Greetings, my fellow entrepreneurs! Today, let's get into dramatically increasing your profits so you can ultimately scale your business, grow its cash flow, business value and create a lifestyle of your dreams.
Picture this: you're standing at the crossroads of possibilities, and I'm here to coach you toward a profit-boosting journey that's as straightforward as it gets.
Now, let's strip away the fluff and dive straight into the essence. You're here for one reason – to scale your profits, and I'm thrilled to unveil the four pillars that'll make that happen.
Firstly, I’ll take you through the four pillars of profit and then we’ll get into some easy-to-follow numbers you can implement into your business and at the end I’ll show you how you can join a growing community of fellow business owners.
Step One: Elevate Your Prices:
Don't let fear hold you back. Your prices reflect the value you bring to the table. Think about it – premium quality deserves a premium price tag. When you offer excellence, your customers recognize it and are willing to pay extra for it. Trust in your worth, my friend, and watch as your profit margins expand.
Step Two: Surge Your Sales Volume:
Imagine you're in a race – the more strides you take, the closer you get to the finish line. In business, more sales equal more profit. That's the simple arithmetic. Rejuvenate your marketing efforts, embrace innovation, and connect with a wider audience. Remember, every sale is a steppingstone towards financial triumph.
Step Three: Trim Direct Costs:
It's time to do some pruning. Take a close look at your expenses – are there areas where you're overspending to make a sale? Craft shrewd partnerships with suppliers, seek out cost-effective solutions, and watch your profit margins blossom. It's like tending to a garden – nurture wisely, and you'll reap a bountiful harvest.
Step Four: Slay Overhead Dragons:
Every business has its dragons – those hidden expenses that drain your resources. Conquer them by scrutinizing your overheads. Can you streamline operations, renegotiate contracts, or optimize resources? This is akin to fortifying your castle walls, ensuring your profits stay safe and sound.
But hold on, don't let these pieces overwhelm you. Let’s look at a simple formula that ties it all together:
Prospects x Conversion x Market Qualified Ratio = Ideal Clients
Ideal Clients x Average Value of Sales x Transactions per Year = Revenue
Revenue - Direct Cost of Sales = Gross Profit
Gross Profit - Overheads = Profit
Think of this as your map through the treasure hunt of profits. You start with leads – potential gold mines. Convert them into customers who are genuinely interested and willing to invest. These are your ideal clients, the gems you're seeking.
Now, these clients, they spend, and they do it often – that's your revenue, the lifeblood of your business. Then we deduct the cost of making those sales (direct cost of sales), and there it is – your gross profit, the core of your financial success.
But we're not finished yet. We chip away at those overheads, the sneaky culprits that eat into your profit. Minimize them, and you're left with your ultimate reward – a thriving profit.
Let’s Look at a business example over 12 months and then you’ll see how to grow your business through a growth example.
This is Mike and Mary’s 3-year-old business. Let’s now loon at an example of how you can improve your business. When working closely with Mike and Mary we improved each area by a very small percentage of just 5%.
From this very small 5% improvement in each area, you will see how we grew Mike and Mary’s business from the original profit of $661,500 to $942,427. A massive increase of 42.46% or $280,927 which Mike and Mary can use to grow their business or fund their lifestyle. And their business has increased in value dramatically.
In conclusion, profit isn't a riddle. It's a journey paved with strategic decisions, driven actions, and unshakable resolve. Embrace these four strategies, wield the formula with finesse, and prepare to see your profit chart ascend to new heights.
You're on the brink of a profound transformation, and I'm here to champion your triumph. To your journey of prosperity – may it be abundant and unstoppable!