Time vs Money: Are You Valuing Your Time Enough To Have a Profitable Business?
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Having a profitable business is what every business owner dreams of when they start out. If your business isn’t profitable and living up to the dream, you need to ask yourself why.
There could be a number of reasons why your business isn’t doing as well as you would like it to financially, but one of the first areas I encourage business owners to reflect on is whether or not they are placing the correct value on their time.
Are you charging enough for your time? How much is your time worth? Is your time being used in a way that promotes a profitable business?
Those may seem like questions every business owner would know the answer to, but you’d be surprised how many really don’t think about the value of their time, how they’re using their time, or if they are charging enough for their time to be profitable.
Valuing Time & Talent for a Profitable Business
A profitable, successful business comes from three key things: pricing your time and talent to promote profit, using your time and talent effectively, and having a plan for managing the money that comes in as a result of the other two.
When it comes to pricing, if you can get to the right formula of what you deserve for your time and talent + what your client will pay for the value you offer = happy client and happy you, you can be well on your way to a profitable business!
But, there is a lot to consider when it comes to valuing your time and pricing what you offer. It’s a simple equation, but you have to plug in the right numbers to come up with your right numbers.
Those numbers come down to how many hours per week you work, how many weeks per year you plan to work, and what you want (or need) to make per year. All of this allows you to determine an hourly rate that fits with your needs.
To really boost your income and profits, once you have the pricing down, you’ll want to consider the value of your time in another way. How are you using your time each day? Are you working on the right things? Are you spending your time taking care of clients and providing those valuable services, or are you bogged down with administrative tasks and activities that aren’t actually bringing in money?
Making sure you’re using your valuable time in the best possible way is the second key to having a profitable business. After all, if selling your services and working with clients is how you make your money, you need to make sure you are focused on that and giving each client the best possible experience. Let someone else take over the tasks that don’t need to be done by you.
In the long run, turning tasks over to someone else makes sense, especially if it allows you to do more of what you love doing and do well – working with clients. This is true even if you have to pay someone else to do some of what you normally do. If what you will be paying someone else is less than what you earn per hour, it’s a smart investment in your business.
Another smart investment of your time is the third key – managing the money that comes in as a result of the other two. The financial side of your business is too important to not give it the time and attention it deserves. Without a simple system and a plan, all the rest could still leave you with results that don’t match with your time and talent.
Just remember, your time and talent are worth something. So, make sure the price you’re charging is enough to meet your needs and build a profitable business. Start paying attention to how you’re using your valuable time. Put a system in place to start growing your wealth and securing your financial future. By doing these three things, you’ll be using both your time and talent to grow that profitable business you deserve.
Is your business as strong and financially healthy as it could be?
If it’s not, it’s time for some changes! Knowing what needs to change is key, and I have created a Money Management Financial Planner that will give you valuable insight into where you currently stand, while helping you clarify your goals and dreams. It’s free, so get your copy today and get on the path to the financial freedom you’ve always dreamed of!