6 Figure Myth
May 20, 2020
In this week's blog, I want to talk about all the stuff I see online about "6 figure businesses". I think it can make small business owners feel that they are not getting it right if they are not doing this.
Don't get me wrong, I'm sure they are making 6 figures in their business but this is only talking about the sales they make. This isn't to be dismissed, but the bit they don't tell you is how much their business is costing to run and how much money they are taking out of the business for themselves. It may even cost them 6 figures to run their business!
It's expensive to run a 6 figure business, often with employees and freelancers working for the business, plus all the costs of various events they run and the software that is used.
I think it can be aspirational to hear about people doing well in their business, but it can also leave you feeling inadequate, especially if your business is just you.
Don't feel bad if you are not making 6 figures, focus on keeping things under control with your costs and what you want for your business, and don't aim for a mythical number. Keep your eye on the profit and cash, not the income.
Make sure your business is lean, and doesn't have any costs that you don't need in it. Review this at least quarterly to make sure your costs don't creep. Remember to spend for the business you have, not the one you want, and plan for the growth in your business.
If you want to talk more about growing your business, come and have a chat with me. You can book a call here.
