UWR 038 Building the business of your dreams is not just a dream

In today’s episode, I am speaking about building the business in life of your dreams, not just being a dream. So let’s dive in. I believe the biggest thing that stops business owners living the life of their dreams is the lack of cash in their business and that that is coming home to them as business owners. There were a few reasons why this happens. Now, first off, if your business’ revenue is 50K a year, that is fine, but don’t be expecting a six figure annual take home if your revenue is not there to support it. That is just pure math, and it doesn’t work. But if your business’ revenue is 200K a year, then you absolutely can expect a six figure take home. How? By making sure that your business operates as profitably as possible. And the easiest way to do that is to make sure your cash is fully under control. And how you do that is by implementing Profit First in your business.

Yes, seriously, because Profit First is a cash management system and it is a massively, massively powerful one. It is a book written by Mike Michealowicz, which explains it all. Now if you have not heard or read this book, then you can head to annetteandco.co.uk/pfbook and get the five core chapters in there as a PDF to your inbox for free. So there is no excuse not to read this book and start understanding the concepts in it. It works in a very similar way to the envelope method of personal finances that perhaps your granny did. You know there’s an envelope for her rent, her food, et cetera, et cetera.

In the Profit First method for your business, we just use bank accounts instead of the envelopes. Like I said, if you have not read it, then that is your first step to living the life of your dreams because it is the step that gets you more money out of your business and that is a step that is essential to making those dreams a reality. So head to annetteandco.co.uk/pfbook to get your copy if you do not already have.

Now you can also listen to episode six of Uncovered Wealth Radio where I speak about money leaks and how to make sure your business’ spending is under control. That will also help with this. So once you’ve listened to this episode, you can head over to episode six as well.

This is what needs to happen first. The business’ finances need to be under control so you can take out the cash that you want from your business. But we also need to get really clear on what our dreams actually are. Can our business actually support those? Not necessarily right now, but does ut have the capability to do that at some point in the future? You need to ask yourself, can that happen with the current type of clients I work with? Can it happen with the current programmes and the services I offer? Can that happen with our current pricing model? Can it happen with the way that we serve clients at the moment? Whether that be one to one, group programmes, memberships, whatever that might be. Can that happen with the structure of the team that you have or the proposed structure you have planned?

You need to understand how all these bits slot together and where you are directing your business in order to make sure that you are building the life of your dreams and not heading in a completely different direction. So step one, read and understand Profit First. It really is massively crucial in understanding cash management in your business and making sure the cash is really under control. And like I said, you can head to annetteandco.co.uk/pfbook to do that. So standing for Profit First book, PF book. Step two, get really clear on your dream. What is that? And is your business capable of supporting that at some point or not?

I hope that this episode has given you some things to think about in relation to building the business of your dreams.  Thank you so much for listening. Until next time, let’s find the clarity in your numbers, increase your wealth and get more money in your pockets.

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 Hello! 

I'm Annette Ferguson

Owner of Annette & Co. - Chartered Accountants & Certified Profit First Professionals. Helping online service-based entrepreneurs find clarity in their numbers, increase wealth and have more money in their pockets.

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