Revenue requires investment, profit requires creativity
The purpose of a business is to generate over its lifetime a higher return for its shareholders than what they would have gotten by investing in risk-free options (such as government bonds). This is a slightly technical definition but an example will illustrate what I mean.
Imagine there is an entrepreneur with a business proposal and he requires a $100 of investment for it. He reaches out to you and pitches his idea to seek your investment. To make a decision, you’ll probably analyze and estimate how much return you’d get in return of money you give to him. If you usually get 6% interest annually in a savings bank account, you would expect a higher return from the entrepreneur (given there’s a risk of losing your entire $100 while your money in the bank is virtually risk-free). In fact, you’d expect an unjustifiedly high rate of return because like all humans you’re risk averse and hence demand more upside than what seems fair. Absurdly high expectations is what makes entrepreneurship so hard. ...