May 21, 2017

Establishing “keep the lights gets on” money

If you’re desperate to land every client who walks through your door, it’s going to be super hard for you to ever level up to high profit engagements.

It’s a classic catch 22:

The more desperate you are to land a good client, the harder it is to do.

(And conversely, the more good clients you have, the easier it is to get new ones.)

This is a tough cycle to break out of but it’s not impossible. The advice I give to my coaching clients is this:

First, establish a predictable baseline cash flow situation that doesn’t consume all your time.

You need to be able to cover all of your essential living expenses and have at least 10 hours per week left over to work on identifying, researching, attracting, and landing your ideal clients.

I call this your “keep the lights on money” because it’s hard to make good business decisions when you’re not sure how you’re going to pay your next electric bill (or car payment, or rent/mortgage, or health insurance payment, etc)

Does 10 hours per week sound like a lot? Probably so.

But here’s the thing:

You have to make the time to work on your business if you want to improve your business.

Duh, right?

More on this tomorrow. For now I’ll leave you with this classic quote:

“Most people are too busy earning a living to make any money.” —Joe Karbo