EP499: Spotlight - Tommy Vincent – 3 Metrics That Drive Advisory Success

"The number one driver of small to medium sized businesses not making it is cash flow problems. It's not that they're not profitable. This is the big thing with net cash that most people don't realize, is that you can run a profitable business and run out of money."
-Tommy Vincent

In this spotlight episode, Tommy Vincent, Co-Founder and Chief Revenue Officer at Hub Analytics, returns to share how bookkeepers can confidently step into advisory by focusing on just 3 key metrics. He explains how to measure, track, and present them to clients in a way that builds trust and drives business growth.

In this interview, you'll learn:

• The 3 metrics every bookkeeper should track
• Why consistency matters more than dozens of KPIs
• How net equity shows a business owner's true wealth

To learn more about Hub Analytics, click here.

Connect with Tommy on LinkedIn.

Time Stamp

00:00 – Introducing 3 Key Metrics
02:16 – Why bookkeepers are well-positioned to deliver advisory services
03:59 – Why less is more with KPIs for small business clients
04:54 – The three core metrics
06:33 – Breaking down net operating income & what it reveals
07:50 – Industry nuances & why measuring consistently matters
09:30 – Using consistent monthly tracking to spot improvement
12:20 – Net equity explained
14:27 – Why 78% of a business owner's net worth is tied to their business
16:04 – Loans, distributions & reinvestment
20:54 – Why profitable businesses still fail without cash
23:10 – Healthcare & construction industries & cashflow gaps
25:59 – Watching DSO & DPO to avoid cash crunches
27:21 – How bookkeepers can differentiate by tracking just 3 KPIs
28:29 – How to package advisory
30:55 – Why most existing clients won't pay more
33:18 – Advisory is best suited for businesses over $1M revenue
34:56 – How Hub Analytics supports bookkeepers with AI-driven reporting