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    What It Really Takes To Build A Million Dollar Consulting Business (Episode 312)

    What It Really Takes To Build A Million Dollar Consulting Business

     

     

     
    Summary: 
     
    This one’s for all you independent consultants, coaches, and experts who are looking to grow your business next year. We’re going to chat about what it really takes to build a million-dollar consulting business. 
     
    Yes; you need the right mindset. 
    Yes; you need to be good at what you do
     
    But did you know there’s an actual mathematical formula to determine if your company is capable of hitting a million dollars in gross revenue a year? There is, and in this episode April Beach, an international business strategist, unpacks the key values you need to be aware of that become the inputs for your milliondollar business formula. 
     
    This episode is like your personal guide to growing your business in a smart way. It’s super helpful if you’re working on your own and want to increase your sales without burning out. We’re going to talk about knowing your limits, which is really important, and using that knowledge to make better plans for your business. This way, you can make more money, keep your customers happy, and still have time for yourself! April’s approach has helped people all over the world. She’s got some great strategies that can be tailored to your own unique business.
     
     
     
     
    At the end of this episode, you will: 
    1. Assess your Offers: It’s important to really know the ins and outs of the services or advice you provide. This helps you see where you can grow.
    2. Understand Your Limits: Knowing how much you can handle is key. It helps you plan better and grow your business without getting too stressed.
    3. Clean Up Your Offers: Quickly see what offers are dragging you down and where to build improvements 
     
     
     
     
    Resources: 
     
     
    For more about what we do and how you can work with us: www.sweetlifeco.com
     

    April Beach on LinkedIn

     

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    Full Show Transcript:

    312 

    [00:00:46] Hi everybody. I’m so excited to welcome you to episode number 312. Here on SweetLife entrepreneur podcast, we have made some changes to the show. If you haven’t noticed, we’re actually giving you more free business trainings and tools with every single episode. And so therefore we are dropping our episodes.

    [00:01:07] every two weeks. So if you haven’t noticed that now you can be aware that we’re actually giving you more time to use the materials that we have given you here on the show so that you can actually apply them to your business and continue to grow and continue to make money. We’re getting feedback literally that we’re just giving away so much within a seven day period for the last six years that sometimes you were scrambling to actually utilize it all.

    [00:01:34] And if you’ve been listening to the show for a while, you know, that we are known for giving away free business trainings and strategies backed by 30 years of business coaching expertise that other coaches will charge you hundreds and thousands of dollars for. So we definitely want to make sure that you’re able to utilize the tools we give you.

    [00:01:50] So heads up. The show’s dropping every two weeks. Now this episode is very jam packed. I’m actually teaching you a workshop in this episode that we teach to our private clients called method to millions. And because I need you to really have the worksheets to implement. At a higher level, we’re talking about it here on the show, but to really implement the nitty gritty of the method to millions workshop, I’m giving you completely free access to a recorded one hour training where I just recently brought our clients through this method to millions process.

    [00:02:24] And I’m giving you completely free access to all of the worksheets. This workshop is no strings attached. I just want to bless you and honor you for being a listener here in the show. So you can go to SweetLifeCo. com forward slash millions, and you’ll see there is a cost to it in there. I want you to use coupon code guest again at SweetLifeCo.

    [00:02:49] com forward slash millions. With an S at the end and use coupon code guest, and you can get full access to the whole one hour workshop and worksheets. But let’s go ahead and talk about what we’re going to talk about here in this episode. So you even know if you’re ready for this level of business strategy.

    [00:03:07] So in this show, I’m going to unpack the importance of engineering your business for capacity so that you don’t hit burnout. Many coaches and consultants and subject matter experts, you know, you, you work so hard and you’re creating new offers and you’re doing all the things, but have you ever stopped to take a minute to actually realize with a mathematical formula?

    [00:03:29] Is to whether or not your business is actually engineered to hit a million dollars, or if you were smashing up against a complete brick wall, that’s what we’re talking about here in this show. That is what the workshop helps you see as well. So we are diving into what is called capacity. We’re talking about offer engineering.

    [00:03:47] offer sweet engineering. And this episode is going to help you have a reflection on the last 12 months is to whether or not what you’re selling and what you’re building is in fact actually going to equal a million dollars in your business. And it might not even be a million. You might be just working on trying to hit.

    [00:04:06] 300, 000 or maybe you’re working to hit your first 100, 000. I’ll be honest with you. This show is an advanced business training for established coaches, consultants, and subject matter experts who have already passed the hundred K mark. But if you haven’t done that yet, please Pop in here because now, you know, what’s to come and I love pouring into you and, and helping you see some of the strategies that might happen at the next level.

    [00:04:30] So if you’re ready for this, all of the show notes, everything that we are talking about here can be found by visiting SweetLifeCo. com. Click on the podcast button. This is episode number 312. And again, go right now before you forget and access the free method to millions training by going to SweetLifeCo.

    [00:04:50] com forward slash millions. Use the coupon code guest. All right. If you’re ready, let’s go ahead and dive in. All right. So there are three reasons why your business is not going to hit a million dollars, no matter what you do or how hard you work or all of the best marketing strategies in the world.

    [00:05:11] There are three reasons why you might not be hitting a million dollars, no matter how hard you work, how hard you try. And frankly, how great you are. Those three reasons are your offer design. isn’t done correctly. You have reached capacity on how you have designed your offers and frankly, there isn’t enough time in the year.

    [00:05:30] So reason number one is incorrect offer model design. Each one of your offers needs to be engineered. to correctly ensure that it aligns with your ability to bring enough people in based on how much you charge and how many people you can serve that you’re actually going to hit a million dollars in that offer.

    [00:05:51] So that’s number one. Number two is that inside that offer, Especially depending on how many times you offer it a year, whether you do it one on one, you are going to reach capacity. And then the next one is not enough time. We’ll get into what not enough time last when we talk about marketing. So let’s kind of unpack the problem here.

    [00:06:10] And if you’re frustrated, could you see other strategists and other businesses just consultants having million dollar businesses, it really isn’t maybe just their marketing plan. It’s how their programs and their offers are engineered. So the deal is, is we don’t talk about capacity enough. As a matter of fact, I think business coaches and strategists, it’s a huge missing mark because of the fact that we talk about marketing, marketing, get more people and generate leads.

    [00:06:34] But what happens when we’ve generated all those leads in your offers or your suite of offers? Isn’t engineered to hit that capacity. So the problem is, is if we don’t pause to talk about the capacity of your suite of offers, you are never going to reach a million dollars. It’s like building a house where you need a hundred people to sleep there, but there’s only one bedroom.

    [00:07:01] It’s just physically impossible to do it in. So therefore, I want us to come back here and really understand the process of assessing capacity based on the offers that you are offering and your business offers your offering. I know that sounds silly, but you know what you’re selling your, your programs and services.

    [00:07:20] So. Our goal here today is to help you identify your current offers that you have already done, that you’re already selling, and understand if you have hit a threshold. Also today, I want you to understand that any new offers that maybe you have thought about creating, How do they fit into the math to help you reach that million dollar mark or just replace the word million dollar with your next financial threshold?

    [00:07:48] Uh, and let’s just kind of speak to that for a minute. A million dollars is a lot of money for, um, to generate for a single. Consulting business. It’s very important that we engineer your offers correctly so that you can do that. And so, um, but if you’re, if you’re here, maybe if you’re struggling from money mindset, I don’t want you to shut down this training thinking, Oh my gosh, she’s just another person talking about how to hit a million dollars.

    [00:08:11] I could care less. any number with a million dollars. This math works. If you’re trying to hit 250, 000 or 750, 000 or 350, 000, it doesn’t matter. I want you to use this math because it’s going to give you a huge insight. So the process, the method that I am talking about today is a method I created called mathematical Method to millions.

    [00:08:34] So it’s called a method to millions and the worksheet I’m giving you or the workshop and the worksheets that I’m giving you away for free with this episode are is also called method to millions. And so basically what it is is it’s a mathematical equation to add up capacity. With what you’re charging for your offers with the model of your offers and understanding how many people you can actually fit in that offer in a year to see if you can actually mathematically hit a million dollars.

    [00:09:02] And when you engineer your numbers correctly. Basically, when you engineer your suite of offers correctly, then you can do it. But if you’re looking at these numbers after we go through today and you’re realizing, wow, I can’t do any more of this. I can’t sell any more of this. I’m never going to make any more than 75, 000 on this one thing.

    [00:09:23] Then we have a problem. And that is why I want to help you with this today. You know, the end of the year, depending on when you’re listening to this, it’s the end of 2023. It’s a really important time for us to assess. All of the hard work and how we’re serving our clients and what we’re working on. And so that’s why this topic is so important.

    [00:09:43] So first of all, let’s kind of define capacity. What is capacity? Capacity is the maximum amount of people you can serve and the maximum amount of money you can make based on a certain offer or program you’re selling. Now, let’s define offer or program. So an offer is your consulting service, whether it is a one on one service, whether it is a course or a membership or a retreat or a VIP day or a licensed product or a certification program or a mastermind, whatever it is that you sell.

    [00:10:21] Also for you guys that have done for you services, if you have like an agency or if you have a hybrid where it’s kind of done with you and done for you, that’s, that’s what we’re talking about. Right? So when we’re talking about your offer, it’s what you do, what you sell. And so. Inside every single offer, there is usually a capacity and capacity isn’t bad, right?

    [00:10:44] So I don’t want you to think capacity is terrible, like, Oh, my gosh, everything has to scale. I have to fit 5000 people in this offer. That is a wrong approach. All right. I know there’s a lot of coaches out there that are like, Oh my gosh, you need to build these offers so you can sell it to more people.

    [00:10:59] Frankly, I don’t want to be in any program where I’m like one of 5, 000 people. And you probably don’t either. That was a big trend from 2000 and you know, 13 to 2019. None of us want to be a number in a cattle drive anymore. So first of all, it’s important to know that I am not here advocating that you build all these offers.

    [00:11:19] For a low ticket or even other offers for a super high ticket, you know, so you can fit more people. The most important thing I want you to take away from this episode is you can engineer your suite of offers any way you want. And the very first thing I want you to understand is it how you build your suite of offers and how you serve your clients and what you sell.

    [00:11:42] It’s going to affect your lifestyle. And so I want you to actually stop for a minute and I want you to take an inventory and I want you to think about every single thing you’re selling. So here we go with the step by step training. Step number one is make a list of your current offers that you are selling.

    [00:11:59] And again, I have this cheat sheet worksheet for you where you can get access to it for free. When you access our method to millions workshop for free. So in the left hand column, if you’re visual like me, you’re going to list the name of the offer. So it could be one on one coaching or done for you website services, or, you know, my, my week long retreat in Costa Rica, whatever it is you guys sell.

    [00:12:20] Okay. Left hand call. The next column over and the next step I want you to go through is I want you to understand what is the model of that? Is it done live in person? Is it on demand? Is it a hybrid model? It’s important to look at the model of how you deliver your offer because it’s going to tell us whether or not we’re going to hit capacity, right?

    [00:12:44] So we know, for example, let’s use the retreat. If you have a retreat, so the title of the offer is retreat, the model of it is, One time a year and it’s in person. That’s awesome. That’s very exclusive and and I’m sure you know You’re selling that out because people love those type of experiences But the next step is after we do offer and model the next step is how many people can you actually sell that to?

    [00:13:09] Is it a retreat for 10 people? Is it a retreat for five people? What is the total number, what is, what are, what is, let’s say correct English there, what is the total number of people that’s not correct? Alright, help me out here. What, how many people can you sell this baby to, right? So if it’s a retreat, there is going to be a capacity of a lower number.

    [00:13:29] But if your offer is a course or a training where it’s endless, Fantastic, right? So first is offer. Second is understanding the model of each one of your offers. And the third one is understanding the maximum number of people that you can fit into that offer. Here’s the key in one year. So if you have that retreat twice a year, You’re going to say, okay, maybe it’s 20 people total.

    [00:13:53] If you have that course available all the time and you, there’s no limitation. If your model has no limitation, it’s something that’s an on demand training or especially for those of you guys that are getting into licensing. If there’s really no limitation on how many you want to release it to, that’s incredible.

    [00:14:12] That’s awesome. We love that. I want you to put in the goal number of how many seats you want to sell into it. So if it’s on demand with no capacity, the maximum number of people, you’re going to put your goal for the number of people that you want to sell into that program for the year to come. So we’ve done three things.

    [00:14:32] We have assessed your offer. We have assessed the model of how each one of the offers are delivered. And now we’ve assessed the maximum number of people that you can fit into that offer in a 12 month period of time. Now. Part four. Hopefully you guys are with me here. Step four is I want you to multiply the per person cost of what you charge for that offer by the number of people you can fit into it.

    [00:15:00] So if you have a course that has your, your goal is to fit, it’s on demand. Your course course name here models on demand. Your goal is to fit, sell it to 100 people. And the course is, you know, five bucks, right? Whatever, that’s terrible. Don’t charge 5 for your course. But you know what I mean? Then you are going to multiply them the maximum amount of money.

    [00:15:23] If you hit your goal, you can make on that is 500, right? So let’s go. Let’s give a different example here. If, however, let’s go to the retreat example. If your offer is a retreat and you char in, it’s, you know, you can sell it to 10 people at a time and you charge 1, 000 for that retreat, then the maximum amount of money you’re going to make on that retreat is 10, 000.

    [00:15:50] So it’s really important to look at the number at the maximum amount of money that you can possibly make. On a particular offer. And you’re going to do that for every single one of your offers. Now, here’s where it really becomes eyeopening, especially for our clients. If you provide boutique elite high end offers, you’re not going to sell that to as many people.

    [00:16:10] So the idea here is understanding this is the offer. I only can take five private clients. Like for me, for example, I only take four private clients a year. That is my capacity. I cannot take more than that. So I know that I cannot make more than four times the amount of money I charge for it, which is currently 33, 000.

    [00:16:30] So I cannot make more than that on actual private clients. So what it does is when I’m looking at my list and I go through this, my team and I go through this every single year, really, I really don’t love pushing private clients because I have a lower capacity for profit with private clients, even though I charge more because I only can take so many.

    [00:16:51] So the process is you are going to have your list of offers. You’re going to have your model. You’re going to understand how your offers are delivered and you’re going to see where you’re hitting capacity. Now, I have so much more. I want to teach you about this and what we do next, but. Our first goal here today is to have you have an understanding of where you might have hit capacity.

    [00:17:14] And frankly, how much time is it taking for these offers to be delivered? When we understand capacity, when we really talk about capacity based on how you are engineering your suite of offers to reach your profit threshold, then you can take a look and you can be like, there is no way I’m going to hit this.

    [00:17:34] Especially if you only have a few different offers, if you only do one on one services and and their boutique services, and that’s what you’re pushing, especially with that done for your hybrid approach, you’re going to hit capacity. And so what else can you be? Should you be? Might you want to engineer so that you can increase your profit across other methods?

    [00:17:57] So again, there are three reasons why you won’t hit a million dollars or 300, 000 or whatever your profit threshold is. Number one, because your offer model design isn’t engineered. I don’t even want to say the word correctly because it’s different for all of us. It’s just your, your list of offers aren’t engineered.

    [00:18:16] to fit enough people into them for the price that you are charging. Now, most coaches will be like, we’ll charge more. Absolutely. If you are at capacity, if you, if your program is sold out, if you have a wait list, if you are selling at a certain rate, it’s time to increase your prices for sure. But in most cases we’re looking at a list of offers and they just aren’t engineered correctly.

    [00:18:41] Either the price isn’t engineered correctly or the offer itself can’t fit enough people. Recognizing that you’re hitting capacity is a very important thing that I want you to be able to do before you go into the hard work of actually promoting the offer and doing the work of doing the launch and the marketing and all the things.

    [00:18:59] See, now you understand why all the marketing in the world, the biggest list in the world, if your offers aren’t engineered correctly and your suite of offers aren’t engineered correctly, you’re never going to hit that seven figure mark because it’s physically impossible based on the way that you’ve engineered your offers.

    [00:19:14] And then here’s the third really important thing that I want to leave you with. And I really do want you to access the method to millions workshop for free because this is where our clients just, their brain just explodes when they realize what we’re going to talk about next. Even if your list of offers, your suite of offers is engineered that you’re going to be able to hit capacity.

    [00:19:36] Sometimes there is not enough time in the year to market and sell them all. It’s really, really important. This is what I mean. You only can sell so often. If you’re out there being like, buy my this and buy my that. And you know, I have, I have all these great things and I want to work with you. Uh, if you’re selling all the time, people are going to stop following you.

    [00:19:58] You only can sell. so much. And if you are looking at your list and you’re like, wow, I can reach them all, but January I have to sell this and the end of January I have to push for that. And then in February I’m going to have everybody, you know, do a campaign to work with me one on one. And then in March I need to start filling up my retreats, but also in March I need to sell this little workshop.

    [00:20:19] If you realize that There is not enough time in a calendar year to actually market and sell all of the things that you have created in order to hit a million dollars. That is also a big problem. And so that’s kind of this aha that people have. So even if the suite is engineered correctly, we’re going to run into a capacity with time in the calendar based on.

    [00:20:46] Basic relational communication skills. The way around that is if you have lower ticket offers, so we can also, we can always run ads to that, you know, we can just keep pouring in ad spend too, but frankly, ads aren’t converting the way they used to, and they’re much more expensive. And so that’s not usually, uh, a first defense to fix this problem.

    [00:21:05] So let’s kind of recap what we talked about. We talked about a process that I teach called Method to Millions. It’s basically a math formula for you to open up your eyes, take a look at your suite of offers, what you currently have and determine whether or not you are actually physically going to be able to hit A million dollars with the programs and services that you’re selling.

    [00:21:23] This is why a lot of our clients love licensing because there isn’t capacity and it’s very little work and very little marketing. Just a little plug. If you’re interested in learning more about licensing, I have a lot of podcast episodes on that here to help you understand what the model of licensing your courses in a nutshell, take a look and be real with yourself.

    [00:21:43] Also understand how often can you realistically sell to your particular audience? And what I want you to do from this is pause for a minute and I want you to remove any offers that are not profitable or taking too much time. I want you to consider also adding new offers or upgrading current offers to increase the capacity.

    [00:22:04] So either increasing more people. Or increasing the amount of money that you can charge for those offers by engineering them better than they have been done in the past. We don’t want to necessarily just always increase the cost. We always want to look at the ROI of what we’re delivering and making sure that you’re ethically increasing your costs, especially in the consulting and strategist space.

    [00:22:24] Great. Okay. So again, this was the method to millions kind of mini workshop here. We’re talking about how to truly build a million dollar coaching business, what it actually takes. It’s not in the marketing. It’s not in the relationship. Those things come later. It comes in engineering the products that you’re selling, which is based from your amazing knowledge and whether or not you’re capable of actually hitting that number.

    [00:22:47] Again, if you want to access the free workshop that I teach exclusively to our clients, you can go to SweetLifeCo. com forward slash millions and use the coupon code guest. That coupon will only be available for a limited time. So don’t wait to go over there and grab that. And for all of the show notes, the transcript of this, all of the resources and other resources we have for you, please visit SweetLifeCo.

    [00:23:17] com and you can just click right there on the button for the podcast. And I really appreciate you guys. Thank you so much for listening to the show. We are rolling over to year number seven. I absolutely love it. Absolutely. Cannot believe it. And, uh, we’re always here for you. So if you haven’t connected with us on LinkedIn, find me on LinkedIn at April beach.

    [00:23:35] And of course we would love to work with you to bring your business to the next level. Cruise over to SweetLifeCo. com and all of the resources we have are available for you there. Thank you so much. Have a fantastic end of 2023 and we have some exciting episodes to help you kick off the new year coming up here soon.