Why you don't want a six-figure business in 2020
Now, there is a sh*t ton of ‘SMART goal setting’ resources and ‘How to plan’ tutorials and worksheets. But most are missing something crucial.
*Cue scary music*
Financial goal setting and financial planning is essential.
It is the secret currency of success.
It doesn’t matter how creative or imaginative or determined you are. If the numbers don’t make sense, you will very likely have a problem.
But when you start with the numbers, you need to start with the right ones...
I know it's what everyone is talking about "build a six figure business" and "multiple 5-figure months", but you wanna know a secret? They're wrong.
Saying you want a six-figure business is setting the wrong goal.
Why is six-figures wrong?
It’s the wrong goal because they are using the wrong thing to measure their success (in technical terms, the wrong “performance metric”)
In the vast majority of cases (yes, there will be a few exceptions, as always, but my comments apply to the VAST majority) what people are bragging about (or trying to brag about) with their “six figure lah-de-dah” is the value of their sales. The value of what has been sold, referred to as their income or their revenue. You don't want to sell loads of stuff. To be honest that sounds like a lot of work. What you actually want is a successful - aka PROFITABLE - business.
Profit is Income less your expenses, you can remember that as "PIE" (we all want PIE!) And so profit is a much better measure of success than revenue, because it tells you how much you are actually going to get to keep.
So you should be setting a profit goal for 2020, not an income one.
Need some help setting a realistic profit plan and sales targets for 2020? You can access a free workbook which goes into more detail, offers some examples and has a pretty profit plan template (with quick reference guide) if you sign up to join the DaM Good Business club - and that's free too!
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