5-Bullet Weekly Profit First Club Update: I shouldn’t be sending this!

5-Bullet Weekly Profit First Club Update: I shouldn’t be sending this!

This Week’s Newsletter Covers:

Read time = 4 minutes.

• Profit First client story: Staying on top of your numbers.

• Why profit doesn’t always equal cash in your bank.

• Managing time better using the Entrepreneurial Time System.

• The importance of taking time off to sharpen the saw.

• A lesson from the P. Diddy news.

I have sent this weekly update from sunny Tuscany with the Edwards Fam and also the rest of my wife’s family to celebrate her auntie’s 30th Wedding Anniversary.

1️⃣ Profit First: Staying on Top of Your Numbers

I recently had a Profit First annual review with a client who has made significant progress over the last two years. However, something didn’t quite look right in his numbers, and Profit First flagged that something was off. This system pushed us to dig deeper, and we discovered that a key hire in his operations had shifted his role, leaving him less hands-on. This change had affected the numbers significantly. The takeaway? Profit First is a constant reminder to stay on top of your numbers, especially when your business evolves.

2️⃣ Why Profit Doesn’t Equal Cash

Ever wondered why your accounts show a profit, but there’s not as much cash in the bank? I recently shared a TikTok that got a lot of interest on this topic. The answer lies in the fact that accounting profit isn’t the same as cash. For example, finance repayments—like bounce-back loans or hire purchase agreements—are major factors that can reduce cash without affecting your profit. If this sounds familiar and you’d like to learn more, feel free to reach out, whether you’re a client or not, and see how we can help.

3️⃣ The Entrepreneurial Time System

Managing your time as a business owner can be tricky, but one system I find incredibly helpful is Dan Sullivan’s Entrepreneurial Time System from Strategic Coach. It splits your time into three types of days: Focus Days, Buffer Days, and Free Days. Focus Days are for revenue-generating activities—your ‘front stage’ work. Buffer Days are for preparation and admin—your ‘back stage’ time to clean up messes and get ready for your Focus Days. Then there are Free Days, where you completely disconnect from work. This system has helped me set better boundaries and manage my week more effectively.

4️⃣ Personal Reflection: The Importance of Taking Time Off

As business owners, taking time off can feel challenging, especially in the early stages. Even when we do step away, it’s easy to get pulled back into emails and tasks. But taking proper, disconnected time off is crucial—it’s like sharpening the saw. It allows us to return stronger, fitter, and more focused. Linking back to the Entrepreneurial Time System, those Free Days are key to recharging and avoiding burnout. It’s something we should all aim for when possible.

5️⃣ Lessons from the P. Diddy News

This week, I’ve been reflecting on the surprising news surrounding P. Diddy, which is still unfolding. What struck me most wasn’t just the controversy, but that he was once mentored by Ray Dalio, one of the most successful investors in the world. Diddy appeared to have the right mindset and credibility, but it highlights a key lesson: you can’t always take people at face value. In business, it’s crucial to surround yourself with authentic individuals, but sometimes you just don’t know who people truly are. It’s a reminder to be cautious and thoughtful about who we trust professionally. This is why having core values in your business is so important.

Have an amazing weekend.

PS - I have been away from the office for a week so will pick up any personal emails from Tuesday onwards.

Want some help?

3 Ways I can help you.

1. If you are not a client then you can book a call HERE so we can learn more about your business.

2. If you are a client and we don’t already help you with Profit First, email me via [email protected] to arrange a chat about the Profit First System and how it can increase your cash balance and profits (guaranteed)

3. Get some tax tips from my TikTok HERE