Business Owners - Increase Your Time & Income.

We attended a presentation this week, and again the issue was raised with small business owners wanting a life balance and greater income from their business. During the presentation we shared a successful example of a business owner “recapturing her time”. First we explained how you calculate the value of your personal time.

Your Targeted Income

• Would you like to earn $150,000 or $200,000 as an employee or owner of your business?
• What is stopping you achieving your personal and business goals?
• What do you need to do today?

I met many business owners thinking that saving $ 100, $200 or $500 by doing the work themselves is a great idea. If you think this way, or maybe feeling trapped in your business, let’s look at your real value and worth.

What is your time really worth?

Let’s say you wish to earn $150,000 per year personal income from your business. How do we calculate your worth as the business owner? In simple terms, what is the value of your time?

To calculate the basics, we assume you want to have an income of $150,000 with 8 weeks holiday per year. (Ignoring taxes to keep it simple)

• $ 150,000 per year in 10 months = $ 15,000 per month personal revenue
• $ 15,000 / 21 working days per month (average) = $ 714 per day
• $ 714 day / 8 hours = $ 89.28 per hour personal value

As the business owner, your responsibility is to give a value greater than $89.28 per hour to the business in order to generate return and profits back to you. You will therefore be focused on Marketing, Revenue and Sales to deliver this objective using all the resources at your disposal.

Completing all those simple tasks such as phone answering, data entry, appointment verification or bookkeeping that value your time only at $10 – $40 per hour, will result in reduced revenue collection time, and therefore a decline in your business and personal income.
Why work on tasks that cost pittance, when you can produce $89 per hour?

I often hear in my mentoring programs “but, I am saving money” and then in the next breath” how do I increase profitability & reduce my workload?” From my perspective this sounds insane, with the wrong approach to your actual value for time.

Consider this,

• Every hour you produce that income or by increasing your business revenue increases value to your business
• Removing all low cost daily tasks, increases time for revenue production
• Increasing your revenue increases your personal income

Sometimes, I hear people say “But, I do not have sufficient work, leads or income to pay for these simple tasks”. If this is the situation, your business has insufficient work to sustain your 8 hours revenue; it is a Marketing problem, not a cash flow issue.

Be careful to separate the “value of your time” from a “sales and marketing” problem.

One of the biggest lessons in my mentoring programs is “you can increase your income today, it just requires a change of thinking”.

Let’s look at a real example of this strategy at work today.

Cara’s example

Cara from “Global Supply & Service" as the owner and sole worker values her time and business customers treating them both with respect. Cara wants to have her “Green Days” (Green day means holiday – no work) and her business continue to operate without her being at work. Cara has a system where her customers are cared for and responded to when she is in meetings, answering other calls or even having her personal shopping day. What is her secret and how does it work?

Since Cara values her customers, her time and wants “value for money”, she expects her clients are listened to, action and responded to, while she is busy shopping or if she is in a meeting. All Global Sourcing Services customers receive sales material, answers, appointment bookings, messages or calls transferred to Cara (when needed) for less than $35 per week (90 cents per hour). She is using a virtual receptionist in her business with sales assistance..

Cara uses a shared virtual receptionist where her business customers are treated with patience and care. Cara’s phones are diverted to her virtual receptionist from her office phone or mobile when she chooses to focus on business activities or to have time for herself. Customers do not experience these annoying answering machines, or a "voice to text" message service.

What is Your Time Worth to YOU?

Place your projected income on the above table and calculate your hourly worth.

Next, consider each task you perform in your business and the revenue this will generate.

To understand how a virtual sales receptionist saves you time in your business check out your time savings now.

Enjoy your business, and value your time.

Regards,

Kelvin Davis
Kelvin's Web site