An agency founder explains why profit margins alone don't tell the story when scaling. He grew from negative recurring revenue to seven figures in 11 months by tracking multiple metrics, not just profit, and leaning on community knowledge to guide decisions.
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A lot of people are wondering, what are your profit margins, retention rate? Can you share a little bit about that? So numbers are what helped guide us through this entire process. We started out and it was all just about how much money can I possibly make? I remember setting these goals back then, all these things I'm going to do once I hit 7 figures. And now we look back on that and it was— it took us 11 months to go from negative recurring revenue to 7 figures. When we look at the numbers, profit margins are extremely important, but a lot of people just look at profit as that's the number I need to focus on, when in reality that number is going to shrink as you get larger. I'm a smaller piece of a bigger pie. And everything I'm telling you is something that I've learned through people in this community here. I didn't just jump into this business and know all these things. Let's say this business just blows up tomorrow. We will absolutely be able to build something new and different because of everything that I've learned in this community.
