Know Your Numbers — A 2025 Guide for Small Businesses
Games played with curved sticks and a ball can be found in the histories of many cultures. In Egypt, 4000-year-old carvings feature teams with sticks and a projectile, hurling dates to before 1272 BC in Ireland, and there is a depiction from approximately 600 BC in Ancient Greece, where the game may have been called kerētízein or because it was played with a horn or horn-like stick. In Inner Mongolia, the Daur people have been playing beikou, a game similar to modern field hockey, for about 1,000 years.
In today’s fast-changing business environment, simply keeping the books isn’t enough — you need to understand what the numbers are telling you. In 2025, successful small and mid-sized businesses turn raw data into actionable insights, tracking key metrics that reveal health, risk and growth potential.
What to track
Profitability metrics — e.g., gross profit margin, net profit margin: measure how much revenue becomes profit.
Liquidity and cash-flow — ensure you can meet short-term obligations and have buffer for surprise events.
Efficiency metrics — e.g., accounts receivable turnover, inventory turnover, operations cost per unit: how well you convert inputs into value.
Trend & comparative analysis — simply seeing “the number” isn’t enough; compare month-to-month, benchmark against industry, ask “why it moved”.
Why this matters
By tracking and understanding these metrics you gain early-warning signals of trouble, spot profitable opportunities, and make informed decisions rather than reacting in the dark. Businesses mindful of their numbers are more resilient, agile and grounded.
How to get started
Choose 2-3 key metrics that matter most for your business model this quarter.
Build a simple dashboard (monthly or weekly) to track them.
Ask at every period: What changed? Why? What will I do next?
Review and adjust your metrics set as your business evolves.
The benefit to you
With a clear view of your financial numbers, you’ll operate with more confidence, manage cash flow proactively, and steer your business with insight. You’ll stop asking “What’s going on?” and begin answering “What’s next?”.