A home improvement store...

Case Study

family business

This is a family business

They sell a range of hardware products ... and their specialty (their pointof difference) is the expertise they've acquired over many years selling a large and diverse range of windows and doors ... that's their focus

Their clientele are mainly tradespeople ... who install doors and windows ... plus the do-it-yourself mums and dads


You will also see that they had about 500 clients/ customers ... people who had bought something from them over the last 12 months ... from windows and doors to a paintbrush ...

(They started working with us - through their accountant - using the Growth Factor product)

family business

STEP 1 - Total Number of Customers

Their retention rate was about 85% ...
which seems reasonable

They were generating about 250 enquiries per year and closing about 30% of them (a bit low)

On average their clients were coming back 5 times per year. Could be one person once and another 35 times ...
the average was 5

On average each client was spending $425 each time they came into the store ... once again this could be someone spending $3,000 and someone else spending $10 ... but the average was $425

STEP 2 - Annual Sales

So, if we MULTIPLY # of clients by Frequency of Purchase by Average Sale Price - we arrive at our Annual Sales Revenue of $1,062,500

STEP 3 - Expenses

lf we DEDUCT our Expenses and COGS (Cost of Goods Sold) from theSales Revenue we arrive at a Net Profit of $191,250 ... and using a 'rule of thumb multiple of 3' - perhaps the business could be valued at around the $5-$600,000 mark

NOW scroll down and simply place your cursor over the BLANK boxes and you will see what happened after using the Growth factor product for 12 months

NET PROFIT is now $499,700 and this business could be worth around $M1.5

This is an exceptional result ... one that these people worked hard to achieve ... having said that, with a little bit of help, guidance and the Growth Factor YOU too can hit some pretty amazing numbers ...

let's have a look at the numbers in action

See how the Growth Factor can grow YOUR business!

Simply click on the blank boxes and you will see what happened after using the Growth Factor product for 12 months for our hardware shop case study


Let us show you the way with the Growth Factor Equation


About Us

At the heart of the Redline Consulting Company is the ‘unshakeable belief’ that every person is brilliant at something and every business has potential – providing it produces something people want to buy

Our job is to help you take your business to the Max.

Our Contacts

120 Macpherson Street
Bronte NSW 2024

(+61) 0404 748 172