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Gross Profit
What it measures
The dollars left after covering the direct cost of what you sold, before paying overhead and other expenses.
Gross Profit = Income − COGSWhy it matters
Gross Profit shows how much real money your sales are generating before overhead. This is all the money you have available in which to run your business, pay yourself and be profitable. This is your most important number.
Want help putting this number to work in your business? That’s exactly the kind of thing we set up together in coaching.