REVENUE PER HOUR
What an hour in the shop earns once every hour is counted.
WHAT IT MEANS
Revenue per hour spreads your takings across all the hours you are in the shop, including cleaning, admin and the gaps between clients.
THE FORMULA
Revenue per hour = revenue ÷ hours in the shop
WHY IT MATTERS
Price per cut flatters you. Revenue per hour tells you what your time is actually worth and which hours are worth keeping.
MEASURE IT
Revenue Per Hour Calculator runs this calculation on your own numbers in under a minute.
RELATED DEFINITIONS
- Effective Hourly RateWhat you keep per hour, counting every working hour.
- Chair UtilizationThe share of your available chair time that is actually booked.
- CapacityThe most clients your schedule can physically hold.
Part of Chair Utilization.