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It’s easy to fall into the trap of watching revenue and nothing else. But sales alone don’t tell you if your business is healthy, sustainable, or heading in the right direction.
That’s why Step 8 in your Plan, Profit, Prosper planner is to choose the 3–5 Key Performance Indicators (KPIs) that actually matter.
These numbers are like your business dashboard. They help you monitor performance, spot issues early, and make decisions based on facts, not feelings.
In Step 8 of our Advent Calendar, Michael Carthy explains why tracking the right Key Performance Indicators (KPIs) gives you real insight into how your business is doing.
KPIs are measurable values that reflect how well your business is doing against its core goals. When chosen well, they give you:
You don’t need dozens of them. Just a small handful of meaningful figures that align with your goals and give you a true picture of performance.
The best KPIs are specific to you. They depend on your business model, your targets, and what success looks like.
Not sure where to start? Here are some of the most useful KPIs we regularly help clients track:
Shows how quickly your sales are increasing. Helps you monitor overall business momentum and the impact of marketing or sales activity.
Tells you how profitable your core products or services are before overheads. This helps with pricing strategy and cost control.
Reveals how much profit you’re really keeping after all expenses. Gives a clear view of long-term financial sustainability.
Tracks how much cash the business generates from operations. Essential for planning and managing day-to-day finances.
Shows how long customers take to pay. Helps improve cashflow, credit control, and invoicing processes.
Indicates how long you take to pay suppliers. Helps manage your own payment strategy without straining supplier relationships.
Measures how quickly you turn activity into cash. A strong signal of how efficient and liquid the business really is.
Checks if each service, job, or client is generating strong profit margins. Crucial for identifying which work is truly worth doing.
Tracks how much of your team’s time is billable or productive. Particularly important for service-based businesses with tight margins.
Shows how well you’re keeping clients. A drop here can be a warning sign of deeper problems in service, value, or delivery.
You don’t need to track them all. Start with three to five KPIs that reflect what you’re trying to achieve in 2026.
If your focus is cashflow stability, look at debtor days and operating cash. When you’re growing, watch revenue growth and gross profit. If your team is stretched, monitor utilisation or job profitability.
KPIs aren’t about micromanaging or creating more admin. They’re about clarity. When you track what matters, performance improves, because you can lead with confidence.
Use Step 8 of the Plan, Profit, Prosper planner to choose the KPIs that reflect your goals.
Not sure which numbers matter most for your business? Book a free 30-minute call and we’ll help you pick the right KPIs for your goals.
