Leaks in your business can be in time, money or energy.
What are the leaks in your business and what impact do they have?
Two indicators that you have some serious leaks are:
- if you are not making enough money or
- you are completely overwhelmed most of the time or just never feel satisfied with your results.
Some of the most common leaks are:
- Giving away too much time
- Not charging enough
- Taking on clients that are not ideal
- Not focusing on doing income generating tasks
- Being vague about money
Just recently, I met with a very successful business owner in the hospitality biz who had made millions in owning bars and restaurants. Over 27 years, he made a lot of money, so much so that he was never tracking the income or the outgo. He just thought he was being generous and carefree. Eventually the “terminal vagueness” caught up with him and he started selling off his businesses. But he still kept up his spending. He ended up losing everything and is driving a cab now.
The good news is there are some simple systems and steps to put into place that will close these leaks.
Here are some systems that you can implement right away to stop leaks in your business:
- If you have trouble ending client sessions (or meetings) on time, book something immediately after that so you have to exit that meeting
- Start charging all new clients 20% more than what you have been charging. See what happens.
- Keep your “Criteria for Ideal Clients” up on your wall and read it whenever you are getting ready to book a new client. Make sure you have not comprised your conditions.
- Put in you calendar at least 2-4 hours a week of “income generating activities” like networking events, calling for speaking gigs, calling or emailing people to follow up on good connections, writing an article or blogpost, setting up a free teleclass.
- Keep track of all of your money transactions! Make a list of all the income you think you should be getting in this month, and then list all of the expenses you know you have to pay. Then create a “wish list” of clients you want to come in. Be ready to be surprised.
This is just a simple but powerful tool to start looking for the leaks and start saying “no” to the things you really do not want to do, or that you have no more capacity to take on. Remember that you cannot be a true “Yes” to something if you have no “No”s!