Understanding the Difference Between Revenue and Net ProfitUnderstanding the Difference Between Revenue and Net Profit
The network for creativity
Join 1.25M professional creatives like you
Connect with clients, get discovered, and run your business 100% commission-free
Creatives on Contra have earned over $150M and we are just getting started
It's never been easier to track revenue.
But revenue doesn't tell you what you're actually making.
You can literally sell $100,000 this month and have a 40% gross margin.
That's $40,000 after direct costs.
Then come payroll, rent, software, insurance, interest, and other operating expenses.
That $40,000 might become $12,000 in net profit.
$100K in sales sounds great.
$12K is what the business actually earned.
Know your margins.
No guessing…
Back to feed
The network for creativity
Join 1.25M professional creatives like you
Connect with clients, get discovered, and run your business 100% commission-free
Creatives on Contra have earned over $150M and we are just getting started