Step 1 – Stop the leaks
TAKE YOUR PROFIT FIRST
- Revenue – How happy are you with your current revenue?
- Profit – How happy are you with how much profit you have sitting in your profit war chest?
- Expenses – How happy are you with the percentage of tax you are paying?
- Expenses – How happy are you with your current owner’s salary
- Expenses – Operational Expenses (Wages, Rent & Subscriptions) – How happy are you with your current level of expenses?
Step 2 – Control The Tap
GET PAID FASTER
- Sales Cycle – How long does it take for me between first presenting my value and to when the client says YES?
- Make / Production & Inventory Cycle – How long does it take to either produce my product / service or how long does it sit on the shelf?
- Delivery Cycle – How long does it take us to deliver the final product from when the client said YES?
- Billing & Payment Cycle – How long does it take for us to bill the client after they say YES and then how long does it take for the money to arrive in the bank?
Step 3 – Fill the Bucket
- Leads – How would I rate the current quantity and quality of leads in my pipeline?
- Conversion Rate – How would I rate my ability to convert a lead into a sale?
- Current Clients – What proportion of my current client base would I consider as IDEAL
- Retention Rate – How frequently are my existing clients making referrals or introductions to my ideal clients?
Step 4 – Get a Bigger Bucket
- How much room is there to increase my prices?
- How much room is there to increase the number of times my clients engage my product / service?
- How much room is there to increase the number of services or products my clients engage me for?
Step 5 – Invest in Multiple Buckets
- Debt – What proportion of my debt accelerates me towards growth vs takes me further away?
- Assets – What proportion of my assets consistently puts cash into my war chest vs takes it out?
- Lifestyle – How happy would I be if my current lifestyle was maintained?
- Greater Purpose – How clearly could I answer this question “If money wasn’t an issue, what would I be doing with my life?”