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Business is about money. Businesses do not make money.

  • By Alan Knott-Craig
  • December 28, 2012

In business you must imprint the following on your brain:

 

  1. Business is about making money
  2. Businesses do not make money

 

The first point is key for understanding where your priorities lie. Politics is about serving the people, journalism is about the truth, NGOs are about helping the less fortunate.

 

Business is about making money.

 

The second point seems counter-intuitive, but is essential for success. Businesses do not make money per se. They make things, for example: software, shoes or TVs. When you sell these things you make a profit (hopefully), and that’s how you make money.

 

Unless you pinpoint and focus on what your business really makes, you’ll never make money.