Close your eyes and imagine a time where it is the end of the month and your bookkeeping is complete, accounts reconciled and you pull your reports and you actually enjoy the process of reviewing your numbers and you are excited to see how well your business is doing. This scenario feels so out of reach for so many business owners and it doesn’t have to be this way.
This year I worked with a client who was a very successful wellness coach, her business was scaling by leaps and bounds this year but she didn’t understand why she didn’t have enough cash to pay all of her contractors and bills every month. Jenna hid from her accounting because it was confusing to her and she didn’t have time to learn a new skill. After several months of the same circle of confusion, Jenna reached out to us for help. After 3 months Jenna has been able to confidently make more strategic spending decisions so that she can decrease spending and increase her profits (this also means Jenna is taking home a bigger paycheck). Now I promise you this is not magic.
There were 5 key things we did with Jennah during this process. We are going to share this process with you over the next 5 months one step at a time so that you can implement these strategies in your business and see the same success as Jenna.
Step 1: (1 of 5) Set revenue goals for your business.
This does not have to be an overwhelming process.
Determine the amount of NET revenue you need in order to breakeven (cover your monthly general operating expenses) and reach profitability
Review your historical results
How many new clients per month?
Average sale price
# of product/services sold
Determine how many products or services need to be sold each month in order to achieve the net revenue determined in step one.