If you want to launch a profitable business this year and to start making money as your own boss, you’ll need to know how to make a profit. Making a profit starts with building your money making muscles by earning that first dollar. Here are three moves you can make this year to start counting that cash as you implement and grow your business:
Here are three moves you can make this to start counting that cash as you implement and grow your business this year:
Create your profit plan.
There are two differences between businesses that die and ones that blow up: product quality and financial management. Before you charge a customer one single cent, you need to make sure that the pricing you decide on is good for the people you serve and will set you up to be profitable.
Use the To-Do-List you created for your business (last week) to create a list of how much you’ll spend to get things started (like website design or a certain license.) Then list your recurring costs (like marketing, and product manufacturing or overhead costs.)
Once you understand how much you’ll be spending, set pricing for your product or service. Your pricing should account for material costs, taxes, and profit. If you’re a service-based business, you’ll need to account for your hourly wage and the cost of any materials involved in your service and also the expected return on investment for your client.
Now that you’ve decided on these things, you’ll be able to set your sales goals and brainstorm how to reach them, ensuring that your business is profitable.
Also, make sure you take the time to figure out your revenue goals. Start with: how much you’d like to make for the year, (then divide that by twelve) to get your monthly goals, and (then divide your monthly goal by four) to get your weekly goal and (then your weekly by 30) to get your daily goal.
Make it easy for people to buy from you.
I once went on a friend’s new website to check it out – she was launching her health coaching business. The site was on point – it was gorgeously designed and had a great color scheme, professional photos, and an engaging about page.
Then I read a sentence that said something like, “If you want to work together, shoot me a message!”
No “services” page describing her work or process with clients. No price list. No “Buy now” button. No “Book now” button. Nothing. Just the regular contact page with her email.
Pretend for a moment that you’re her ideal customer. You go onto her site and you’re maybe interested in working with her … but you’ve also been checking out other coaches. Are you going to risk the embarrassment of emailing her and then realizing her services are four times more expensive than what you can afford? Are you going to sit there and brainstorm the ways she can help you, and then email them to her and propose those ideas? Or are you going to head back to the other coach’s site and book a session with the other coach, because the other coach has clearly communicated:
- How much her services cost
- Exactly what she’ll deliver when you purchase
- What to do to take the next step – i.e. Click here to book your session and set a date!
Here’s the deal – it’s easy for a customer to talk themselves out of purchasing from you. There are so many other people they could be purchasing from. You can’t afford to give them any reasons not to buy. Make purchasing from you an easy, simple, enjoyable process.
Use freebies to gather a crowd that you can sell to.
Marketing doesn’t need to be complicated. One of the most effective sales strategies for your business is to deliver a ton value to your customer before ever asking anything of them. That means, instead of saying to your customer, “Hi! Buy from me!” you’re saying, “Hi! Here’s something I’d love to share with you. I hope it makes a difference in your life.” Then, once they get to know like and trust you, you introduce them to your products.
The key to offering these freebies is to collect email addresses along the way. That way, when you’re ready to share your sales pitch, you’ll have a way (that you can control) to be in touch with your potential customer.
Here are two ways to use freebies to gather a crowd to sell to:
- Share tips, hacks or inspiration related to your business in an email newsletter, on video, on your blog or the way I do on Instagram. Then every once in awhile, remind readers that if they’re getting a lot out of what you’re writing, they’ll love your products.
- Host a webinar, teaching on a topic related to your business. If you create a webinar with genuinely great information, making a pitch for your product at the end of the webinar will often yield lots of sales.
Lastly, you’ve got to talk. As I like to say, closed mouths don’t get fed, baby! When people ask what you do, don’t just tell them about your day job. Tell them about your business. Have a business card with your website ready to hand to people who’re interested. Then follow up with those people. There’s a good chance that some of them are likely to become your first customers.
Are you ready to make money in 2017? What steps will you take to create more sales for your business? Let’s talk in the comments below.