Having the Right Tool and Knowing How to Use It Can Make Things Much Better

The Thing to Remember About Tools Is…They’re Only Good if You Use Them

Over the last couple of weeks, we have discussed why it’s critical to save money for those big irregular expenses and unexpected emergencies. Next, we began the process needed to start building a “Rainy Day” fund by determining how much and for what. The Savings Transfer Sheet is like any other tool, it doesn’t do you any good if you don’t use it.

As is the case with everything that’s worth doing, starting is the hard part. Saving money is no different. It’s like digging a hole.

What if there’s an underground water line leaking in your backyard. You can see that spot where the grass is green in an otherwise brown lawn. The water bill is more than ever before and getting bigger each month. That doesn’t matter, the prospect of getting your shovel out of the tool shed and digging is more than you can bear to think about. So, you put it off and pretend that it’s not a problem.

The green spot in the yard keeps getting bigger and greener. The water bill keeps getting bigger too. You decide to cover the spot in the back yard with an above ground swimming pool. That took care of it…no more green spot. You know what they say. Out of sight out of mind.

Then one day you get a water bill that is so big you decide that you’ve got to do something. So, you drain the pool, get a shovel, and start digging. Then before you know it, you’ve uncovered the pipe, found the leak, made the repair, and filled the hole.

That wasn’t near as bad as you thought it was going to be. Once again, you are aware that this is one of those times when the overwhelming dread was way worse than the actual process. The next water bill is back where it used to be, and you wonder why you weren’t more proactive.

A shovel is a simple tool that’s easy to use. It can fix a problem before it gets too big, but only if you use it. If you don’t, the outcome can be devastating.

The same thing is true about the Savings Transfer Sheet. If you’ll take the time to get it out of the toolbox, spend some time learning how to use it, and use it regularly, it will make a significant difference to stop your financial leaks.

Wouldn’t you like to have your money filling up the pool rather than leak out of it.

If you would like to learn more about the Savings Account Transfer sheet, schedule a free 30-minute construction company consultation.

How To Keep A Finger On The Profit Pulse Of Your Company


Accomplished by A Weekly Profit Comparison


Have you ever been shocked when preparing your year-end financial paperwork and you find that profits were not what you expected?


You had, what you thought, was a good year. You were busy and working hard all year long. This was an unexpected and disappointing surprise. What happened?


There is so much required to operate a business and it’s hard to keep everything balanced. There are three support columns that hold up a company and financial health is a crucial part of one of them. If you neglect to regularly monitor finances, by the time you realize it, that support leg may be too weak to keep the company stable.


It’s easy to lose track of things if you aren’t intentional.

Profit and loss reports are easy to prepare, especially if you use a computer bookkeeping program. The problem I had with the profit and loss report was that it didn’t answer questions that I wanted answered, not without doing a lot of extra work. We all struggle with not having enough time to get everything done so, it gets put off and the next thing you know the year’s over.


Been there done that. That’s why I developed a Profit Comparison report.


I wanted, at a glance, to know if we were on target for the current year’s financial goals. This way adjustments could be made before the financial support leg got too weak. I also wanted to be able to see how the company’s income and expenses compared with last week or last year at any time throughout the year.

The Profit Comparison is an Excel spreadsheet that within a few minutes can be filled out and ready for review. We take information from a standard profit loss report, enter it into the proper places on the spreadsheet and with a few clicks of the mouse it lets us see what the “profit pulse” is. By filling it out and reviewing it every week we can stop bleeding before it becomes fatal.

The Profit Comparison report provides:

  • Comparison of the current Gross Profit to last week, last year and this year’s goal.
  • Comparison of the current Overhead Expenses to last week, last year and this year’s goal.
  • Comparison of the current Net Profit to last week, last year and this year’s goal.
  • Revenue deficiencies or surpluses, providing an opportunity to make necessary adjustments to get and stay on target.
  • Job cost overruns, providing an opportunity to make necessary adjustments to get and stay on target.
  • Excessive overhead expenses, providing an opportunity to make necessary adjustments to get and stay on target.

One of the biggest problems that businesses struggle with is the lack of time to get everything done, this is especially true for small to medium size companies. Financial reports are one of those things that get put off because they aren’t “directly connected” to generating revenue.


This simple report can easily provide the “profit pulse of your company” weekly.


We are working on developing this Profit Comparison Report complete with instructions into a product available for use by others. If you or someone you know would be interested in this, please let us know in the comments below.