How can you pay yourself more? It’s something many small business owners ask themselves and small and micro businesses, in particular, struggle with this. When it's just you, it can be difficult to make sure you're paying yourself because you tend not to think of yourself as a salaried person or an employee in the business.
But actually, you need to start thinking about yourself as somebody else you need to pay and not just an afterthought. It’s not just about paying yourself whatever's left in the bank at the end of the month. Because when you do that, there's a temptation to think that you’re doing really well in your business when you’re not! This is especially relevant if you’re a service business and delivering a lot of the work. You can often find that you’re actually not paying yourself anything and working for free or very little. The thought is its work that isn’t costing anything because it’s ‘just’ your time -...
Which product or service makes you the most money in your business? Do you even know this?
If you have lots and lots of products and services in your business, you need to really think about focusing that down, and knowing which ones really make you money. But do you know how much money they each make?
If you offer one to one consultancy, is that actually worth doing? If you do a course, is that worth doing?
I want you to think about how which products and services in your business make the most money. And then you can make some conscious decisions about the best way to manage your business.
Start by looking at the split of your revenue. Look at your revenue for the last 12 months ideally, but whatever you can pull out. Look at how much you made from each of your products, how much time they took you take you to deliver each time.
Let's say you have one to one consultancy. Look at how much one to one time you actually spent and how much revenue you...