Overhead reduction

---

 Managing expenses is a critical component of business success, and overhead costs play a vital role in achieving favorable profit margins. Nearly every company incurs some form of overhead, consisting of various categories of indirect expenses. The more effectively businesses manage these overhead costs, the more competitive they become in the marketplace.

For small business owners, reducing overhead often translates to improved profit margins and a healthier bottom line. However, before we at MITM can assist you in reducing these costs, we first need to gain a clear understanding of how much your overhead is actually costing your business.

Our MITM business consultants take a thorough approach by starting with an analysis of your monthly indirect costs—those not directly tied to the production of your goods or services. We then calculate your monthly sales during the same period and divide them by your overhead.

If your overhead percentage is too high, it may signal the need for adjustments to maintain profitability. While a lower percentage typically reflects efficiency, a figure that’s too low could indicate that you're sacrificing quality in the name of cost-cutting, which might harm your long-term success.

MITM is here to guide you through this process, helping you strike the right balance between managing overhead and maintaining quality. We’ll identify areas where adjustments can be made, ensuring that your business is both profitable and competitive. Let us help you optimize your operations for success.