EP 320 | Profit Per Project with Julia Nikishina
April 18, 2023
Profitability per project is a vital metric for the successful design professional. Whether you work on an hourly fee or flat fee basis, knowing which projects and which categories of goods are profitable, can direct sourcing options, marketing efforts, and long-term plans for success.
In this episode we learn:
- profitability per project should be looked at in two ways—product and design hours (time)
- tracking time allows you to verify the validity of your fee structure
- every employee has a ‘cost’ to the bottom line, which should be recouped
- fixed and hourly fee projects require analysis of resources (including time) to understand if the goal of the work has been achieved
- having a true understanding of the hours worked per project (billable and non-billable), allows you to accurately measure profit based on time
If you aren’t growing, you are shrinking.
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