Hey, Trucking Nation! Hope you’re enjoying the road this week. The winter season brings new adventures every year, but with all the chaos, you deserve to take moment in a quiet place and calm your mind before we start looking into the future. You can’t look into your future all stressed out – that never ends well. The new year will be here soon and if you’re not prepared things can get rough. You don’t want to be hanging up your keys going – “I coulda been a contender.”
Conducting a review of your business is going to give you all those goals, budgets, and plans successful business people say you need to do at the end of the year to stay profitable. Those kinds of people just like to confuse you a bit with fancy words and crazy colored graphs. We don’t need all that fluff. The TruckLogics Crew has broken down how to conduct a review of your business that is efficient, fast, and easy.
1. Organize the Information We’re all about making life simple, so when putting together your expenses, income, and revenue for each month of 2015, break it down by quarter. Start with January, February, and March.
If you have been using TruckLogics since the beginning of the year, all you will need to do is generate a Profit & Loss report for the first quarter.
2. Analyze and Set Goals Once you’ve added up the different figures, now it’s time to analyze and set a goal for each month of 2016. Set a goal for how much you want to increase your revenue in January. Then, look at which expenses you can eliminate so you can start shaping a budget. Do the same for February and March.
Next, look at how many loads you had in January 2015. Set a goal for how many you want to haul for January 2016. Do you want to do the same amount? Less? More?. If you want to do less, know your Revenue Per Mile (RPM) should be higher than last year.
3. Create A Budget Think of a budget as a game. You will have a certain amount of money to use for one month, and you can use it any way you wish, but you can’t go over. Create a reasonable expense budget starting with January. The goal is to spend less than the year before so you can turn more profit for the month. Sticking to a budget is also going to give you a cushion of savings in case you don’t do well one month, or you have an emergency expense.
4. Manage Your Plan with TruckLogics Now that you have goals, a budget, and some extra motivation provided by coffee, it’s time to make a plan. All the steps listed above can be done using TruckLogics. Every expense, income transaction, revenue, and even your mileage is going to be tracked for you so you can simply click a button and have a report. A dispatch history can be generated for each month so you can see which lanes were more profitable and so much more. The possibilities are endless with TruckLogics. Never waste time and never stop moving forward.