In sales, our model is usually to produce more: Production cures all ills. Production is important but the first question I asked is the key: What do you want? And does your business have the capability to produce your want? What if more production was actually detrimental to your business because your model would not support additional sales or allow you the space to create the systems, hire the right people and manage those people effective to get you what you want?
Some business models have income ceilings naturally built into them. Take a barber for example. If a barber’s model is “the friendly neighborhood barber who gives all his clients great service” a natural income governor takes over: time. No matter how good the barber is, he is limited by the hours he can work. More than likely when the barber started his business what he really wanted was a job. He was not thinking about taking summers off, or producing 500k dollars per year, let alone having a national chain of barbershops. When he started he built his business to produce what he wanted which was a job to pay his bills. Unconsciously, he created a model to fulfill upon that want. That model was to trade time for money.
Our barber went to work and produced exactly what he needed but then he got stuck because he ran out of time in the day. So what is your model for your business? What income do you want to make and how much time do you want for family and extra curricular activities? A fun inquiry about income is to answer the: For What question. If you want to make a million dollars, what exactly would you do with the money? A teacher of mine years ago posed the same question to me. He asked me, “Why do you want to make a million dollars? For what?”
If you want to achieve something it needs to be anchored in reality. Figure out exactly what you want the money for. You may find that what you need to have the lifestyle you choose is less than the original amount you put forth.
You can’t achieve something if it is not real. If you anchor your want in reality, lets say a BMW, a house on the water, 10k in the kids college fund, meet your expenses and save 10% per year you may find that you only need to earn 450k and believe me it’s a lot easier to hit 450k than a million. The hard truth is you have to get to the 450k first anyway! Once you conquer 450k, reset you aim to whatever your next level is. But most importantly set yourself up to succeed, as success begets success.
