I often ask my small serviced based clients, do you want to have a business that makes money as well as offering help to people?
Certainly helping people and being able to express ones
passion are both essential and valued goals, however at the end of the
day business is all about cash flow, working hard to take a product or
service to the world and then getting money and profit in return.
"I just want to help people." "I simply want to do what I love." These are real statements I recently heard from a massage therapist and an artist who approached me for business help.
The artist I worked with, decided that she just wanted to do
her art and not focus on having to make money from it. With that
clarity she realized that her art was her passion and business. Making
art came first and making money from her art came second.
The massage therapist decided that she wanted to create a
health and wellness business so we looked at what she had to do to
develop her small practice into a sustainable business. Making money was
very important to her.
In a business the owner takes risks, and in return expects a
financial return. Without the financial success, helping people or
selling products can get old fairly quickly.
Your responsibility as the business owner is to make sure the
business has the cash it needs. The goal is to increase the cash coming
in and to decrease the cash going out. You are developing your business
in ways to create more money streams and more ways to help your
By developing good money health, the easier it will be to
express your passion and help the people you want to help. Here are a
series of questions that can help you to do a self-assessment of the
money arena of your business. There are no right or wrong answers but
looking at these questions will alert you to what you need to develop
within yourself in order to grow a sustainable business.
1. How well do you pay attention to the cash flow in your business Do you know how much is going in and out?
2.How would you rate your money management? Do you plan ahead or do you fly by the seat of your pants?
3. Do you have enough money or do you struggle? Do you feel stressed around money or do you trust that enough is always coming in?
4. Do you have regular profit and loss statements that you analyze?
5. Do you know much money you want your business to gross this year? Have you written down that figure and do you know what income streams will bring that in?
6. Do you generally meet your money goals, exceed or fall short?
7. Do you have issues around setting prices for your products or services or is it clear and easy?
Notice what your responses were to the above questions.
Again, there is no judgment but it may help you to know where you need
to get some help. Small business is hard work and if you are going to
work that hard you certainly deserve to have the money flow as well.