How to Create a Profit Model

Time to Watch: 5:56 well-spent minutes

Do you have a current profit model? Have you ever wondered about which changes in your business will make the biggest impact on your bottom line? Is so, you’re not alone – and this is the right place to be to find out the answer. This video tells you, with real-world examples, how to determine the level of profit you’ll be able to realize through different changes to sales and growth patterns.

If you’re interested in some related training, see our video “How to Create a Profit First Budget”  for a step-by-step guide that goes into a bit more detail.

Look, I get numbers are not the most exciting part about business ownership, but they are one of the most important. To see what I mean, have a look at Vol. 28 of our Business Nutrition Newsletter which exclusively deals with putting yourself in a strong financial situation, so you can sleep at night.

If money is where you’re really struggling as a business owner,  read this and then do this.

Now go out there and get amongst it!

Cheers,

 

P.S. Don’t forget to stay in the loop with our latest rapid training videos on SalesUp!TV

How Strong is Your Network?

It’s been said that your net worth is a reflection of your network, and when it comes to the sales and marketing of your business, a good network is an extremely valuable tool.

However, it’s important to note that a network is not just the sum of the people you know.

It takes strategy and intention to create a network that will help grow your business. Watch to discover what makes a healthy network, and how to make it happen for your business.

 

Roles and Responsibilities Made Simple

Every employee should be crystal clear about the roles they play in your organization, right? Well, why does the majority of the world rely on outdated and confusing job descriptions to convey that message? It’s a flawed system, and there is so much you can be getting from your employees when their role is communicated in the right way.

How to Make Yourself More Referable

This video is NOT about how to get more referrals (well, not directly anyway) It’s about how to boost your level of trust with your clients or customers to become more referable. By identifying your best possible sources of referrals and building those relationships you will see a boost in both the quality and quantity of your referrals.

How to Get More Free Time

Time is a scarce resource, and when it comes to growing your business, where you invest your time can make a critical difference to your success. Here are some strategies you can begin to use immediately, which will allow you to free up at least 15% of your time.

Can you free up 15%+ of your time immediately? When I ask people this question, the answer varies widely from ‘for sure ‘ to ‘probably’ to ‘no way’. Stick with me and I’ll show you how you can do it with 100% certainty. Sounds bold, doesn’t it 🙂

Have you ever reacted without thinking?? Stupid question right. Well, the truth is most of us go through our days reacting and not even realising it. Right now you have patterns and habits in your life that you do subconsciously without thinking. This is actually a good thing because if you had to think about everything, you’d be exhausted. Habits help us operate our lives and are fundamental to being human.

And this is where your opportunity lies.

Just like you get up, get dressed and have breakfast (or not) out of habit, you are making continual choices about how to invest your time (out of habit) each and every moment of the day. Notice my language here …. “choices about how you invest your time”. Time management is not about managing time, it’s about managing habits and choices. Yes … choices. This is the critical principle – you and only you are in control of how you invest your time. Not your customers, employees, your kids or your spouse. In this country, no one can make you do anything … it’s all 100% up to you.

Of course, all decisions about how you invest your time have consequences, nonetheless, you are in control.

Now on to freeing up that time – I’m going to share four strategies with you. Before you embark on using these strategies, be sure to completely buy into the notion that you are in 100% control of your time. That must be step #1

Strategy #1 – Parkinson’s Law. Parkinson’s law states that a task will expand to fill to time allocated to it. In other words, if you don’t give something a time limit, it will grow widely in inefficiency. Set a time limit for all major tasks and meetings – and experiment with making that time limit 15-20% less than you normally would. I.e. instead of 1hr meetings, make them 40mins. This will force you and those attending to be focused and effective. It will prompt you to stop people who waffle and encourage you to be more clear with your thinking.

Strategy #2 – 80:20 Rule – 80% of your results come from 20% of your activities. Key question “If you could only do 3 tasks in your business, what would they be?”. Answering this question should guide you towards what your most valuable activities are. When you guide your time choices to invest more time in those things, you’ll find a way to take care of the minutia that is currently filling/wasting your time.

Strategy #3 – Learn to say no – this one plays in line with the 80:20 above. Once you are clear on what activities you ‘should’ be doing, it becomes easier to say no to those you shouldn’t.

Strategy #4 – Time Blocking – once you are clear on what you want to invest your time doing, create blocks of uninterrupted time to get them done. Being interrupted can decrease your efficiency exponentially. What should take 30mins can often take hours if you allow yourself to be interrupted. And if you find your mind coming up with elaborate excuses of why you can’t create interrupted blocks of time, recognize it for what it is … an excuse. Be creative and dedicated … it is YOUR time … no-one else’s.

Have some fun with it. And I’d love to hear about your success stories … or challenges ????

Jamie Cunningham

Team Alignment: Profit Sharing

Your employees don’t have to be owners to share in ownership thinking – in fact, ownership thinking can be critical to the success of your company. Profit sharing can be a good way of creating transparency and ownership – but it’s not for every organization. See when and how this tool can work for you – and when it won’t.

How to Structure Training With Your Team

It’s a well-known fact that if you grow your people, you will grow your business – but how exactly do you raise the level of thinking to achieve those ends? Here are a few simple ways to boost the level of thinking in your key employees which will allow for desired growth.

The Shortest Path to More Sales

The shortest path to more sales is already sitting dormant in your business right now.

Typically when we think about growing our sales, we put on our marketing hats on and think of all those prospects out there who are currently not buying from us. We think about all the marketing channels, advertising, social media, flyers and mailers and phone calls. And while some of these may be relevant, they are rarely the shortest path.
You already have people buying from you, who trust you and are happy with your business. Or at least I hope you do. How can you leverage this further? Here are three keys ways:
  1. Referrals – before you spend any money on marketing for new customers, evaluate how well you are doing at servicing the heck out of your existing customers. If you are doing an outstanding job and they love you, you are well within your rights to ask for a referral. Make the ask appropriate for the relationship and make it easy for them to give. Be specific and grateful. If people ever feel pressured to give a referral, it will generally leave a bad taste. Be tactful and most important – make sure you are worthy!
  2. Testimonials – as per the above point, when your customers love your business, capture that in the form of a testimonial. Many testimonials provide marketing leverage and it also solidify for your customer, how they feel about your business. There is something about committing to a written statement that makes a feeling real. Following up with a referral request after a testimonial is given can work well.
  3. Add on sales – What else do they need? If you are in tune with your customers needs, odds are there are other things they need that you could be helping them with. This may be a natural extension of your existing offerings or it could be something outside your current scope of expertise. If you can offer the service directly, great. And if not then you can partner with someone who can. An example of this was a client of ours who did waterproofing. He’d had a couple of people ask him if he could recommend a window supplier. So he starting asking any customers who had old windows if they had thought about replacing them. If they said yes, he referred his ‘partner’ business to come and quote. Once the sales was made, our client received a commission on the sale.

Thinking time.

Think about this … if you and your team made a habit of looking for these three opportunities in your existing customer base, what could be possible? I’m not saying you should never pay for advertising but I believe if you can’t get these three working for you first, there may be a problem in your business model.

How to Shift Your Beliefs Around Sales … and Shift Sales Results.

When it comes to the word ‘sales’ everyone’s got their thoughts around it. Most commonly the initial thought reflex when someone here’s the word is a negative one. Most people have had that experience with the pushy sales person whether it was the classic used car scenario, or the door to door energy broker or even the fundraiser who’s working hard to hit target. And of course when we have a negative experience with anything, we tend to guide our behaviour to not be like that. So we tend to hear people say things like “I don’t have what it takes to be good at sales. I’m too nice” or “I just couldn’t sleep at night if I was in sales knowing I’ve manipulated someone”.

Any kind of thinking or believe that is along these lines, to put it bluntly, is misinformed. The truth is if you’ve ever worked to influence someone in anyway (ask someone out on a date, ask someone to be on your team, convince friends to go restaurant A vs B etc, bring a new idea into your workplace) you are in sales. Sales is the transference of an idea.

The trick is that bad sales is pushy transference of an idea and those who do it are simply untrained. End of story. Perhaps their ethics are questionable … maybe. I’m not saying those people aren’t out there but the vast majority of bad sales experiences simply come from a lack of training.

In this realisation there could be massive opportunity for you and your business. Here are a couple of things to think about

  1. What are your beliefs around sales (positive or negative) and how does that affect your performance and ability to grow your business?
  2. What are your teams beliefs around sales? Where could they be more assertive in spotting opportunities to help your customers?
  3. What would the affect be on your business if everyone on your team had a healthy and positive view of sales AND had the skills to spot and nurture opportunities?

Assuming there is some opportunity there for you and your team, here are five tips you can use to change the way you and your team think about sales

  1. Be a proactive helper – move from selling to helping. Think about it this way, what problem does your company solve? And if you were to come across a person or company with that problem, would you let them suffer or would you want to help? People who care about others always want to help. When you are feeling salesy it is most often because you are thinking about yourself and your commission, not how you can help someone. And remember, helping someone does not always mean you have to sell something. What do they truely need?
  2. Become great at asking questions – when you can ask thought provoking questions, it is easier to engage people and find out what they need. Asking great questions also communicates that you are interested in them and you care. Great questions get to the emotion behind the problem or need. When you can help people achieve the feeling they are after, you make their life better.
  3. Become an expert – to be able to help at the highest level, you need to be as good as you can be at what you do. When you are great at your craft, you have more ability to help others, ask better questions and you will naturally instil confidence in the person you are seeking to help. Deep knowledge builds confidence and confidence is crucial when it comes to influencing others.
  4. Have a network – your customers have more problems than you have the ability to solve. To improve the value you can bring to others, have people in your network that can solve some of the other common problems your customers have. This puts you in a different league to your competitors, and ensure you are truely focused on helping vs making a sale. When people know your true intention, they feel good about you. When people feel good about you, trust goes up. When trust and likability go up, you make sales. And even if that person doesn’t buy from you (because they don’t have a true need), they may refer someone who will.
  5. Play the long game – there are times when you should make a sale right here and now. There are other times when the timing is just not right. Have enough experience and objectivity to know the difference. The sales not made today can often become a much bigger sale down the track. My only caveat to this is don’t allow this to become an excuse for letting someone not make a decision when they really should. Influencing people in way that will benefit them can mean helping them to make a decision. Deference of decisions rarely helps.

How To Make Pressure Work For You

There is a balance point where pressure changes from positive to negative and there is also a point where pressure becomes ineffective.

Knowing what these points are for you and your sales team in critical in achieving sustained levels of high performance.