Understanding the impact of inflation
The same growth rate over 10 years, applied to turnover and to net profit.
The same growth rate, over 10 years, seen two ways — what it does to turnover, and what it does to net profit. Static, illustrative reference tables, not tied to any country, account, or your own figures. Pure mathematical projection.
Turnover
Where turnover lands as it grows.
| Today | 1%/yr | 5%/yr | 10%/yr | 20%/yr |
|---|---|---|---|---|
| 1,000,000 | 1,104,622 | 1,628,895 | 2,593,742 | 6,191,736 |
| 5,000,000 | 5,523,111 | 8,144,473 | 12,968,712 | 30,958,682 |
| 10,000,000 | 11,046,221 | 16,288,946 | 25,937,425 | 61,917,364 |
| 20,000,000 | 22,092,443 | 32,577,893 | 51,874,849 | 123,834,728 |
Net profit
The same rates applied to net profit.
| Today | 1%/yr | 5%/yr | 10%/yr | 20%/yr |
|---|---|---|---|---|
| 100,000 | 110,462 | 162,889 | 259,374 | 619,174 |
| 500,000 | 552,311 | 814,447 | 1,296,871 | 3,095,868 |
| 1,000,000 | 1,104,622 | 1,628,895 | 2,593,742 | 6,191,736 |
| 2,000,000 | 2,209,244 | 3,257,789 | 5,187,485 | 12,383,473 |
A steady 20% a year is where a business genuinely changes shape — look at the last column of each table.