Meaning ● Return on Investment (ROI) Calculation, within the domain of SMB growth, automation, and implementation, represents a key performance indicator (KPI) measuring the profitability or efficiency of an investment relative to its cost. For SMBs, a precise ROI assessment is vital for informed decision-making regarding resource allocation, tech adoption, and strategic initiatives. In essence, ROI articulates the financial returns gleaned from investments, helping SMB owners gauge the true value of implemented automation systems, marketing campaigns, or operational changes. Considerably, this encompasses the net profit divided by the investment cost, expressed as a percentage. Evaluating prospective ROI informs strategic planning, enabling prioritization of projects likely to yield the most impactful financial gains for the business.
