#42 - Monday Minute - Know your #'s!
28 Jan 2026 · 1 min
Jeff Watson and Luke discuss why automotive entrepreneurs need to know their numbers: cost of goods sold, variable versus fixed expenses, and how to read financial statements. Understanding these basics determines whether your business actually makes money.
Chapters
Happy Monday, everybody. Hope you are geared up for a great week. Luke, what's on your mind, buddy?
On my mind is people not knowing their numbers, not knowing if I'm making money, if I'm losing money. How should I set up my corporation? What is flow through? What is this, that and the other? What is cost of goods sold?
What does it matter, buddy? I'm a car guy. I just got to know what engines inside that thing, right? Hey, got to know if carfax good do I advertise it, I price it, right? That's all I need.
To know, right? Yeah. Oh, man, that just makes me so angry. We are car people, but we better be business people or it's not gonna work, right, Jeff?
I don't. I think so, man. We either need to. We gotta have at least a basic understanding of financial statements. We could hire it out to a professional, which is probably smart, but at the end of the day, it's your business. If you don't know your numbers, you don't know anything.
If you don't know your numbers, you don't know nothing. Because you could sell your way out of business. How does that.
I think we're going to explain that. Stay tuned. Thursday, we're going to talk all about it. Get into the weeds on variable and fixed expenses. Really make a mess of things.
A mess of things, huh?