{"id":19208,"date":"2022-08-04T07:54:00","date_gmt":"2022-08-04T11:54:00","guid":{"rendered":"https:\/\/live-alliance-virtual-office-blog.pantheonsite.io\/?p=19208"},"modified":"2026-04-14T10:40:57","modified_gmt":"2026-04-14T14:40:57","slug":"what-is-a-good-profit-margin-for-a-small-business","status":"publish","type":"post","link":"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/what-is-a-good-profit-margin-for-a-small-business\/","title":{"rendered":"What is a Good Profit Margin for a Small Business? Your Complete Guide"},"content":{"rendered":"\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n\n<ul class=\"wp-block-list\">\n<li><a href=\"#What-is-a-profit-margin?-\"><strong>What is a profit margin?\u00a0<\/strong><\/a><\/li>\n\n\n\n<li><a href=\"#What-influences-profit-margins?-\"><strong>What influences profit margin?\u00a0<\/strong><\/a><\/li>\n\n\n\n<li><a href=\"#How-to-boost-your-small-business\u2019-profit-margins-\"><strong>How to boost your small business\u2019s profit margins\u00a0<\/strong><\/a><\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Q: What is a good profit margin for a small business?&nbsp;<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>A: <\/strong>Although it varies by business and sector, a profit margin of between 7-10% is typical for a healthy small business.&nbsp;<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n\n<p class=\"wp-block-paragraph\">Generally speaking, the point of any business is to make money.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">You\u2019ve gone through the monotonous task of incorporating your LLC, you\u2019ve found a niche that suits you, and your business is up and running. Congratulations!&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This is where the rubber meets the road. One of the biggest questions established entrepreneurs have is simple:&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>What is a good profit margin for a small business?<\/strong>&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Due to the multitude of factors that influence all businesses, the answer isn\u2019t as straightforward as the question. Fortunately, this article will teach you how to determine where your profit margins should be and how to reach them.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">According to Forbes, the profit margin is considered a <a href=\"https:\/\/www.forbes.com\/sites\/melissahouston\/2021\/12\/22\/profit-margin-is-an-essential-kpi-to-monitor-in-your-business\/?sh=17da13fb1fef\" target=\"_blank\" rel=\"noreferrer noopener\">Key Performance Indicator (KPI)<\/a>.&nbsp;&nbsp;<\/p>\n\n\n\n<div class=\"wp-block-ugb-container ugb-container ugb-c0c7596 ugb-container--v2 ugb-container--design-basic ugb-main-block\"><div class=\"ugb-inner-block\"><div class=\"ugb-block-content\"><div class=\"ugb-container__wrapper ugb-c0c7596-wrapper\"><div class=\"ugb-container__side\"><div class=\"ugb-container__content-wrapper ugb-c0c7596-content-wrapper\">\n<div class=\"wp-block-ugb-heading ugb-heading ugb-1269703 ugb-main-block\"><div class=\"ugb-inner-block\"><div class=\"ugb-block-content\"><h2 class=\"ugb-heading__title\">Get Your FREE Guide Today!<\/h2><p class=\"ugb-heading__subtitle\"><strong><span style=\"color: #000000;\" class=\"ugb-highlight\">How to Survive and Thrive in an Economic Downturn<\/span><\/strong><\/p><\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-ugb-columns ugb-columns ugb-27d850c ugb-columns--design-plain ugb-columns--columns-2 ugb-main-block\"><div class=\"ugb-inner-block\"><div class=\"ugb-block-content\"><div class=\"ugb-columns__item ugb-27d850c-content-wrapper\">\n<div class=\"wp-block-ugb-column ugb-column ugb-fa24bd7 ugb-column--design-plain ugb-main-block\"><div class=\"ugb-inner-block\"><div class=\"ugb-block-content\"><div class=\"ugb-column__item ugb-fa24bd7-column-wrapper\"><div class=\"ugb-column__content-wrapper\">\n<figure class=\"wp-block-image size-large is-resized\"><a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/12\/lp-ebook-recession-proof-yourbusiness-guide.png\"><img fetchpriority=\"high\" decoding=\"async\" width=\"708\" height=\"628\" src=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/12\/lp-ebook-recession-proof-yourbusiness-guide.png\" alt=\"\" class=\"wp-image-24988\" style=\"width:356px;height:315px\" srcset=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/12\/lp-ebook-recession-proof-yourbusiness-guide.png 708w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/12\/lp-ebook-recession-proof-yourbusiness-guide-300x266.png 300w\" sizes=\"(max-width: 708px) 100vw, 708px\" \/><\/a><\/figure>\n<\/div><\/div><\/div><\/div><\/div>\n\n\n\n<div class=\"wp-block-ugb-column ugb-column ugb-e85522d ugb-column--design-plain ugb-main-block\"><div class=\"ugb-inner-block\"><div class=\"ugb-block-content\"><div class=\"ugb-column__item ugb-e85522d-column-wrapper\"><div class=\"ugb-column__content-wrapper\">\n\n\t\t\t\t\t\t<script>\n\t\t\t\t\t\t\twindow.hsFormsOnReady = window.hsFormsOnReady || [];\n\t\t\t\t\t\t\twindow.hsFormsOnReady.push(()=>{\n\t\t\t\t\t\t\t\thbspt.forms.create({\n\t\t\t\t\t\t\t\t\tportalId: 20748621,\n\t\t\t\t\t\t\t\t\tformId: \"f1e0f322-ab77-449d-b894-4d59c733125c\",\n\t\t\t\t\t\t\t\t\ttarget: \"#hbspt-form-1781486380000-0143392343\",\n\t\t\t\t\t\t\t\t\tregion: \"na1\",\n\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t})});\n\t\t\t\t\t\t<\/script>\n\t\t\t\t\t\t<div class=\"hbspt-form\" id=\"hbspt-form-1781486380000-0143392343\"><\/div>\n<\/div><\/div><\/div><\/div><\/div>\n<\/div><\/div><\/div><\/div>\n<\/div><\/div><\/div><\/div><\/div><\/div>\n\n\n\n<p class=\"wp-block-paragraph\">A KPI is a measurable value that gives a broad picture of how a business is doing in any given quarter. &nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This means that anyone potentially looking to invest in your business will also be looking at your profit margins. Even if you aren\u2019t looking for investors, it\u2019s still an excellent way to get a sense of how your business is doing.&nbsp;<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>NEXT STEPS:<\/strong> <a href=\"https:\/\/www.forbes.com\/sites\/melissahouston\/2021\/12\/22\/profit-margin-is-an-essential-kpi-to-monitor-in-your-business\/?sh=17da13fb1fef\" target=\"_blank\" rel=\"noreferrer noopener\">Profit Margin Is An Essential KPI To Monitor In Your Business<\/a>&nbsp;<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n\n<p class=\"wp-block-paragraph\">As previously stated, good margins will vary considerably by industry. However, a 10% <strong>net profit margin<\/strong> is typically considered to be average. If you aren\u2019t at that 10% level yet, don\u2019t be alarmed. Profit margins are tricky, and starting a business is often more expensive than keeping it going.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">For small businesses especially, it can be difficult to determine where your profit margins should be. It\u2019s also tricky to figure out if you need to sell more products, sell products at a higher price, cut operational costs, or lay off employees.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">So&#8230;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>What is a good profit margin for a small business?<\/strong>&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Keep reading to find out!&nbsp;<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n\n<ul class=\"wp-block-list\">\n<li><a href=\"#What-is-a-profit-margin?-\">What is a profit margin?<\/a>&nbsp;<\/li>\n\n\n\n<li><a href=\"#What-influences-profit-margins?-\">What influences profit margin?&nbsp;<\/a><\/li>\n\n\n\n<li><a href=\"#How-to-boost-your-small-business\u2019-profit-margins-\">How to boost your small business\u2019s profit margins&nbsp;<\/a><\/li>\n\n\n\n<li><a href=\"#Now-that-you-understand-what-a-good-net-profit-margin-is,-what-next?-\">Now that you understand what a good net profit margin is, what next?&nbsp;<\/a><\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large is-resized\"><a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_01-section-what-is-a-profit-margin.png\"><img decoding=\"async\" width=\"376\" height=\"376\" src=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_01-section-what-is-a-profit-margin.png\" alt=\"\" class=\"wp-image-19242\" style=\"width:300px;height:300px\" srcset=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_01-section-what-is-a-profit-margin.png 376w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_01-section-what-is-a-profit-margin-300x300.png 300w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_01-section-what-is-a-profit-margin-150x150.png 150w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_01-section-what-is-a-profit-margin-75x75.png 75w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_01-section-what-is-a-profit-margin-350x350.png 350w\" sizes=\"(max-width: 376px) 100vw, 376px\" \/><\/a><\/figure>\n<\/div>\n\n\n<h2 class=\"wp-block-heading\" id=\"What-is-a-profit-margin?-\">What is a profit margin?&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Before we get started crunching numbers, we must first cover the definition of the term \u201cprofit margin.\u201d&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Profit margins are perhaps the best way to measure a company\u2019s overall earnings. In other words, a profit margin is the amount of money a business makes per good or service sold, minus the cost of producing these products or services.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Your profit margin is the percentage of revenue left after subtracting your cost of producing the good or service.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">These metrics can be broken down into three different categories. Each of these categories can be calculated with a specific equation, which we will expand on below.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Gross Profit Margin&nbsp;<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Like all profit margins, analysts use gross profit margin to help determine the financial health of a company. This margin is calculated by subtracting the cost of goods sold from the net sales (revenue), then dividing that number by the net revenue of a business.&nbsp;&nbsp;<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_06-equations-profit-margin.png\"><img decoding=\"async\" width=\"650\" height=\"300\" src=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_06-equations-profit-margin.png\" alt=\"\" class=\"wp-image-19248\" srcset=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_06-equations-profit-margin.png 650w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_06-equations-profit-margin-300x138.png 300w\" sizes=\"(max-width: 650px) 100vw, 650px\" \/><\/a><\/figure>\n<\/div>\n\n\n<p class=\"wp-block-paragraph\">With this equation, the final figure is a percentage. Barring vast changes in the business model of a company, this percentage should be fairly static.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">By tracking this percentage, companies can identify ineffective management, poor customer reception to products, and even faulty products.&nbsp;&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Operating Profit Margin<\/strong>&nbsp;<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">This metric reflects the operating profits of a company before accounting for taxes. Operating Profit Margin can be calculated by dividing the operating income by the total revenue of a business.&nbsp;<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_07-equations-operating-profit-margin.png\"><img loading=\"lazy\" decoding=\"async\" width=\"650\" height=\"300\" src=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_07-equations-operating-profit-margin.png\" alt=\"\" class=\"wp-image-19249\" srcset=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_07-equations-operating-profit-margin.png 650w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_07-equations-operating-profit-margin-300x138.png 300w\" sizes=\"(max-width: 650px) 100vw, 650px\" \/><\/a><\/figure>\n<\/div>\n\n\n<p class=\"wp-block-paragraph\">Indicated by a percentage, operating profit margin is also referred to as EBIT or \u201cEarnings Before Interest and Taxes.\u201d Although EDIT doesn&#8217;t provide a perfect picture of a business\u2019s profitability, this metric highlights a company\u2019s ability to generate profits without taking taxes into account.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Operating profit margin generally won\u2019t be too important for small businesses. On the other hand, EBIT can show potential investors which company has the best profit potential when dealing with the energy, gas, and oil industries.&nbsp;&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Net Profit Margin<\/strong>&nbsp;<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Net Profit Margin is possibly the most important metric for small businesses because it tells you the percentage of profit generated by revenue.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>So&#8230; What is a good net profit margin for a small business?<\/strong>&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Net profit margin is what you should be considering if you\u2019re asking yourself this question, and a margin of 7 to 10 percent is a great place to aim. This is considered an \u201caverage\u201d net profit margin for most companies.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The <strong>net income formula<\/strong> for calculating Net Profit Margin is a bit more complex than the previous two metrics. First, the cost of goods sold, operational costs, any expenses, debt interests, and taxes must be subtracted from the total revenue figure. This number must then be divided by total revenue before being converted to a percentage by multiplying the new number by 100.&nbsp;&nbsp;<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_08-equations-net-profit-margin-1.png\"><img loading=\"lazy\" decoding=\"async\" width=\"650\" height=\"300\" src=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_08-equations-net-profit-margin-1.png\" alt=\"\" class=\"wp-image-19251\" srcset=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_08-equations-net-profit-margin-1.png 650w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_08-equations-net-profit-margin-1-300x138.png 300w\" sizes=\"(max-width: 650px) 100vw, 650px\" \/><\/a><\/figure>\n<\/div>\n\n\n<p class=\"wp-block-paragraph\">It\u2019s a lot of equations &#8212; we know.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">But there\u2019s no getting around it &#8212; determining a good profit margin for a small business is going to take a bit of algebra!&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Fortunately, that\u2019s the last bit of math we\u2019ll be doing in this article.&nbsp;<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>NEXT STEPS:<\/strong> <a href=\"https:\/\/www.gallup.com\/workplace\/231692\/why-b2b-leaders-rethink-true-cost-large-accounts.aspx\" target=\"_blank\" rel=\"noreferrer noopener\">Why B2B Leaders Should Rethink the True Cost of Large Accounts<\/a>&nbsp;<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n\n<p class=\"wp-block-paragraph\">A trap that many business owners fall into is focusing exclusively on selling more when in reality, increasing profit margins is often a far better way to grow. Constantly hunting for new consumers can be difficult, and when you can&#8217;t find any, your business will suffer without strong profit margins.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">By focusing instead on simply increasing your profit margins, you don&#8217;t need to constantly search for new buyers. Instead, you\u2019re able to earn more money on the sales you\u2019re already making while giving yourself the opportunity to reinvest in your business.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Let\u2019s take a look at a few different net income averages.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Small business profit margin by industry&nbsp;<\/strong><\/h3>\n\n\n\n<h4 class=\"wp-block-heading\">What is a reasonable profit margin for a small business?&nbsp;<\/h4>\n\n\n\n<p class=\"wp-block-paragraph\">Aiming for 10 percent is a great place to start for a typical small business.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Although each business is different, aiming for ten percent will allow companies to grow fast enough without the need to make goods or services prohibitively expensive. You also won\u2019t feel pressured to make an unrealistic number of sales when starting out.&nbsp;<\/p>\n\n\n\n<h4 class=\"wp-block-heading\">What is a good profit margin for e-commerce?&nbsp;<\/h4>\n\n\n\n<p class=\"wp-block-paragraph\">With the recent digital boom, many individuals are setting up their own eCommerce stores. With the ability to replace a physical location with a <a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-offices-locations\" target=\"_blank\" rel=\"noreferrer noopener\">Virtual Office<\/a> profit margins tend to be a bit higher for virtual, online business owners.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A profit margin of 20-30% is realistic for most eCommerce businesses.&nbsp;<\/p>\n\n\n\n<h4 class=\"wp-block-heading\">What is a good profit margin for retail?&nbsp;<\/h4>\n\n\n\n<p class=\"wp-block-paragraph\">Retailers have historically low-profit margins, and 4.5-5% is considered normal for most physical retail locations.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">These low margins are primarily due to paying rent, hiring enough employees to run the store, and shrinkage (shoplifting, employee theft, accounting errors, damaged product).&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Regardless of where your small business\u2019s profit margins may lie, the most important thing to keep in mind is that the best profit margin for your business is the one that maximizes your net profits. You are here to make money, after all.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">It\u2019s important to keep in mind that profit margins are relatively complex and multifaceted. There are several different aspects of a business that can influence these margins, and it\u2019s essential to identify the areas that are influencing net profit margins.&nbsp;<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large is-resized\"><a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_02-section-what-influences-profit-margins.png\"><img loading=\"lazy\" decoding=\"async\" width=\"376\" height=\"376\" src=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_02-section-what-influences-profit-margins.png\" alt=\"\" class=\"wp-image-19243\" style=\"width:300px;height:300px\" srcset=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_02-section-what-influences-profit-margins.png 376w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_02-section-what-influences-profit-margins-300x300.png 300w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_02-section-what-influences-profit-margins-150x150.png 150w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_02-section-what-influences-profit-margins-75x75.png 75w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_02-section-what-influences-profit-margins-350x350.png 350w\" sizes=\"(max-width: 376px) 100vw, 376px\" \/><\/a><\/figure>\n<\/div>\n\n\n<h2 class=\"wp-block-heading\" id=\"What-influences-profit-margins?-\">What influences profit margins?&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">All business owners wonder what kind of profit margin they should strive for, and determining what influences these margins is a great way to understand how to bolster these numbers.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Production Costs<\/strong>&nbsp;<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">The most obvious factor that affects profit margins is the cost of production. The amount of money spent on materials to produce goods has a direct correlation with the net profit made on each individual sale.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Still asking yourself:&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>What is a good profit margin for a small business?<\/strong>&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">If you\u2019re unsure of where to start cutting costs, it makes sense to look at how much you\u2019re spending on producing your wares.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Labor Costs<\/strong>&nbsp;<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Hiring employees is tough. <strong>Hiring efficient employees<\/strong> who are willing to stay on for the long haul is even tougher.&nbsp;<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_09-statistics-1.png\"><img loading=\"lazy\" decoding=\"async\" width=\"650\" height=\"300\" src=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_09-statistics-1.png\" alt=\"\" class=\"wp-image-19253\" srcset=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_09-statistics-1.png 650w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_09-statistics-1-300x138.png 300w\" sizes=\"(max-width: 650px) 100vw, 650px\" \/><\/a><\/figure>\n<\/div>\n\n\n<p class=\"wp-block-paragraph\">According to a <a href=\"https:\/\/www.gallup.com\/workplace\/247391\/fixable-problem-costs-businesses-trillion.aspx\" target=\"_blank\" rel=\"noreferrer noopener\">recent Gallup study<\/a>, U.S. businesses are losing a trillion dollars each year because of voluntary turnover.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">What makes this figure even more shocking is that a majority of these turnovers could have been easily avoided with better management.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Not only does losing talent cost more money thanks to the increasingly competitive job market, but as any entrepreneur will tell you, losing your best employees decreases morale, slows production, and sets the stage for further resignations down the line.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Keeping your employees happy is paramount to any business\u2019s success. If you\u2019re still asking yourself: \u201cWhat is a good profit margin for a small business?\u201d, keeping your best employees is one of the best ways to consistently increase those margins.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Pricing<\/strong>&nbsp;<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">For entrepreneurs in the business of selling services rather than products, pricing relates to the cost of services being sold. For anyone else, pricing is just how much you\u2019re charging for the products you\u2019re putting on the market.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">For example, let\u2019s say your company is selling puzzles. Each of those puzzles cost $10.00 to make, so selling the puzzles for $15.00 will net you more profit per sale than selling the puzzles for $14.00 a piece. It sounds simple, but knowing when and how to increase the price for consumers without hurting their loyalty can make a big difference.&nbsp;<br>&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Another important factor to keep in mind is general market sentiment. If the country is experiencing a recession, your small business likely won\u2019t be operating with favorable profit margins. &nbsp;<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>NEXT STEPS:<\/strong> <a href=\"https:\/\/www.cnbc.com\/2022\/01\/13\/profits-for-sp-500-companies-rose-22percent-in-the-fourth-quarter-and-nearly-50percent-in-2021-estimates-show.html\" target=\"_blank\" rel=\"noreferrer noopener\">Profits for S&amp;P 500 companies rose 22% in the 4th quarter and 50% in 2021<\/a>&nbsp;<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n\n<p class=\"wp-block-paragraph\">If you\u2019re asking \u201c<strong>What is a good profit margin for a small business?<\/strong>\u201d this is an important factor to keep in mind.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Why?&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Because if you\u2019re comparing your current numbers with those from wildly profitable economic booms, you will be disappointed.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Although these are just three aspects of business that influence profit margins, each one of these areas needs to be carefully monitored.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Remember, a healthy profit margin for a majority of businesses is anywhere between 7 and 10 percent. Although these are general estimates that vary by business, it might help to consider 10% as a starting point rather than an end goal.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">If you\u2019re aiming for a 10 percent profit margin and you wind up with 7 percent, you\u2019re teetering on the low end of the average. By aiming higher than 10 percent you stand a far better chance of winding up at the high end of the average, giving yourself more room to make mistakes.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The key to finding your business\u2019s sweet spot lies in a careful balancing of production, labor, and pricing. If you find an innovative way to drop prices while still boosting your profit margin, but that method requires higher labor costs, then it\u2019s likely you haven\u2019t made any progress toward reaching your profit margin goal.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Always give yourself some wiggle room. We&#8217;ve provided the exact formulas necessary to calculate these margins, so pay attention to current macroeconomic trends, and always plan for your expenditures to cost a little bit more than you\u2019re expecting to pay.&nbsp;<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large is-resized\"><a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_03-section-how-to-boost-your-small-business-profit-margins.png\"><img loading=\"lazy\" decoding=\"async\" width=\"376\" height=\"376\" src=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_03-section-how-to-boost-your-small-business-profit-margins.png\" alt=\"\" class=\"wp-image-19244\" style=\"width:300px;height:300px\" srcset=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_03-section-how-to-boost-your-small-business-profit-margins.png 376w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_03-section-how-to-boost-your-small-business-profit-margins-300x300.png 300w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_03-section-how-to-boost-your-small-business-profit-margins-150x150.png 150w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_03-section-how-to-boost-your-small-business-profit-margins-75x75.png 75w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_03-section-how-to-boost-your-small-business-profit-margins-350x350.png 350w\" sizes=\"(max-width: 376px) 100vw, 376px\" \/><\/a><\/figure>\n<\/div>\n\n\n<h2 class=\"wp-block-heading\" id=\"How-to-boost-your-small-business\u2019-profit-margins-\">How to boost your small business\u2019 profit margins&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">There are a few different ways to increase your small business\u2019 profit margins, but almost all these methods involve some level of sacrifice.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Are you still wondering:&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>What is a good profit margin for a small business?<\/strong>&nbsp;<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_05-infographic-boost-your-small-business-profit-margins.png\"><img loading=\"lazy\" decoding=\"async\" width=\"700\" height=\"870\" src=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_05-infographic-boost-your-small-business-profit-margins.png\" alt=\"\" class=\"wp-image-19247\" srcset=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_05-infographic-boost-your-small-business-profit-margins.png 700w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_05-infographic-boost-your-small-business-profit-margins-241x300.png 241w\" sizes=\"(max-width: 700px) 100vw, 700px\" \/><\/a><\/figure>\n<\/div>\n\n\n<p class=\"wp-block-paragraph\">Boosting your profit margins requires a willingness to make changes when necessary &#8212; even if those changes aren\u2019t comfortable.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Cheaper Materials<\/strong>&nbsp;<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">One of the first ways many entrepreneurs attempt to increase profit margins is by finding cheaper materials to use in production.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">If these cheaper materials are of comparable quality, then you likely won\u2019t lose any customers. On the flip side, if the cheaper materials negatively impact the quality of your product, there\u2019s a good chance consumers will look to your competitors to find the quality that your goods now lack.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The key is to find cheaper materials that nonetheless maintain quality. By doing so, you can boost profit margins without sacrificing any customers.&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>More Efficient Production<\/strong>&nbsp;<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Fortunately, most consumers won\u2019t be able to tell if you\u2019ve found a cheaper way to produce your goods. Sometimes this efficiency comes at the cost of purchasing a new machine. In other situations, a lump-sum operating cost can drive profit margins up.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The trick is to gauge whether or not this new production method will help save you money &#8212; even if it\u2019s more expensive in the short term.&nbsp;&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Increasing Prices of Goods or Services<\/strong>&nbsp;<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">This method of boosting profit margins can be a bit more difficult. In order to keep up with wider macroeconomic trends, you will likely be forced to raise prices regardless of whether or not you\u2019re focusing exclusively on profit margins.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Fortunately, most consumers understand this. The issue arises when you are raising your prices faster or higher than anyone else.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">If you pay attention to how much your competitors are charging as well as wider macroeconomic trends, you&#8217;ll find yourself in a very advantageous position. The idea is to raise prices enough to bolster your profit margins without losing customers in the process.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Keep in mind that net profits aren\u2019t the same as profit margins. This means that even if your profit margins are absurdly high, it won\u2019t matter if you\u2019re not actually <em>selling <\/em>any products.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Be flexible \u2013 but don\u2019t be a pushover. &nbsp;<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>NEXT STEPS:<\/strong> <a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/local-small-business\/\" target=\"_blank\" rel=\"noreferrer noopener\">Is Staying a Local Small Business Killing Your Profits?<\/a>&nbsp;<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n\n<p class=\"wp-block-paragraph\">Many entrepreneurs ask themselves:&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>What is a good profit margin for a small business?<\/strong>&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Unfortunately, not all of them are willing to make the changes necessary to increase these margins. By being willing to make necessary changes without succumbing to the whims of every customer who walks through the door, you can bolster these numbers and give your business a chance of true success.&nbsp;<\/p>\n\n\n\n<hr class=\"wp-block-separator has-css-opacity\"\/>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large is-resized\"><a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_04-section-now-that-you-understand-what-a-good-net-profit-margin-is-what-next.png\"><img loading=\"lazy\" decoding=\"async\" width=\"376\" height=\"376\" src=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_04-section-now-that-you-understand-what-a-good-net-profit-margin-is-what-next.png\" alt=\"\" class=\"wp-image-19245\" style=\"width:300px;height:300px\" srcset=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_04-section-now-that-you-understand-what-a-good-net-profit-margin-is-what-next.png 376w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_04-section-now-that-you-understand-what-a-good-net-profit-margin-is-what-next-300x300.png 300w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_04-section-now-that-you-understand-what-a-good-net-profit-margin-is-what-next-150x150.png 150w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_04-section-now-that-you-understand-what-a-good-net-profit-margin-is-what-next-75x75.png 75w, https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_04-section-now-that-you-understand-what-a-good-net-profit-margin-is-what-next-350x350.png 350w\" sizes=\"(max-width: 376px) 100vw, 376px\" \/><\/a><\/figure>\n<\/div>\n\n\n<h2 class=\"wp-block-heading\" id=\"Now-that-you-understand-what-a-good-net-profit-margin-is,-what-next?-\">Now that you understand what a good net profit margin is, what next?&nbsp;<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">If you\u2019re asking yourself: \u201cWhat is a good profit margin for a small business?\u201d You\u2019ve already taken the first step to becoming a genuinely profitable company.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">In closing, profit margins are the amount of net profit you make per sale. You can boost your profit margins by reducing the costs associated with production, or by raising the price you charge for your products or services.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Aim to raise profit margins while also balancing the number of sales you make at a given price point. This will maximize your net income.&nbsp;<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Further Reading:&nbsp;<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong><a href=\"https:\/\/www.alliancevirtualoffices.com\/marketplace\" target=\"_blank\" rel=\"noreferrer noopener\">Accounting Software to Keep You in the Green<\/a>&nbsp;<\/strong><\/li>\n\n\n\n<li><strong><a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/setting-short-term-goals-for-small-business\/\" target=\"_blank\" rel=\"noreferrer noopener\">Tips on SMART Goals and Measuring Progress<\/a>&nbsp;<\/strong><\/li>\n\n\n\n<li><a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/mobile-business-ideas\/\" target=\"_blank\" rel=\"noopener\" title=\"\"><strong>25 Easy to Start Mobile Business Ideas in 2025<\/strong><\/a><\/li>\n\n\n\n<li><a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/freelancer-or-business-owner-which-is-best-for-you\/\" target=\"_blank\" rel=\"noopener\" title=\"\"><strong>Freelancer or Business Owner? Which Is Best for You?<\/strong><\/a><\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p class=\"wp-block-paragraph\">For established entrepreneurs, the idea of switching key aspects of your business around might not sound easy.&nbsp;&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Whether you\u2019re considering making the switch to a <a href=\"https:\/\/www.alliancevirtualoffices.com\/\" target=\"_blank\" rel=\"noopener\" title=\"\">Virtual Office<\/a> to save on rent, looking to utilize <a href=\"https:\/\/www.alliancevirtualoffices.com\/live-receptionist\" target=\"_blank\" rel=\"noreferrer noopener\">Live Receptionists<\/a> to eliminate otherwise unneeded positions, or investing in <a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-phone-number\" target=\"_blank\" rel=\"noreferrer noopener\">Virtual Phones<\/a> to help better connect you and your employees, we\u2019re here to help.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.alliancevirtualoffices.com\/contact\" target=\"_blank\" rel=\"noreferrer noopener\">Contact us today<\/a> to see if there\u2019s any way we can help you on your journey to healthier profit margins!&nbsp;<\/p>\n<style class=\"advgb-styles-renderer\">.ugb-c0c7596-wrapper.ugb-container__wrapper{border-radius:5px !important;border-style:solid !important;border-color:#000000 !important;border-top-width:1px !important;border-right-width:1px !important;border-bottom-width:1px !important;border-left-width:1px !important;padding-top:0 !important;padding-bottom:0 !important}.ugb-c0c7596-wrapper > .ugb-container__side{padding-top:35px !important;padding-bottom:35px !important}.ugb-1269703 .ugb-heading__title{font-size:24px !important;text-align:left;margin-bottom:0px !important}.ugb-1269703 .ugb-heading__subtitle{font-size:18px !important}@media screen and (min-width:768px){.ugb-1269703.ugb-heading{margin-top:-12px !important}}.ugb-27d850c > .ugb-inner-block > .ugb-block-content > .ugb-columns__item{grid-template-columns:0.66fr 1.34fr !important}@media screen and (min-width:768px){.ugb-27d850c.ugb-columns{margin-top:-18px !important;margin-bottom:-30px !important}}@media screen and (max-width:768px){.ugb-27d850c.ugb-columns{margin-top:-60px !important;margin-bottom:-20px !important;padding-top:0px !important}}<\/style>","protected":false},"excerpt":{"rendered":"<p>Profit margins vary considerably by business, but a profit margin of 7-10% is an excellent goal that will help guarantee your business\u2019s longevity. Read our guide to calculate your profits and see how much money your business is really making you.<\/p>\n","protected":false},"author":46,"featured_media":19571,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","inline_featured_image":false,"advgb_blocks_editor_width":"","advgb_blocks_columns_visual_guide":"","jnews-multi-image_gallery":[],"jnews_single_post":{"subtitle":"","format":"standard","video":"","gallery":"","source_name":"","source_url":"","via_name":"","via_url":"","override":[{"template":"1","single_blog_custom":"","parallax":"1","fullscreen":"1","layout":"right-sidebar","sidebar":"default-sidebar","second_sidebar":"default-sidebar","sticky_sidebar":"1","share_position":"top","share_float_style":"share-monocrhome","show_share_counter":"1","show_view_counter":"1","show_featured":"1","show_post_meta":"1","show_post_author":"1","show_post_author_image":"1","show_post_date":"1","post_date_format":"default","post_date_format_custom":"Y\/m\/d","show_post_category":"1","post_reading_time_wpm":"300","zoom_button_out_step":"2","zoom_button_in_step":"3","show_post_tag":"1","show_prev_next_post":"1","show_popup_post":"1","number_popup_post":"1"}],"image_override":[{"single_post_thumbnail_size":"crop-500","single_post_gallery_size":"crop-500"}],"trending_post_position":"meta","trending_post_label":"Trending","sponsored_post_label":"Sponsored 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margins vary considerably by business, but a profit margin of 7-10% is an excellent goal that will help guarantee your business\u2019s longevity. Read our guide to calculate your profits and see how much money your business is really making you.<\/p>\n","category_list_v2":"<a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/category\/small-business\/\" rel=\"category tag\">Small Business<\/a>","author_info_v2":{"name":"John Donovan","url":"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/author\/john-donovan\/"},"comments_num_v2":"0 comments","author_meta":{"display_name":"John Donovan","author_link":"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/author\/john-donovan\/"},"featured_img":"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/wp-content\/uploads\/2022\/07\/scbp_00-featured-what-is-a-good-profit-margin-for-a-small-business-complete-guide-1-300x73.png","coauthors":[],"tax_additional":{"categories":{"linked":["<a href=\"https:\/\/www.alliancevirtualoffices.com\/virtual-office-blog\/category\/small-business\/\" class=\"advgb-post-tax-term\">Small 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