5 Key Metrics Every Business Should Track
                     5 Key Metrics Every Business 
Should Track
https://www.damiestechnologies.com/blog/key-business-metrics/
Every business wants to make a profit and in 
doing so they adopt various measures like 
consulting a web design company in India. 
Profit is not just about the revue you are 
generating but also about observing how much 
you are spending. Many businesses are at loss 
even after earning revenues in million because 
they did not justify the cost of production. It is 
very necessary to look at several aspects in 
order to make a profit from a business.
Given below are 5 key metrics every business 
should track in order to make a profit:
Revenue Growth
Revenue is the number of sales you generate 
by selling your product minus the cost of 
returned or undeliverable items. It’s the key 
metric every business uses to measure its 
financial performance. Earning the highest 
amount of revenue possible is ideal, but the 
metric that’s more indicative of your business’s 
financial performance is year-over-year 
revenue growth.
Average Variable Costs
Variable cost is the total amount that is spent 
over the labor and material for the production 
of products. The lower your variable costs. 
Variable costs are directly proportional to the 
number of products sold. In other words, the 
more products you sell the higher will be the 
variable costs.
Break-Even Point
Your business’s break-even point is the 
quantity of product you must sell so that your 
total revenue equals your total costs. Knowing 
your break-even point is crucial because it 
serves as the minimum goal your business 
should try to achieve to not lose money during 
a specific period.
Cost of Goods Sold
Your business’ cost of goods sold is the cost of 
acquiring or making the products you sold 
during a certain period, like material, 
manufacturing, and labor costs. They can also 
be understood as the cost of doing business 
and sales.
 
Tracking your cost of goods sold, or COGS is 
important because they directly affect your 
business’s bottom line.
Gross Profit Margin
Gross profits are the amount that we get after 
subtracting the cost of production from the 
total revenue we generated through the 
business. In the process, manufacturing, labor 
cost, transportations cost, and other expenses 
are also included.
Provided points are 100% practical and can be 
helpful in tracking the profit a company is 
generating in the most efficient way. To 
increase the revenue of your company you 
must take help of technological advancement. 
For more help, consulting a company that 
provides web design services in India can be 
really effective.
Thank You
https://www.damiestechnologies.com/blog/key-business-metrics/