A couple of weeks ago, I met with a business owner. He has two shops doing $2.6 million in revenue. One is so busy he has trouble keeping up with demand. The other shop has plenty of capacity. He is struggling to divert business to the other shop due to systems, culture, and branding. What he said next shocked me. “If I hire you, I am going to have to do more work.”\
OK I get that, yes, if he wants to get to the $3.0 million mark he is going to need to do some work. But in the course of 45 minutes, we discovered that he could generate $375,000 over the next twelve months with just a few strategies.
We looked at creating a market dominating message that would resonate with his ideal client (The value shoppers that valued time and quality over those that want discounts and price). He estimated that it would contribute close to $125,000 to his revenue line.
By creating an ongoing marketing relationship via email or text messaging to stay in touch with his clients could contribute another $125,000 – 140,000.
Finding referral partners, that he could formalize relationships with, would add another $125,000.
These are conservative estimates. He also realized that by bringing his second shop up to his flagship store’s standards he would create more value and wealth in the business for when he sold the business.
So where was the disconnect? There is $375,000 on the table. What happens if nothing changes? Right now, probably not a lot. He most likely has another decent year in 2020. He pays for the $20,000 wedding that is coming up, he is able to cover most of the college tuition that is on the horizon, and he gets to keep the boat.
But, when the economy turns, and people cut back…
There is a brighter future ahead for all of us. It requires that we get out of our comfort zone to pursue it. Sometimes that means an extra hour a day. Sometimes it means having a difficult conversation with a long-time employee, who you like, but that needs to step it up. If nothing changes, then the laws of nature kick in. When a tree stops growing, it dies. When a plant stops growing, it dies. When we stop growing… we may not physically die right away but our world starts shrinking and the world begins to feel like it is happening to us as opposed to happening by us. Happening by us recognizes our control over the circumstances.
People are funny about change. We love the new movie, the new restaurant and the new relationship. All of this is change. But we resist more work. We resist growth. We resist getting out of our comfort zone. We resist the change that we do not exercise control over.
And here is the thing. It is all going to change anyway. The question is, “Is the change going to happen to you or by you?
In my life it has been helpful to have a coach, a mentor, or a colleague that helped guide me through the change. First from a dissatisfying career. Then into the world of professional speaking and now scaling the business that I have. Each of these transitions has been UNCOMFORTABLE. And, each one has been worth it.
If you would like to learn the three biggest mistakes that small business owners make as they try to generate leads for their business, click here.
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