The trick to smooth growth above $1m in revenue.

May 13, 2021
 

Alright, thanks for joining me on today's episode.

So yes, the title today we're talking about smooth growth in revenue above 1 million.

So what's the problem here? What happens commonly well enough, you're aware, but there are often phases in businesses.

So there's maybe a startup phase where things have been put together, it's a lot of long hours.

It's like, does this idea even work? What is it worth pursuing? But then it works.

And they're like, Okay, great, and then go into this growth phase, and like things are happening, and sales being made as like awesome bringing on some team, things are going well.

And then usually, there's a flatline.

And that flatline hits, when things become chaotic, things become too difficult to manage.

Like during the growth phase, there's typically only a small number of people may only be even the solo entrepreneur.

But then as things get more complicated, and things are becoming a communication problem, it's a how do we do stuff problem? Oh, I thought we were doing this that we're doing that.

And suddenly, expenses go up, and revenue might even come down.

But this leads to a flatline.

And at that point, the entrepreneurs got a choice.

It's like, well, what do I do here? Well, one way is to back down and go, Okay, well, we worked, okay, when there's just three of us and four of us, so let's just stay there.

And that's obviously going to cap your revenue, perhaps you can eke out a bit more.

One way is to push ahead into chaos and just go, I don't care, what we're going to do is grow at all costs.

And this may have some serious consequences, like burning the whole thing to the ground, that revenue doesn't match up to expenses, you've got more people coming on because it looks like there's more work, you're like, Hey, bring on that we've got more we're not coping with the amount of work, let's bring a more team bring on more team growing more team, but then revenue, perhaps there's an unexpected glitch, enter and a customer drops away.

And suddenly there are more expenses than revenue.

And this puts the business at risk.

So what's the third choice? Well, a third choice is to go you know, what documentation about what we do could be helpful, like at that stage of 1 million-plus, you're going to need some way of telling others what to do.

It's like, Hey, this is how we do things.

So if you know this, even if you're at five or six figures, you could actually start to take preventative steps.

Now, I've been reading work the system.

This is a cool book, this is a great book, conceptually, it is spot on is like, hey, you know what, underneath life is a whole bunch of systems and subsystems, basically processes that run that creates the outcomes.

And he's like, Look, if you want your life to work, you want your life to have different outcomes, perhaps that is more revenue, more profit, a better home life, a better car flying first class, whatever your dreams are, they need to look at the systems that are creating your current results and work on them.

But his actual implementation, oh, man, it is overwhelming.

It's like, Dan, do you want me to go along and document every system of my business? Like, to me, that's a lot of work.

What I was going to suggest instead is perhaps you could start with just documenting something in the work that you do, Hey, what is the key thing what that would be useful, even if it's just literally the one template that gets used in a process, and that's all the documentation is at the beginning to say, hey, here's the quick link to this.

Here's a checklist of this.

But as you go along, and use the instructions to build your business, they might undergo an interesting phenomenon.

And that is that you can make a small change it's time to make a few small improvements.

And just as you use the instructions, you improve them, and what becomes what was an overwhelming task of going along and taking you out of the work you were doing to go and create endless documentation, what you're actually doing is using the instructions and improving it each time.

Now, this has got some serious advantages.

That means that the amount of effort that you put in at the beginning is pretty small.

But as you start hitting 1 million, 2 million, 3 million in revenue, you can train your team to use the instructions and improve the instructions and cope with changes.

And this actually is the way that you do business so that you can have a smooth growth above the $1 million in revenue.

Alright, thanks for tuning in today, I hope you got a lot out of it.

If this is a conversation that you are interested in, you're like, you know what, I can see that this stuff is valuable because it's going to allow me to grow.

It's going to allow me to take my revenues and my profit higher.

And it's particularly going to allow you to impact more people.

Then head over to System IO dot Dev, popping your name and your email, grab the training that I put there together for you.

Thanks so much for joining us today and look forward to seeing you on the next episode as we continue this journey into the benefits of getting a systemization on point so you can grow your business and have more impact on your clients.

See you then.

Discover How MANAGING PEOPLE INSTEAD OF PROCESSES Is Costing You CONSISTENT PROFITS THAT FLOW EVEN WHEN YOU'RE ON VACATION...

 

...and Find out the 4 Simple Strategies BUSINESS OWNERS Just Like You are using to MAKE MORE MONEY WITH LESS STRESS, MORE TIME AND ARE NO LONGER SLAVES TO THEIR BUSINESS...

 

Even if you have NO IDEA HOW TO RUN SYSTEMS right now!
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