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Your Costs Are Lying to You

Costing & Unit Economics

Costing isn’t Excel decoration; it’s survival math. Get it wrong, and you’re not just fooling investors — you’re fooling yourself. Illusions don’t pay bills.

Bookkeeping vs. Costing; When you calculate “cost per unit,” what do you actually include?

The Average Cost Trap; How do you use averages in costing?

Hidden Costs; Do you account for things like your own time, spoilage, pilferage, and compliance?

Pricing Logic; How do you set your price?

Scaling Assumptions; How do you expect costs to behave as you scale?

Small Errors; How do you treat small costing gaps (₹2 here, 1% there)?

 Courage to Face Numbers; How do you emotionally react to costing truths?

Founder’s Own Cost; Do you factor your own time and salary?

Costing Granularity; How often do you drill down costs per channel/geography?

Profitability Claim; When you say “I’m profitable,” what do you mean?

Costing is not Excel’s job; it’s your mirror. Look deep, or the reflection will eventually crack.