George B. ThomasYour Human-Centric Business Growth Coah on Leadership, Marketing, Sales, and HubSpot Strategies

Lesson learned - How much profit per FTE to aim for.

Name: Lesson learned - How much profit per FTE to aim for.
Uploaded: 2023-12-23T13:00:30Z
Channel: George B. Thomas
Description: This is a YouTube video titled "Lesson learned - How much profit per FTE to aim for." It contains a monologue or single-speaker discussion from December…

23 Dec 2023

Watch on YouTube

This is a YouTube video titled "Lesson learned - How much profit per FTE to aim for." It contains a monologue or single-speaker discussion from December 23, 2023, focusing on financial metrics related to revenue per employee and profitability challenges in professional services. The speaker discusses the importance of maintaining revenue per employee above certain thresholds to ensure profitability.

At one point, I overhired in forecast properly. If you track revenue per employee and say you're at 10 million and you've got 20 employees, that's 500,000 per head. That's amazing. When that number starts to dip below 200,000, you're in trouble. You need to look at other options. That's where it gets really challenging to be profitable, because your biggest cost walks on two legs, generally for professional services.