The Seven Purposes of Profits – PRINTED POSTER:
- Profits measure the value customers receive and the efficiency of delivering the product or service.
- Profits provide cash needed for companies to grow.
- Profits provide cash needed for companies to take risks and invest in new products or services.
- Profits provide cash needed to offer above-market pay to employees with above-market performance.
- Profits provide “savings” for downturns in the economy or other surprises and problems, helping businesses survive issues which might otherwise cause them to fail.
- Profits fund investments in the community through taxes and charitable contributions.
- Profits compensate owners for enduring sleepless nights, embracing risk and investing cash to provide meaningful jobs and products or services for the community.
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