The Numbers You Don’t Want to See Are the Ones You Most Need To

You started your agency to do great work - not to become an accountant.
And yet, if you avoid the financial side of your business for long enough, it starts making decisions for you.

Margins shrink. Cash disappears. You feel busy but broke.
And you start to wonder why the agency next door is growing faster, paying better, and somehow staying sane.

Here’s a hard truth I’ve seen play out time and time again:
Most agency underperformance starts with not knowing your numbers.

Not because you’re lazy. Not because you’re bad at business.
But because facing the numbers means facing reality. And reality sometimes demands change - the uncomfortable kind.

Let’s unpack what’s going on here, why it matters, and what you can do (without turning into a CFO overnight).


What "Avoiding the Numbers" Really Looks Like

This behaviour comes in more flavours than you'd expect. Some founders ignore the numbers entirely. Others are tracking something - just not the stuff that matters.

Here’s how it often shows up:

  • They don’t know their gross margin or how it’s trending.

  • They price based on what feels fair rather than what’s profitable.

  • They have no cashflow forecast - just crossed fingers and a rough idea of receivables.

  • Utilisation? Capacity planning? “We’re too busy to worry about that right now.”

  • Financial reporting is outsourced to a bookkeeper, with little strategic input.

And let’s be honest - it’s easy to put it off. Especially when the pipeline’s full and everyone’s in motion. But activity isn’t the same as progress.

You can be flat out, fully booked... and still underperforming.


Why Smart Founders Still Dodge the Data

Let’s give this behaviour the benefit of the doubt. Founders aren’t stupid. So why avoid something so important?

1. It’s confronting.

You look at a monthly P&L and realise that client you love working with? They're actually costing you money.
You see how much over-servicing is eroding your profits.
You realise that your “busiest” team members are also the least profitable.

And then what? You either make tough decisions… or go back to ignoring the numbers.

2. It’s confusing.

Finance has its own language. If you didn’t come from a commercial background, it can feel like being handed a map in a language you don’t read. So you trust someone else to “handle the numbers,” and hope for the best.

3. It’s boring.

For creative founders, spreadsheets just don’t light you up. And that’s fair. But being disinterested in the numbers doesn’t excuse being disengaged from them.


But Here’s the Thing…

Every healthy agency we work with has one thing in common: financial visibility.

They know how profitable each client is.
They know their gross margin across services.
They price based on margin and value - not guesswork.
They plan resource allocation weeks in advance, not days.
They don’t wait for the accountant to tell them how they did last quarter - they already know.

And you don’t need to become a numbers nerd to get there.

You just need to commit to a handful of simple practices that pull you out of the fog and into the cockpit.


Five Things to Start Doing (Even If Numbers Aren’t Your Thing)

Here’s a starting point - no jargon, no MBA required:

1. Calculate Your Gross Margin

This isn’t optional. It’s the foundation.

Gross margin = Revenue – Direct Delivery Costs (usually staff or freelancers doing the work)

You want to see 50–60% or more, depending on your model. If you're running below that, dig into why.

2. Forecast 90 Days Ahead

This isn’t about precision. It’s about awareness. Look at:

  • Committed revenue

  • Probable pipeline

  • Fixed costs

  • Cash position

If there's a gap coming, better to see it now than feel it later.

3. Track Utilisation Weekly

Don’t overthink it. Just capture:

  • Hours available

  • Hours spent on client work

  • Billable vs. non-billable time

Even rough data will give you insights you can act on.

4. Review Pricing Against Reality

Are your projects hitting the margin you think they are? Or are you underestimating scope, undercharging for value, and writing off time?

Gut feel is not a pricing strategy. Use data from past jobs to recalibrate.

5. Talk to Someone Who Gets It

If numbers aren’t your strong suit, fine. But bring in someone who can turn data into decisions. This might be a fractional FD, a commercially-minded ops lead, or an external advisor.

You can’t outsource ownership. But you can bring in the right kind of help.


What You Gain When You Step Into the Numbers

Let’s flip the lens. Because once you do engage with the numbers, a few things happen fast:

  • You stop feeling reactive and start making decisions with confidence.

  • You see which clients are truly profitable - and which need renegotiation or releasing.

  • You avoid overhiring and overcommitting.

  • You sleep better.

One of the agency owners we worked with resisted this for years. They had good clients, great work, but constantly felt skint.

When we finally got under the hood, it turned out their blended delivery margin was 33%.
They were working twice as hard for half the return.

Six months after addressing pricing, resource planning and client mix, they were hitting 58%.
Same revenue. Nearly double the profit. And zero late-night cashflow panic.


Final Word: Facing the Numbers Is a Leadership Act

Avoiding the numbers is, in many ways, a form of self-protection.
But leadership is about stepping toward what’s uncomfortable.

You don’t need to become a spreadsheet wizard.
You just need to stop pretending the numbers don’t matter - or that someone else will worry about it for you.

Your agency becomes easier to run the moment you choose to see it clearly.

So here’s a practical challenge:

This week, block out one hour.
Look at one number you’ve been avoiding - margin, forecast, whatever.
Ask yourself: “What’s this telling me that I haven’t wanted to hear?”

And then do something about it.


Want help making sense of it? That’s what we do. But whether you work with us or not - stop running blind.
You deserve better than that. So does your team.

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