Profit and Expenses Kenya

How to Improve Business Margins

Improve margins by reviewing prices, costs, waste, discounts and supplier terms.

A business margin shows how much money is left after costs. Better margins usually mean stronger profit.

Review selling prices

If prices are too low, the business may work hard but keep little profit.

Negotiate supplier costs

Small supplier savings can improve margins across many sales.

Reduce waste

Waste, damaged stock and expired items reduce margins.

Control discounts

Discounts should be used carefully. Too many discounts can destroy profit.

Good records help owners see where margins can improve.

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