Brick-and-Mortar vs Online Profit Margins #entrepreneurship #smallbusiness

3 Jun 2026 · 0 min
0:18

In this brief advisory segment, Kelly Alhooie explains typical profit margin benchmarks for two business models. She notes that the industry standard profit margin for brick‑and‑mortar practices is around 10%, but she coaches clients to aim for 15% or higher so they have sufficient cash flow to reinvest in their operations. For online businesses, she recommends targeting a much higher margin—about 70%—to generate enough surplus to fund ongoing marketing efforts.

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