Gross profit. Sales revenue. Cash on hand. All of these are important metrics, but they may not be the most important metrics for your business.
When I start working with a new client, I always ask which metrics they track on a frequent basis. I’m often surprised that most people only track a handful, such as revenue (not profit), new customers and sales leads in their pipeline.
When I inquire as to why they track those specific metrics, most people simply say, “That’s what I was told to track.” Not surprisingly, these folks often have a big problem in their businesses because they haven’t identified the metrics that really matter — the ones that strongly correlate to success.