Do you have your head in the sand when it comes to numbers in your business? You think your business is making money but when it comes down to it, you don’t really know. As a holistic entrepreneur it is so easy to get caught up in wanting to be of service to your clients, that you often forget you need to make money. You are running a business not an expensive hobby, so you need to start taking action now. Sit down and work through the following steps.
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Work out where you are in business, right at this moment in time.
- Ensure you have a business bank account setup - don’t use your personal one any longer!
- Set up a income and expense tracking process - either use an excel spreadsheet, or accounting software package. Wave is a free software which is easy to use, there is also Freshbooks, Xero and many more.
- Enter in all your transactions for this financial year - you can do them by month if easier, start this month and work backwards.
- Work out your current financial position
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Now that you know where you are in your business, ask yourself: Are you where you want to be? If you are not, you need to set goals to work towards.
- Write down your quarterly, six monthly and year 1 , 2 goals.
- How much income do you want to receive?
- How many hours do you want to work to achieve these goals?
- By answering these questions you can start to put a plan in place to work towards.
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Create an action plan to help you achieve these goals.
- Do you need to hire a coach or mentor to help you achieve these goals? If you’ve set goals before — without success — it’s time to invest.
- Do you need to join a mastermind or find an accountability buddy to help keep you accountable? It is no good setting these amazing goals and not keeping yourself accountable.
- Once you have worked out what you need to do work out a plan on how to achieve these goals.
- Work backwards from your goal. If you want to earn $10k per month, then work backwards you need to sell ten $1k packages, or five $2k packages etc.
- Base your package rates somewhere between what you feel comfortable charging and what makes you a little uncomfortable. Why? Because too many women entrepreneurs under-earn. Choose a rate commensurate with the time, energy and resources the client will receive that also allows you to remain in financial ease. Once you establish effective rates and commensurate value for your services, products and programs, you will convert more would-be clients into happy-to-work-with-you clients.
Now that you have shined the light on your finances, come and share in the Kula your next month’s and quarter’s goals! I can’t wait to hear what they are.