3 THINGS YOU MUST DO TO REMOVE YOUR INCOME CEILING
Charging by the hour or getting paid for your time which is basically the same thing, can get you a good income. I build my first business on that model and reached €125,000.- in sales, more than I ever earned as an employee. But there are two issues with this model. One, there is a ceiling on your income as you can never work unlimited hours a year. And two, it requires you to always be present. When you are ill, on extended leave or even pass away, the income stops immediately. If you want to fix both problems, there are three things you MUST DO!
Must do 1: Automate
The more automated your business systems are, the less you need to do yourself and you also don’t need someone else to do it for you. A completely automated system will work 24/7 365 days a year. And an automated system is endlessly scalable, because of the fact no human interaction is needed.
An automated system does require work, mind you. Not only to set it up initially, but also to make sure it keeps working. Your process might also change over time, so your automation needs to be adjusted to align with the new system.
But this maintenance work can be scheduled whenever it suits you. And a proper system requires almost no maintenance compared to the results it provides for your business. On top of that you can delegate the maintenance to a tech savvy VA, which brings me to must do number 2.
Must do 2: Build a team
Running your business all by yourself is risky and puts a ceiling on your income. There are only so many hours in a day and you don’t want to spend all your time on your business. Time for family and relaxation is also very much needed.
You can fix this by building a team. This doesn’t necessarily mean you hire employees, although that could be one way to do it. An easier way to start is by finding people that you can delegate specialized tasks to. The first team member should be an accountant/bookkeeper, ideally this is one person that does both. The second team member is a Virtual Assistant or VA. A VA will save you time by handling the communications, like e-mail, invoicing, repetitive social media work or other administrative tasks.
Another highly recommended team member is a business sparring partner. This could be a friend who is also a business owner, or it can be a paid Business Coach. This is very important as often we have blind spots in our own business. We are so used to how things are going, that we don’t easily see what can be improved upon. A sparring partner that you can discuss the matters for your business with is very valuable.
From here on it depends on your specific business what other team members you might need. But always keep asking yourself what tasks in your business can be delegated.
Must do 3: Develop a scalable product
When you are getting paid for your time there will always be a limit on your income. It can be an income of hundreds of thousands a year, but there is still a hard limit, the time you have available. You need to develop a product that doesn’t require your time to deliver it to your clients.
For coaches, online courses can be a very attractive product, both for yourself as well as for your clients. With every coaching client there is always a certain amount of knowledge transfer in addition to working with your client on their barriers. They need to know certain things before they can be helped to overcome their problems. This transfer of knowledge can be done by an online training.
What is beneficial to your clients is that these online programs are lower priced than working with you one on one. Therefore, it is easier to get access to that knowledge. And some people might only need the knowledge and don’t necessarily require your personal help.
Which of the three must do’s do you find hardest to do? Let us know in the comments below.
See you around.
All the best,