Sep 30, 2016
Episode 4 - Part 2 - Can Local Small Business Owners Make $100,000 in Profit? These are the 8 Steps they Need to Take
Welcome back to the Local Small Business Coach Podcast, I am your coach Tammy Adams.
So in episode 4, we are going jump into Part 2 of Can Local Small Business Owners Make $100,000 in Profit?
In episode 3 we spent some time breaking down how to figure out how much you need to sell to hit your $100,000 profit. I know it was a number’s filled episode but hopefully you got a lot of insight into profit margins and how it impacts your business.
If you missed the episode, head on over to episode 3 to learn how to figure out the sales needed in your business to hit your $100,000 goal.
So, after our last episode you should have an idea of what you need to do in sales to hit your $100,000 profit target. Now, getting to this target, is going to be the accumulation of a lot of little things you will do. But let’s concentrate on 8 Steps that should get you there.
Step 1 – You must set aside 2-3 hours a week to start working ON your business and not just IN your business.
You might recall we discussed this in more detail in episode 2. The reason I had this in an earlier episode is because it is going to be a crucial step into setting aside the time you need to work on your marketing, your systems and other critical areas of your business.
As long as 99% of your time is spent on the “doing” you will never grow beyond your current capacity. So this step is a very important part of your game plan.
So when is the best time to schedule this? Ideally, you would spend your first hour of each day working on your business. However, some of you must get an early start so then set aside time at the end of the day. Worse case, set aside your first few hours on Monday or time on Sunday afternoon.
Remember, you need to make this time a habit. The best way to make it a habit is to pick the same time each day or week. Whatever you pick, make sure you fully commit and block your calendar during this time. Make it a sacred part of your week.
Step 2 – You need to Identify the gap between what you are currently doing today in sales and what you are needing to do to hit your target. So for example, let’s say you are bringing home $5,000 a month or $60,000 a year profit. So we know you need to grow your business by $40,000 in profit.
We also know that your existing sales are around $125,000 and that covers both your expenses and the $60,000 in profit.
In yesterday’s exercise you realized you need to take your business from $125,000 in sales to $230,000 to hit your new $100,000 goal plus expenses.
So you need $105,000 more in sales annually or $8.700 a month.
Ok, I know I promised you no more math but since some of you didn’t figure this out earlier, we need to make sure you do it. LOL
For the full show notes click the link below!
Podcast Website: LocalSmallBusinessCoach.com
Leave your Message on the website with the SpeakPipe Button or just email me atTammy@LocalSmallBusinessCoach.com
Episode Show Notes: Episode 4 - Local Small Business Coach Podcast
Episode 4 - 8 Step Workbook FREEBIE
Our Training Materials for Local Small Business Owners: TrainingforLocalSmallBusinessOwners.com
Starting a Local Small Business Website: StartALocalSmallBusiness.com