http://diagnosticnews.com/management/key-numbers-for-shop-survival-round-2/ the Automotive Diagnostic Newsblog Wed, 28 Dec 2011 22:58:27 +0000 hourly 1 http://wordpress.org/?v=3.1.2 http://diagnosticnews.com/management/key-numbers-for-shop-survival-round-2/#comment-126 Dennis Hughes Mon, 28 Jun 2010 13:04:55 +0000 http://diagnosticnews.com/?p=3333#comment-126 KEY NUMBERS FOR SHOP SURVIVAL. If sales are $1million and gross profit 60% or $600,000. Expenses 30% of sales is $300,000 and wages 25% of sales= $250,000. That only leaves $50,000 net profit. Not enough, should be at least $200,000. My expenses on $1 million sales are $110,000, Wages $320,000. Gross profit $670,000 net profit = $240,000 or 24% of sales. I think the 30% expenses is far too high to allow.?? KEY NUMBERS FOR SHOP SURVIVAL.
If sales are $1million and gross profit 60% or $600,000. Expenses 30% of sales is $300,000 and wages 25% of sales= $250,000. That only leaves $50,000 net profit. Not enough, should be at least $200,000. My expenses on $1 million sales are $110,000, Wages $320,000. Gross profit $670,000 net profit = $240,000 or 24% of sales. I think the 30% expenses is far too high to allow.??

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