Profit Pipeline Worksheet for Sole Traders

This guide provides a structured approach for Irish sole traders to manage their profitability through a detailed worksheet. It outlines a four-step process to track hours worked, calculate effective hourly rates, and determine break-even points. The first step involves logging hours spent on various tasks, including delivery, quoting, travel, and administration, to identify all costs associated with a job. The second step focuses on analyzing these logged hours to calculate the effective hourly rate by accounting for revenue, direct costs, and overheads. The third step emphasizes the importance of understanding fixed and variable costs to establish a realistic billable capacity and determine break-even units. The final step discusses setting a price floor based on fixed obligations and realistic capacity, ensuring that quotes do not fall below this threshold. The worksheet is designed to be updated regularly to reflect changes in costs and pricing strategies.