It’s All Relative

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We got 6 inches of snow in January, and that is a lot for our area. We typically get 2-3 snows a year and 3 inches is the typical amount. But the day after that snow, all I was thinking about was the mud season coming next.

It’s all relative. In business, our anchor points shape how we interpret everything. If your anchor is last year’s revenue, this year looks one way. If your anchor is industry benchmarks, it looks another. Make sure your financial anchor points are meaningful — not just familiar. Comparing yourself to your own best quarter is different from comparing yourself to what’s actually possible. Choose your anchors carefully.

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About the author 

Cyndi Thomason

Cyndi is a mom and author of Profit First for Ecommerce Sellers and Motherhood, Apple Pie, and all that Happy Horseshit. She's also a speaker and thought leader in ecommerce accounting and Mom Entrepreneurship. Cyndi is the founder of Your Profit Team and bookskeep, which provide CFO advisory and Profit First accounting services to hundreds of ecommerce businesses around the world. When not helping business owners or her team, Cyndi can be found in her garden.

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