The Profit First Method: Strategies for Long-Term Success

How do you make profit a regular feature of your business—not just a one-off win? In this episode, I’m sharing the real-world steps to keep the Profit First system working for you, year after year.

I’m Deb Halliday, certified Profit First Professional, and I’ll show you why consistency is the secret to turning profit into a normal, sustainable part of your business. We’ll cover the importance of regularly reviewing and tweaking your allocation percentages as your business grows and changes, so your profit strategy always fits your current reality.

You’ll hear how automation can take the hassle out of monthly allocations—using tools like Xero, QuickBooks, and smart UK banks like Starling and Monzo—so you never have to worry about missing a transfer or dipping into the wrong pot. I’ll share stories from real business owners who’ve seen their profits grow by making small, regular adjustments and keeping their system simple.

We’ll also talk about using your profit as more than just a safety net. Think of it as your “opportunity fund”—ready to support growth, new equipment, marketing, or staff development, once you’ve paid yourself your profit bonus.

Whether your margins are tight or you’re looking for ways to grow, this episode will help you build a business that doesn’t just survive but truly thrives—by making profit an everyday habit.

Takeaways:

• Consistency is key: review and adjust your allocations regularly
• Automate your allocations for less stress and more discipline
• Use profit as an opportunity fund for growth and reinvestment
• Even small profit allocations can make a big difference over time
• Stay flexible and adapt your system as your business evolves

Links mentioned:

debhalliday.co.uk

Companies and resources featured:

Xero, QuickBooks, Starling, Monzo, HMRC

Episode Transcript

(00:09):
Welcome to Profit first withDeb Halliday.
That's me.
I'm Deb.
I'm a Profit firstprofessional and trainer, author
of how to Build a FinanciallyHealthy Business, founder of the
Accounts Ladies, an awardwinning accountancy practice and
the Accounts Office Training Academy.
This is the show for businessowners who want to stop stressing
over money, keep more cash,pay themselves more and build a business

(00:33):
that truly thrives.
Just a quick note, Profitfirst is a licensed methodology.
Everything here is designed tohelp you implement it in your own
business.
If you're interested inhelping others with Profit First,
I'll share how you can applyto become certified too.
Let's get started because yourbusiness should work for you, not

(00:54):
the other way around.
Welcome back to Profit firstwith Deb Halladay.
I'm Deb Halliday, yourcertified Profit first professional
and today we're focusing onhow to sustain Profit first for long
term success so thatprofitability becomes your new normal,
not just a one off win.

(01:15):
You've already done the hardwork of setting up your accounts,
building your allocationroutine and hopefully you've seen
your first profit bonus come through.
But as with any system, thereal results come from what you do
consistently, not just whatyou do once.
So how do you keep themomentum going and make sure Profit

(01:36):
first keeps working for youmonth after month, year after year?
Step 1 review and adjust regularly.
The first key is to reviewyour allocation percentages quarterly.
Your business isn't static.
Revenue grows, expenses changeand your own goals evolve.

(01:58):
As your income increases, lookfor opportunities to boost your profit
and owners pay percentages,even if it's just by 1% at a time.
Small shifts make a bigdifference over time.
I worked with a Glasgowbusiness owner who started out allocating
just 1% to profit by reviewingher numbers every quarter and making

(02:20):
small improvements likenegotiating better rates with suppliers.
She gradually increased herprofit allocation to 5% in a single
year.
It was all about steady,intentional progress.
Step 2 Automate forconsistency Next, make your profit
first system as effortless aspossible by automating it.

(02:41):
Use accounting tools like Xeroor QuickBooks to track your allocations
and set up standing orders foryour tax and profit transfers.
Many UK banks such as Starlingand Monzo let you create pots or
spaces for different funds soyour money is always in the right
place at the right time.

(03:02):
Automation removes thetemptation to skip a month and helps
you stay compliant with HMRC.
Step 3 Plan for Growth andReinvestment Profit first isn't just
about saving.
It's about building a businessthat can grow and adapt.

(03:22):
Use your profit account as anopportunity fund.
After you've taken your profitbonus, you might decide to reinvest
some of what's left into newequipment, marketing campaigns or
staff development.
Just remember, always rewardyourself first and keep an eye on
rising costs like nationalinsurance contributions or inflation,
making adjustments as needed.

(03:43):
What if my industry has thin margins?
If you're in a sector wheremargins are tight, start small.
Even allocating 0.5% to profitis a powerful step.
It builds the habit and provesto yourself that profit is a priority.
Focus on cutting unnecessaryexpenses and finding efficiencies,

(04:04):
because every pound you saveis a pound you keep.
Over time, those small changesreally do add up.
Remember, profit first isn'tabout being perfect.
There will be months whenthings feel tight or when you need
to adjust your allocations.
That's normal.
What matters is that you keepprioritizing profit and building

(04:24):
a business that supports yourlifestyle and goals.
Here's your challenge for this week.
Review your allocations andsee if you can increase your profit
percentage by just 1%.
It's a simple move, but apowerful signal that you're committed
to making profit a habit.

(04:45):
Thanks for tuning in to Profitfirst with me, Deb Halladay.
If you found today's episodehelpful, please subscribe, leave
a review and share it withanother business owner who needs
to hear this.
For more resources, coursesand to connect with me, head to debhalladay.com
and remember, when you putprofit first, you build a business

(05:08):
that reduces the stress whileit supports your goals and dreams.
See you next time.