Is Your Business Paying You Regularly?
Would it shock you if I said that if you aren’t taking home a consistent “paycheque” – or that if you’re still “investing” your line of credit, retirement savings, severance package, “salary” or inheritance back into your business to keep going that you could – and should – be doing better? And by “better” I mean you should be paying yourself FIRST. In fact …
…YOUR BUSINESS SHOULD BE PAYING YOU REGULARLY
See, that’s what happens when you don’t set sales targets – when you look at what your business delivers instead of focusing on your bottom line. First, you stop tracking the revenue and start praying you’ll make it, then your sales targets go to hell in a handbasket… and eventually you lose your way altogether and spin into “busywork”.
And we all know what busywork leads to … uh huh. Scrambling to keep your head above water.
Your paycheque is a company expense, just like every other expense. You pay rent, hydro, gas and auto repairs – you pay for your online newsletters, your web hosting, and possibly even staff and contractors. If you couldn’t pay one of those bills, you’d find the money. If you were short someone’s paycheque, you’d do whatever you had to do to get that person paid – and that should include YOU.
We start a business out of passion – we grow it to make money
Let me be perfectly clear about this – the purpose of business is to make money. Since that is the reality, shouldn’t you figure out how much it costs to run your business and pay ALL your expenses – not just some of the time, but all of the time? After all, that’s why we got into business in the first place. So we wouldn’t have to get a j-o-b (or stay in the one we had). And once you know what you’re aiming for, stop saying “I can’t afford it” and go out and make the money you need to cover your personal expenses. After all, you own the business.
So, here’s my question… are you going to “dip into the till” this week or are you in a position to put yourself on the regular “payroll”? Will you have done well enough to give yourself a raise (and maybe even a bonus) at the end of the year?