This may sound a bit alarming or polarizing at first…
Business is simple
Now, let me explain. Business is simple in nature. Not easy, but simple. There’s a large distinction between the two.
If we can remain focused on the processes required to achieve our goals, it’s simple. The biggest mistake people make is trying to over complicate things. This leads to overwhelm and overwhelm leads to paralyzing us from taking the action we need.
The cure to overwhelm is clarity.
Today, I will share the simple math behind creating a 6-figure coaching business. By deconstructing our outcome goal we can do two very powerful things. First, we can eliminate overwhelm and establish clarity. Second, we can determine the steps required to achieve our goals.
First things first, why 6-Figures?
I am not sure when, or why, 6 and 7 figures became the “holy grail” within the fitness industry. But they did. Somewhere along the line these became the arbitrary goals that every person coming into the industry is now trying to achieve.
This has resulted in every business coach preaching 6 figures this, or running a “7 Figure Masterminds”… Dangling the illusive carrot of achieving this “status” if you work with them.
It works though… If it didn’t, you wouldn’t be reading this article where I lured you in with the promise of talking about a 6-Figure online coaching business!
Stop setting arbitrary income goals
If you’re striving to become a 6 or 7-Figure Earner, odds are you are chasing a life that you feel that level income will provide. Or, you’re purely chasing status. Which is a whole other issue.
The issue here lies in the fact we could reach the life we want but still not allow ourselves to feel success because we haven’t achieved that financial status.
Here’s what you need to do…
Break down the life you want. What makes you happy? What fulfills you? What do you wish you could be doing? How much money do you need to achieve that?
You just might find you can achieve the life of your dreams with less than $8,333.33 per month.
Research has shown time, and time again that more money does not bring more happiness. You first need to chase the life. And, oddly enough, we’ve in our personal experience when we chase happiness and lifestyle before the money, the money actually comes as a by-product. Maybe it’s life rewarding us for doing the right thing?
Food for thought…
I have listened to podcasts of very wealthy people saying they were happier when they were broke…
I have friends who have achieved well over $10,000.00 per month in income only to say that they are no happier (sometimes less) than when they were hustling and just making a few thousand dollars a month…
Clarity is the cure to overwhelm
Every now and then my wife and I get a little overwhelmed by the task(s) at hand. Not unlike most entrepreneurs out there. With time, we try and do more, and more, and more.
As the story goes, stress builds, overwhelm ensues, productivity decreases, etc.
When this happens, my solution is always to break down everything that is required.
I create absolute clarity on everything. I map out marketing timelines, all deliverables, who needs to do what, what needs to be done by when, and so on. No detail is too small.
I know how simple this sounds, but it’s extremely powerful.
We become overwhelmed not by “tasks” and “things” on our to-do list. We become overwhelmed by uncertainty.
This can only be cured by creating clarity.
Simplifying 6-figures (clarity)
Setting a goal such as “6-Figures” becomes an elusive (and overwhelming) goal when you do not understand exactly what is required to achieve it.
By reverse-engineering this goal we can create clarity and certainty. This also results in increased confidence in achieving it.
Here we go!
$100,000 per year = $8,333 per month
Let’s say you’re charging $300 per month for coaching…
$8,333 / $300 = 28 clients
Just to illustrate both ends of the spectrum here:
$8,333 / $200 = 41 clients
$8,333 / $500 = 16 clients
For demonstration purposes we will use $300 per month.
There you have it, in order to achieve a 6-Figure business you need to acquire 28 clients.
But, let’s break this down further…
What does this 6-Figure schedule look like?
What does running this new business look like on a week to week basis?
28 clients doing bi-weekly phone calls…
= 14 calls per week
At 30 minutes per call…
That is 7 hours of calls per week, or 14 hours of calls bi-weekly.
This is one full day of “work” every week, or two full days bi-weekly.
Yes. But, we need to take it even further.
What’s required to generate my 28 clients?
The first step is understanding the exact number of clients we need at our designated rate to achieve our goal. The next step is recognizing what that schedule looks like. Is that inline with our goals and dream schedule?
Now… We need to break this down into the exact tasks we need to do each week to generate those clients.
To get clients, we need to do sales calls, right? (the answer is Yes)
Let’s determine how many…
We’ll cut right down the middle and use a 50% close rate (you should be tracking and know this)
In order to generate 28 clients, with a 50% close rate, you need to do 56 sales calls.
Let’s say we want to achieve this in 6-Months time.
56 calls / 24 weeks = 2-3 calls per week.
In order to achieve a 6-Figure business in 6-Months you need to do 2-3 sales calls per week
Close better? Achieve this faster.
Charge more? Don’t need as many clients (less calls).
Time to execute
So here we are…
You know exactly how many calls you need to do every week in order to hit your big outcome call. Moving forward, it’s imperative you stop focusing on your outcome goal and solely focus on the process.
The only thing that matters now? Getting on calls. Other than servicing your existing clients, that is.
As you schedule each day and each week for the next 6-Months your tasks are now determined. Every activity should consist of something that is generating those calls. If it doesn’t? It’s a distraction. This is the process.
It’s that simple. Not easy, but simple.
If you’re unsure what these activities are I have a free training showing you the exact strategies my wife and I each used to create our 6-Figure coaching business. Click here to watch my free training.