Mistakes Cost Money

Henry C. MurphyMay 24, '22
I have taken my share of losses as an entrepreneur. I also experienced it as a restaurant manager. Think about it. A pinch over portion with lettuce on over 500 sandwiches per week can cost you more than you know in the food industry.
My business is the T-shirt business, and I love what I do. However, there are many ways to lose money in the T-shirt business. We lost a lot of money in production one year because of miscommunication on what needed to be printed. 
Imagine putting the wrong image on 30 hoodies. Let's look at the numbers and retail costs. Thirty hoodies would be about $1,800 in retail costs plus over $150 in labor.  
I like to call that the front-end cost. Why? Because you are going to have to redo that order. Now, let’s play with some real numbers. Imagine if it were 500 hoodies. You just accumulated a debt of over $30,000 by making one mistake.
So, what’s the solution? How do we stop mistakes from happening? We have to put systems in place. Every stage must have accountability, from the person who's ordering, to the person doing neck tags, right down to the person printing. Period. 
If you put systems in place in your business, no matter what business you have, you cut down on mistakes that could potentially jeopardize or bankrupt your company. My hope is that this blog helps you if you find yourself in that position, but more importantly, prevent you from finding yourself in that position.
#godblesstheentrepreneur 

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