The Reality Check

Written By Shaun Flynn

A P&L was given to me, and I put the numbers into FoundationStone to provide a picture of what said P&L was saying but the business owner wasn’t an accountant and didn’t understand what the spreadsheet was showing/saying although they did hear (but didn’t understand) the comment “you need to make more profit” because they thought that meant “work harder”. 

Given they were already doing 60+ hours a week they couldn’t see how this could work.  Nothing changed in their behaviour

That same excel doc was transformed in FoundationStone to this.  It shows with great clarity how the performance of the business over the last 12 months was assessed

1st Pie Graph that breaks down the % of spend

"Is this project (12 month P&L reality) carrying too much overhead, or is the overhead allocation finally reflecting the true cost of running the business?"

2nd Pie Graph

‍ ‍ FROM THIS TO THIS

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Shaun Flynn
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