... continued from Cover
STOP GUESSING, START GROWING If you ignore your KPIs, you’re playing a losing game where you’ll always work harder and see no real improvement. But when you track Inventory Turns, Payroll Ratio, and Expense Ratio, you take control of your pharmacy’s success. Need help? We’ve got on-demand courses that walk you through every step. Plus, our office hours are on Tuesdays at 10 a.m. Central, and Mike’s implementation calls happen Monday through Friday at 2 p.m. Central.
running the business. Expenses often include rent, utilities, payroll, marketing, and other overhead costs necessary to maintain daily operations. Your total operating expenses do NOT include your inventory costs! Follow this formula to get your expense ratio:
Total Operating Expenses ÷ Total Revenue = Expense Ratio
Your goal? Stay under 19%. If your expenses are creeping higher, you need to cut costs and boost efficiency. Here’s where to start: • Audit your overhead: Are you spending money on things you don’t need? Cut it. • Negotiate your lease: Your landlord would rather keep you as a tenant than risk a vacancy. • Save on office supplies: Ink, toner, and other costs add up fast. Look for better deals. • Meet with your accountant: Regular P&L reviews help you stay ahead of financial trouble. If your expense ratio is bloated, every dollar you make is just covering your costs instead of fueling growth. That’s a recipe for frustration.
Start tracking today, and make Q2 the quarter where everything changes.
HAVE A LAUGH
561-379-7750 6
Made with FlippingBook Ebook Creator