Key Ratios of a Successful Catalog Company

Although 5 percent to 10 percent is the general target for pre-tax profit, the actual dollars you can generate pre-tax are just as important. (Note: If you’re in start-up mode, don’t expect to reach this level until at least the third to fifth year.) You may find that you have a pre-tax percentage that’s less than the prior year, but your actual pre-tax dollars increased. When working with scenarios, keep both a percentage range and a total dollar goal in mind. Remember: You put dollars in the bank, not percentages!