that the company accounts can vary wildly from month to month. If you have any suggestions as to a better way to show this, or I have a brainwave, this may change.
“That which is measured improves, that which is measured and recorded improves exponentially”
Here’s to exponential growth!
Note: This tracker only includes revenue generated through the internet. I am undecided whether to include other investments and revenue from the ‘real world’.
February was an exciting month. Following the successful launch of my first product we had great success with a give-away increasing our foothold in the marketplace. Due to the nature of the give-away we decreased our stock levels quite dramatically but still held a profit over the period!
Unfortunately, due to our current business structure we ended up owing UK sales tac (20% of Turnover) which really hit our profits for this period!
Below you can see the breakdown of where our income went:
Profit for this period finished as $1135USD, nothing spectacular but very exciting for the first 6 weeks that we have ever traded online!
I have based this on the income after sales Fees. As you can see sales tax hit this period very hard. We are currently in the progress of separating eCommerce from our other activities to minimise tax impact for the next few months. This will not help with the initial Product for another 2 months though, until stock has been depleted and reordered.
The plan for the next period is to aggressively launch more products in order to spread the brand and increase cross-sales.
Currently we are only trading in the UK and reaching the US market will allow us to increase brand exposure and a much larger audience.