April 3, 2018 @ 9:20 AM
Letter to my CPA
“If I made that much money, where the heck is it?”
After getting the tax return back from the CPA, this is the usual question. Jewelers often tell me they aren’t making any money when in fact most I help do make a profit in the store.
Making a profit and having money are two completely different things.
Let’s just talk jewelry sales. If you sell $500,000 and get keystone your gross profit is $250,000.
If expenses are $200,000 then your net profit is $50,000 which is 10% of sales. AWESOME!
“But I have no money!”
Easy. Look at how much inventory you have. At keystone the amount ...Read More