Biz Math[]
How to revolutionize the way that you make business decisions.
For less than [US$180](#Buy Now) you can acquire a unique software tool and the know how to avoid the most common pitfalls threatening businesses and ensure that sales generate profits.
Did you know?
Around 1% of businesses suffer catastrophic failure and bankruptcy each year. However, that is not the full story. Over the life of a business only about 40% are profitable, 30% break even and 30% lose money.
Even more revealing is the indication that over 90% of business failures are due to management error. Avoidable mistakes are being made due to failure to apply some basic math.
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[ Price/Volume Dynamic](#Mistakes) [Benefits](#Benefits) [Easy To Use](#Easy To Use) [Unique](#Unique) [Who](#Who) [ Free Video](#Biz_Math_Intro_Video) [Buy Now](#Buy Now)
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The most common serious but avoidable mistake made in business. []
When setting product prices and production volumes management too often fails to properly consider profit margins, the change in working capital requirements and the impact on the value of the business.
The most common serious but avoidable mistake made in business is failure to understand and apply the Price/Volume Dynamic when setting prices.
All profit improvement strategies will comprise either reducing costs, increasing prices or increasing the volume of sales.
Costs can be varied without necessarily impacting on either Volume or Price.
Price increases always have the biggest impact but when Price increases there will usually be a reduction in the volume of sales (Price/Demand relationship).
But when Volume changes then revenue, variable costs, working capital and the value of the business will all change.
So, when setting prices and/or negotiating with customers management needs to forecast how the price change will impact on sales volume. And understand how the resultant change in volume of sales will impact on variable costs, profits, working capital and the value of the business.
This is referred to in Biz Math as the Price/Volume Dynamic.
Business managers need to understand the Price/Volume Dynamic when making business decisions such as setting prices and production volumes.
This is not as onerous as it may seem to be. Time-consuming training is not required. A top-down methodology, [ Biz Math](#Buy Now), has been developed to explain why and how management should apply the basic math essential to business success.
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Avoidable Business Failure - Example
A manufacturer decided to grow sales revenue by offering significant price discounts to stimulate an increase in sales volume. Prices were reduced by 10%. Consequently sales volume rose by 15% and revenue was 3.5% higher.
Initially management was happy with the situation but it soon became evident that all was not well. Although revenue had increased profits had fallen and additional funding was required for trading working capital. Failing to recognize the nature of the problem management resorted to an even more aggressive price discounting strategy. The outcome was the classic death spiral of prices being reduced to chase volume and the eventual failure of the business.
Just what went wrong should not have been a mystery to management.
A few minutes of [Biz Math](#Buy Now) would have made it obvious that losses would be sustained and that additional funding would be required. The consequent reduction in the value of the business would also have been readily apparent.
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Would your business benefit from Biz Math?[]
Certainly. Any business can benefit from application of the Biz Math methodology. It is applicable to all industries; manufacturer, retailer or services company.
Size does not matter. All businesses; small, medium and large can benefit.
Biz Math is intuitive to apply. It is informative and addresses only the information that business decision-makers need to know.
There are just seven key numbers utilized in Biz Math.
There are just three key questions that need to be answered by management when deciding product prices and production volumes.
A computer program, [Biz Math](#Buy Now), is available to implement the methodology.
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Who else could benefit from Biz Math?
In addition to applying the methodology in-house there is the opportunity for it to be applied effectively and economically by a wide range of service companies and organizations:
Business Coaches can deliver a unique, state-of-the-art service to their clients via seminars or individual sessions.
Accounting Firms can provide business advice to their clients.
Banks can gain insight into their borrower
