Struggling to get your monthly cash flow up? Here’s how to make 20K a month in your small business.
You escaped your corporate job, followed your passion, and set up your own business, because you dream of supporting your lifestyle with work that makes you happy.
The only question now is…
How to get that dream on-track, and still be able to take care of your loved ones, without returning to the modern-day slavery of the corporate environment?
We’re here to help.
The problem: over 60% of small businesses collapse within the first three years of starting. A good proportion of these are due to insufficient revenue and cashflow.
We have been working with corporate escapees in building their dream business for some time now and there is one clear unanimous challenge – insufficient revenue.
So what can you do to fix it?
I have tested a variety of strategies and tweaked accordingly to come up with the below six steps.
In a hurry? We’ve put together a handy summary checklist of all the 6 steps so you can easily reference them and apply them in your business. Grab the free checklist now.
Step One – Stop wasting time on social media
As a business owner time is your most valuable resource and how you use it will strongly influence your success.
Social media is the newest toy for the business world. Every pundit will tell you this is how you engage your customers. And social media absolutely can be a powerful tool, but only in moderation.
In truth, if social media is distracting you from the important parts of your business, it is costing you money, not making it. Focus is what you need to get your operating successfully.
Take action: Track your time using this simple template.
We ask our BLG Boost members to track their time using the very same template. They’re often shocked at how much time they spend on social media. This time can be better spent on selling.
1st step to growing your biz to $20K per month? Track your time like a hawk. Learn the other 5 steps here. #startup #smallbiz #salestips Click To Tweet
Step Two – Get crystal clear on your ideal client
So often I see people wanting to please everyone. You know how that ends!
If you were going to have 1000 fans in a room, who exactly would you invite? If you want help from people to refer you, you must be clear on who you are targeting.
The 3 major benefits of this are:
- Your marketing expenditure isn’t wasted on people who don’t care, and could actually become frustrated with irrelevant ads (these people certainly won’t be easy converts)
- You can tailor your strategy to the ideal client, because you know so much more about them than a general ‘audience,’ making the ads more directly engaging and effective
- Your product, and variations and iterations, will be easier to create, because you have a clear idea of the person, and are keeping in check with their specific needs, as they evolve
To get this clear picture, you need to have a good idea about your ideal client’s age, location, interests, job structure, work-life balance, frustrations, needs, business goals, etc. Essentially, the more you know, the more you grow.
Take action: Fill out this template to work out who your ideal client is.
Step Three – Ask for referrals
Now that you are very clear on your ideal clients you need to ask for help to get them. As social media continues to bombard people with offers, people are turning more and more to referrals.
You have added great value to your network and it is now time to ask for something in return.
It can feel awkward though, to ask for a referral. A good way to open the conversation is “Hey, do you know of anyone else needing x service? I’m looking to expand my customer base, and I’d love your ideas.” Keep it simple- just because you’re asking for a referral doesn’t mean the word needs to be the first thing out of your mouth!
Alternatively, think about this: “Hi, I’m trying to build my business through referrals, mainly, would you know of anyone?” The key is to stay gentle, but firm on your goals.
Take action: Ask for one referral from 5-10 people who know and trust you. It is that simple.
Step Four – Have a sales script
You have a call booked after a kind referral so what do you say?
After training sales people at Coca-Cola for 18+ years, I learnt first hand the power of a sales script.
It is not something you read out verbatim, however, a guide to make sure you are professional and make the experience for your prospect client as seamless as possible.
Take action: Use these sales triage questions that we’ve shared with BLG Boost members, and tailor to suit your own needs.
Want to get to $20K per month in revenue for your #smallbiz? Follow these 6 simple steps. #startup #smallbiz #salestips Click To Tweet
Step Five – Follow-up
How often have you had money burning a hole in your pocket and someone hasn’t followed you up? You either move on or find someone else who is interested.
I see BLG Boost members leaving money on the table all the time.
In one Harvard Business Review study, they found that firms who attempted to contact a customer within one hour of receiving a query were “nearly seven times more likely to qualify the lead.” Compare this with the fact that another HBR study found that only 37% of businesses actually do this, and there is a clear gap where you can take the competitive edge.
Step Six – Accountability
The best way to work out at the gym is to get an accountability buddy. Sales is no different.
Get a buddy where you share your sales activities and results with each other each week. You can gamify it by having a reward if certain targets are met.
According to Developing Good Habits, the 7 top benefits of accountability are:
- People make better choices under observation, which ultimately raises performance
- You get honest external feedback which challenges your assumptions and ensures you’re taking the best path
- You have to follow through on commitments, and can’t just lose sight of your business goals
- This also applies to deadlines – if they’re public it’s much harder to bend them
- You can’t just escape into daydreams, you remain grounded and focused on the actual day-to-day tasks necessary
- You can learn from the mistakes and successes of others, through your mentor or partner
- Problems don’t snowball because there’s another set of eyes watching as soon as the little problem crops up
Inside our BLG Boost community forum we have a “track your progress” section where members can post their weekly or monthly goals, and then provide regular updates on how they’re doing.
This also allows other community members to add encouraging thoughts, suggestions or questions to help you stay on track.
Take action: Get yourself an accountability buddy. Don’t be a lone wolf; that’s one way fast-track to failure.
Don’t know where to find an accountability buddy? Join a community of like-minded business owners.
How Irene Scott generated 12K in additional revenue in just one week
BLG Boost member Irene Scott had to take time off work due to some health issues and her revenue plummeted.
We helped Irene implement the above six steps in her business and this is what Irene shared in the successes section in BLG Boost:
“I called 14 people last Friday. And another 14 this week. I sent two Project Briefing Documents and six Project Proposals.
I ended up with an instant new client on Friday, and then two more new clients this week, plus the return of two existing clients. I also have six people who have tentatively accepted my previous proposals and will go ahead within the next four weeks.
What a difference a week makes! I have guaranteed $5,025 income for this week alone. With another $7,000 depending on the sales results of a launch campaign I’m now about to write.”
The 6 steps work, provided you work them!
Now you know how to make 20K a month… are you going to take action?
Hitting $20K a month in revenue is significant because it means your business is steering clear of the danger zone where most small businesses fail due to insufficient cash flow.
You’ll have enough cash flow to pay yourself a good monthly salary, bring on the right people and tools to help you scale your business and make a bigger impact, you’ll free up more time to do the things that are important to you, and you can sleep better at night knowing that your family is being taken care of.
Take a moment to imagine what that would feel like… powerful, right?
Implementing these six steps has worked for other BLG Boost members, and they will work for you too… but only if you make a commitment to yourself to take action right away and implement them in your business.
Ready to take action?
We’ve put together a handy summary checklist of all the 6 steps so you can easily reference them and apply them in your business. Grab the free checklist now.