I run a paid mastermind and a constant theme for club members is how to delegate more effectively. Time is a business owner’s greatest asset and using it well can make a material impact on your earnings. I ask people to calculate their effective hourly rate – Their monthly net earnings divided by the hours they have worked for the month. For example, they earned $15,000 USD and worked 250 hours = $60 USD per hour. The result per hour normally shocks people. So how do you improve it?
The easy answer is to increase earnings and reduce hours. The hard answer is how.
I ask my club members to do a simple exercise to work out what they can delegate more to positively impact both numbers.
Create a spreadsheet with the following columns across the top;
- What to eliminate
- What to delegate
- What to automate
- What to keep
Record every task you complete for a ‘normal’ week in the vertical 1st column and mark one of the 4 columns to say how you will treat this going forward.
Once you have completed the weekly exercise, you can then go and implement the changes. Eliminate is just that and this is very important and you don’t want to waste your time delegating something which is no longer needed.
The delegation step is typically where you go and hire a Virtual Assistant (VA) to do the work. I don’t believe in writing a boring job description for a VA, having specific tasks for someone increases your chances of success. We use a company called Virtual Angel Hub and I highly recommend them. Simply use this link to get started
Automation involves using software to replace the human step. This could be using a marketing automation tool like Active Campaign, Infusionsoft and Ontraport. You can also use a collaboration tool like Podio, Zoho, Teamwork, Trello etc to automate the task.
These should be the tasks which make a material difference to your earnings potential. Some examples are;
- Team development
- Client interviews
- Sales calls
- Developing and communicating the business plan
- Setting 12-week goals
- Marketing strategy
By following these four steps you improve your effective hourly rate.
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