 Hi, I'm Tom Stewart with Cleaning Business Today. For today's KPI tip, we're going to demonstrate how to calculate the average revenue per employee. When you put in together your plan for the upcoming year, one of the metrics you're going to want to know and track throughout the year is your average revenue per employee. If you're planning on bringing on new accounts, growing your business, you need to not only look at the revenue and look at the clients, but anticipate how many additional employees you're going to need as well. This is a number that will be helpful to you. One way of doing it, the way I prefer is to go back and look at the previous year and just pick one payday out of each month of the year. In this example, we pick the number of paychecks that we caught on the first payday of each month. I've already plugged those numbers in. To calculate the average, it'd be as simple as go ahead and adding all of those up and taking that number and dividing it by 12. In this example, the average employees per month is 24.42. Once I know that, I can go ahead and divide that number into a revenue number. Let's go ahead and just assume that we were doing a million dollars a year in revenue. We'll go ahead and format that just to make it a little bit easier to see. We're going to take that number and divide it by the number of average employees, which is our 24, and that gives us an average revenue per employee of almost $41,000 a year. I would know that on an annual basis for roughly every $41,000 of additional revenue I would gain or $41,000 revenue I would lose, that I would expect my number of employees to go up and down by one for every increment of $41,000. When you're putting your plan together for 2014, this will be a number that will be useful to you as you're planning your revenue growth. You can also be planning for the number of additional employees, what you need to do from a recruiting standpoint, a training standpoint, and an equipment standpoint. I hope you find this KPI tip useful. Thank you for watching Cleaning Business Today.