Monday, January 11

Overheads

I worry about overheads.

There's something hanging over me.

Those costs you pay every month regardless of sales.

They sank my first company, Reiver Games, as the bank loan repayments and warehousing costs were bigger than sales most months.

So I worry about them.

Ours have increased.

We're lucky that we don't pay salary or rent. 

So ours are very low.

But still.

If we're not actively fulfilling a Kickstarter, our overheads are now often larger than profits, and sometimes even sales. 

There are two types, those that affect profits only (like depreciation and homeworking allowances) and those that affect profits and cash (like bank account fees and software subscriptions).

The latter are the worst.

We need to keep them down.

Or increase sales.

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