Erika Jones, CFO, CCTAProfit First Professionals · Certified Fractional CFO and Profit First Professional

#EEP Podcast #291 Highlights with Colleen Hilton

10 Feb 2020 · 0 min

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In this podcast excerpt, host Speaker A asks guest Colleen Hilton about her business situation before discovering the Profit First methodology. Hilton describes operating two locations with roughly $10,000 in hard monthly expenses, a payroll for about six employees, and a personal take‑home of $2,500 only when the business turned a profit. After adopting the Profit First system, she reports a 300% year‑over‑year increase in both revenue and profit, implying a substantially higher personal income now. The dialogue highlights the stark contrast between the pre‑implementation financial strain and the post‑implementation growth attributed to the Profit First framework.

Can you give me the day before, the day after you discovered Profit first, like leading up to this point where you started reading the book what was the business like?
I read profit first. We had two locations. We were probably carrying about $10,000 a month in hard expenses, but also payroll for probably about six employees at that point. So quite a bit again, I was taking home $2,500 a month if we made any money that month. Since implementing your system year over year, we have seen a 300% increase in revenues and profits.
Okay. So that's amazing. And I'm just going to presume you're taking more than 2,500 home now because. Okay.
Yes, no, now I get a salary and I get owner's distributions based on profits. And I'm stable in my own personal life, which lets me be more stable as the the CEO of my own company. And the ripple effect is just exponential.