The Labor Value Multiple and Why It’s the Most Important Metric for Service Businesses

One question I get asked a lot is: what is the single most important financial metric I should focus on? Well, if you own or manage a service organization, that metric is Labor Value Multiple, or LVM.

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Top Technology for Small Business Accounting

The great thing about modern technology for small business accounting is that there are so many options. But the bad thing about technology for small business accounting is that there

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The LTV:CAC Ratio – Evaluating Customer Acquisition Cost

Last week I showed you how to calculate customer acquisition cost in real dollars. While this is an important metric for you to understand about your business, what's even more useful is understanding how that CAC, customer acquisition cost, relates to your LTV, or lifetime value of your customers.

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How to Calculate Customer Acquisition Cost

Hi. Today we're going to be talking about customer acquisition cost. As the head of marketing for SmartBooks, it's my job both to bring in new customers to SmartBooks and to do so at a cost effective price.

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Tax Prep Checklist for Small Businesses

Even though the ink from your 2018 tax return might still be fresh, it’s not too early to start thinking about 2019. Here are a few tips to put on

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How to Create a Chart of Accounts For Your Professional Service Firm

A Professional Services (PS) firm’s chart of accounts is more than a bookkeeping tool. It’s a resource. It provides a top-down view of financial performance. Where should professional service firms

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Bookkeeping Service Fees: Should You Pay $250 Per Month?

Remote bookkeeping is in the midst of a boom. In a bad way. It seems like new providers pop up every week. They have rock-bottom bookkeeping service fees and make

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Small Business Tax Advice: 5 Signs It’s Time to Look for a New CPA

Having a clear understanding of your finances is vital to running a successful business. It’s important to have a CPA (certified public accountant) you can trust on your team. Many

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Working Remotely: How to Set Your Employees, and Your Business, Up for Success

According to surveys of American workers, 43 percent of employees work from home some of the time, with a full three percent working remotely at least half the time. In

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How to Calculate Gross Profit Margin: A Small Business Owner’s Guide

The Gross Profit Margin calculation describes how profitable a company’s goods and/or services are. It’s an important metric, and it’s one of the easiest KPIs to calculate. There are two

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