“Revenue is vanity, profit is sanity, cash is king.” — Old business proverb
It’s tempting to chase top-line growth, but if you’re losing money per unit, scaling faster only accelerates failure. Real growth begins with positive unit economics.
Related study:
CB Insights reports 38% of startup failures happen because they run out of cash — often tied to poor margins and weak unit economics.
Why it works:
✅ Forces focus on profitability at the core
✅ Protects against “growth at all costs” traps
✅ Creates resilience in downturns
✅ Aligns incentives across sales, ops, and finance
Today’s Challenge:
Take one product/service and calculate:
(Revenue per unit – Cost per unit = Margin).
Would scaling it make you richer — or just busier?🧐
Final Thought:
Growth without margin is noise. Growth with healthy economics is power.
Don’t just grow bigger — grow smarter. -1% CheatCode