Revenue Is Not Profit
Revenue is not profit.
Revenue is not profit. Profit cannot exist if there s no revenue. Wagner march 20 2020. Revenue is the total amount of income generated by the sale of goods or services related to the company s primary operations. We had 20 million in revenue per location.
Profit is the result of deducting expenses from the revenue. The money that s in the free and clear is the net profit also called net income this is also called the company s bottom line gross profit is the amount left over when the costs of goods sold are deducted from the revenue. Profit typically called net profit or the bottom line is the amount. Dozens of times in my career selling and valuing businesses a business owner will point to his revenue a k a.
Net profit is when all expenses debts and costs are deducted.