The ultimate business KPI

The ultimate KPI?

Profit.

The lifeblood of every business.

Venture capital may ignite the spark, private equity might add fuel to the fire, and going public can elevate a company to new heights. But at its core, survival hinges on one thing: turning a profit.

Bootstrapped businesses, with their slow yet steadfast growth, create a rock-solid foundation. Outside capital might boost the appearance of grandeur through flashy advertising and branding, but it comes with a price—often measured in customer acquisition costs. Sometimes it pays off, but sometimes it doesn’t.

Not to say that outside capital is wrong; on the contrary, it offers undeniable benefits. However, self-funded businesses revel in autonomy and unique advantages. Investors bring expectations—expectations for a positive return on their capital. As an investor myself, I understand the importance of reaping rewards from my investments. In the end, all businesses come down to profit.

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