Too many blue-collar business owners work their tails off only to find themselves wondering, “Where did all the money go?” If your business is bringing in revenue but your bank account still feels empty, it’s time to flip the script. Enter: Profit First.

This isn’t just a bookkeeping method—it’s a cash management system that ensures your business is profitable from Day One.

What Is Profit First?

Profit First is a simple but powerful cash flow system created by Mike Michalowicz. Instead of the old-school formula:

Sales – Expenses = Profit

You flip it:

Sales – Profit = Expenses

You literally take your profit first. Then, whatever’s left is what you use to run the business.

Why It Works for Trades & Blue-Collar Businesses

Most tradespeople don’t love spreadsheets. They check the bank balance to make decisions (and let’s be honest, that’s real-life accounting for a lot of small business owners). Profit First works with this behavior by creating intentional bank accounts with clear purposes.

Key Components of Profit First

1. Separate Bank Accounts:
   Set up accounts for:

   • Income

   • Profit

   • Owner’s Pay

   • Taxes

   • Operating Expenses

2. Scheduled Allocations:
   Twice a month, you move money into these accounts based on target percentages—so your taxes and profit are always covered.

3. Real-Time Visibility:
   You’ll know at a glance how much you can spend without putting your business at risk.

Common Wins We See with Our Clients

• Business owners finally paying themselves consistently

• Tax bills no longer a surprise

• Clarity on how much is really available for new tools, trucks, or hiring

• Stress relief from always wondering “Am I going to make payroll?”

Real Talk: It’s Not Magic. It’s Discipline.

Profit First doesn’t change your revenue—but it changes your habits. And when you shift your habits, your business becomes more stable, more profitable, and more fun to run.

If you're tired of being broke in a six-figure business, it's time to change how you handle cash. Profit First is your blueprint for a business that finally pays you first.

Want to implement Profit First in your business with expert guidance? Book a Profit Strategy Session with Savvy Tax Strategies and let’s build a cash flow plan that works for you—not just your accountant.