The Easiest Way To Boost Your Hourly Rate
Last week’s post — do you know your worth was quite the eye opener for some of you. If you missed it you can read it here.
Anyhoo, today I want to talk to you about how you can easily boost your hourly rate so you can reach your income goals.
But, first, I want to point something out, many entrepreneurs think the reason why they are not meeting their income goals is because they are missing knowledge.
Though I’m a huge advocate in continuous learning, usually, is not the reason keeping you from living the lifestyle and earning the kind of money you want. The real reason is that you have not built enough leverage into your business.
What is leverage?
“Give me a lever long enough and a place to stand, and I can move the world.” – Archimedes
When you have to lift a heavy object, you have a choice. You can try to lift it with brute strength and risk hurting your back, or you can use the power of a lever to enable you to lift the object more easily.
Which option appeals to you? Do you think you’ll succeed without using leverage?
Perhaps. But, with a lever you can get a lot more work done, but you don’t have to exert as much force to do it – and you won’t risk a herniated disc! It’s a simple principle of physics.
When you apply the concept of “leverage” to your business and life, you can accomplish a whole lot more than without it. Without leverage you will work very hard, but your rewards will be limited by the hours that you can put in.
If there is one thing I have learned from my 18-plus years of working in corporate and 8 as a private business owner, it is how to use the power of leverage. I learned it from the best leaders from the fortune 500 companies I worked for, and I’ve studied how the most successful entrepreneurs have built their companies.
So, if finding out how much you need to make a day in order for you to reach your income goals was an eye opener. Don’t fret. And don’t go out and enroll in the latest workshop promising that they can teach you how to make 6 figures in 6 months. Trust me you don’t need more knowledge, save that money for a nice day at the spa! 🙂 What you need is to tap into the power of leverage to reach your money goals.
Leverage, is one of the most powerful tools you can use to build a consistently profitable business without working more.
And what kind of leverage can you tap into to reach your income goals?
Well, I’m glad you asked.
Here are 6 kinds of leverage you can tap into starting today to free yourself from the burden of feeling constantly overwhelmed and scrambling to make more money:
Leveraging money-making opportunities.
When you leverage money in your business you use what you have to make more. It’s that simple. You can leverage money by increasing your product prices or charge more per hour for your services. You can change your business model from a one-to-one model to a one-to-many model, offering your services by running a workshop or seminar or by creating membership sites or continuity programs. You can package your know-how or expertise by creating information products – such as an e-books, an audio series or cd program – which can be developed at low cost compared to the high margin of profit you will make in the long run.
Leveraging people’s mistakes and triumphs.
Always keep your finger on the pulse of what is going on around you. Learn from the mistakes and successes of other colleagues. You will save yourself a great deal of time and energy if you simply pay attention. For example, if you know Rosa’s business is going under, find out why so you can avoid the same pitfall. If you hear that Martha’s venture tripled in revenue this past quarter, call her up and invite her to coffee. That little chat could have huge ramifications if you glean some good information and ask yourself “What changes could I make in my business to get similar results?”
Leveraging systems (a classic one)
The concept of “systems,” is perhaps the most misunderstood idea in business today. While on some level women entrepreneurs understand the value of having systems in place to run their business, I have found that these solo players rarely take that first step to create them.
Systems are not about complex technologies. They are not about you having to radically change the way you do business, and they are not restrictive. Systems are simply the way you do things – the safety net that holds your business together.
The key is to set up a framework, a set of systems that will simplify your daily activities. Automate wherever possible, so you don’t have to reinvent the wheel every time you have to perform a task. Things should be organized enough that you could delegate work if needed. You must realize that if you are the only one who knows the process for doing a particular task, then you have no choice but to do it yourself.
The idea is to do some detailed documentation, write it down, make a video, or put it up on a board using Post-it Notes. Just get it out of your brain so another person can help you take care of the tasks if you are ill, on vacation, or ready to delegate.
An assistant can often do tasks better, faster, cheaper, since she will be focused on it and not juggling a million different things like so many entrepreneurs end up doing. Automating the tasks through technology can ensure good results too with no gaps in service or communication.
When you implement systems in your business, they are the golden ticket to more clients, more money and more freedom. They ensure your business is a problem-free zone. Business success gurus like Tony Robbins and Michael Gerber agree that the vast majority of breakdowns within businesses are due to faulty processes or systems, not the people.
Leveraging time – yours and others.
This is the most basic strategy for success. How do you accomplish everything necessary during your allotted “working hours?” It’s simple. Outsourcing and delegation. You just don’t have enough brain power and hands to do it all.
That is how you leverage your time. You need to outsource the non-core busywork to people who can complete the tasks better, cheaper and faster than you. No secrets here. Take it from me. There is no way around it. If you want to build a sustainable business, work fewer hours, and have more time to spend with loved ones, you simply must stop trying to do it all by yourself. The key here is to ensure that everything you outsource is for less money so you can make a profit. So you can work creatively on your business. You also can leverage your time by training and empowering others.
Leveraging current clients.
It has been said that the hardest part of business is getting the first client. Therefore, you want to make sure you have an outstanding offer. This will ensure your clients keep coming back for more. Making a profit consistently in your business relies heavily on past customers. Sure, you will get new clients, but it’s repeat business that will build predictable, consistent profit. Treat your clients well from the get-go and you’ll have them for life.
All solo businesses need to leverage technology if they are to remain competitive in the marketplace. That means tapping Internet resources: websites, blogs, podcasts, wikis, social networking, online payment tools, software-as-you-go services, rich site summary web content feeds (RSS feeds), ezines, e-books, etc.
But, before you embark on buying a new tech tool or dabbling in online marketing or social media, you need to ask yourself, “Why am I doing this?” Is it because creating a Facebook profile will make it easier for customers to connect with you or is it because your competition has Facebook?
Keeping up with the Joneses is not a good business plan. You need to set your own goals and then work toward that bigger, better business by implementing good systems. Your competition does not have your ultimate objective in mind, so why pattern your business decisions after them?
Instead, look at your business goals, do your research and make sure any tech tools you implement actually support your business objectives. As Barbara Hemphill says, “Half of any job is having the right tools.” She hit the nail on the head. So, make sure that the technology you buy adds value to your bottom line.
Leverage is absolutely crucial to your long-term success. It will require that you get out of your comfort zone – perhaps causing you to work with people you don’t know well at first, but who will challenge your thinking and spur on innovation.
To make the kind of income you desire you want to spend a considerable about of time focused on isolating activities that generate more income than the cost for gettting them done and ways you can build leverage and scalability in your business.