You’re generating revenue.
You’re busy.
But profit? It’s thinner than it should be.
I see it all the time: entrepreneurs who’ve built something real… but can’t figure out why the bottom line isn’t matching the top.
Here are 5 core reasons your business isn’t as profitable as it could be, and how to fix each one before it keeps draining your freedom.
1. You’re chasing revenue instead of profit.
WeWork once had billions in sales – and billions in losses.
Revenue without profit is like running a marathon on a treadmill: you’re exhausted but not getting anywhere.
Fix it: Track net profit margin weekly, not just revenue. Growth without margin isn’t growth.
2. You’re discounting your way to disaster.
In Your Business Growth Playbook , I share how a simple 10% discount wiped out 75% of a company’s profit.
Discounting feels like momentum… until you realize you’re paying customers to buy.
Fix it: Add value instead of cutting price. Bundle, tier, or include bonuses – but protect your margins.
3. You don’t know your Customer Lifetime Value (CLV).
If you don’t know what a customer’s worth, you’ll never know how much you can confidently spend to acquire one.
In the book, CLV = Frequency × Amount × (1 ÷ Churn).
Fix it: Know your churn and average spend. A small CLV increase can unlock massive profit leverage.
4. You’re bleeding profit through expense leaks.
Many six- and seven-figure businesses have “ghost expenses” quietly draining cashflow.
As Marc Freedman says in Your Business Growth Playbook:
“You can’t save your way to growth, but you can stop overpaying for inefficiency.”
Mark Freedman in Your Business Growth Playbook
Fix it: Review your top 10 vendors annually. Negotiate. Eliminate what no longer creates value.
5. You’re under-leveraging your existing customers.
Most business owners focus on new leads instead of nurturing the ones already paying them.
In the book, I highlight how adding continuity programs, upsells, or memberships can 2x profitability fast.
Fix it: Increase F and A before chasing Q.
Profitability isn’t about working harder.
It’s about working smarter on what actually moves the needle.
🧠 In Summary
When you understand your numbers, guard your margins, and build around repeat customers… you stop running a business that drains you… and start leading one that fuels your freedom.
Which of these five shifts would make the biggest difference in your business right now?