If you are like many other women who started a side business to make some extra cash for financial goals, but are not seeing the money, you are not alone. Six years ago, I started a side business while I was working full-time and found it hard initially to earn the money I wanted. Truthfully, I had never owned a business before so there was quite a transition that needed to take place. Here are four things I had to do to build a profitable business to meet my financial goals.
Reason #1 Having the Wrong Mindset
It’s no secret that what we do is based on how we think. I struggled with believing that my customer even wanted what I had to offer. I would often hear, “no one is going to want that” or “it’s already being done so why would they buy from me.” I would also talk myself right out of working my business because I let fear of man keep from making customer calls. The fact is I had products women wanted and it was my mindset was keeping me stuck. Once I shifted, my business grew and so did the money.
Action Step: Listen to the thoughts you have about your business and get rid of the thoughts that are hindering your success.
Reason #2 Lack of Business Routine and Organization
Let’s just keep it real – we wear too many hats, and this can keep us from working our business. If you want your business to work, you must fit it into your already overloaded schedule. That means you must create “office hours” to work on your business. It doesn’t mean you have to work it 8 hours a day. It means you need to plan your schedule strategically and create a daily or weekly routine for what must be done for your business to make money. When I worked full-time, my “office hours” were daily during my lunch break and from 5pm to 6pm. Then on certain nights I’d work after dinner for up to 2 hours depending on the day.
Action Step: Create a business routine that you can follow. Be sure to use that time wisely to build a profitable business.
Reason #3 Lacking a Business Budget
So many fail to do a personal budget much less one for their side business. How you can grow a profitable business if you do not know what it costs you to operate or how much money you need to make? My business budget (including my paycheck) is what helps me know how to work my business and generate the income to support both my business and myself. It also provides clarity for how much time you need to invest in your business for it to generate the money needed.
Action Step: Create a budget that includes all the business expenses and your paycheck. Then create a plan for how to sell your product and generate the money.
Reason #4 You’re Working It Like a Hobby, Not an Actual Business
If you are not making a profit, the fact is it’s not a business. The biggest reason women drop out of their side hustle is because they don’t treat it like a job. In the beginning of my own business, I would give myself options regarding whether I wanted to work it or not. This kept my business broke. I soon realized in the same way go to my job every day, I had to show up in my business. The bottom line is if you want business income, then work it like it’s the job that makes you money.
Action Step: Do not give yourself a choice on whether you work or not. It’s not an option if you want it to be profitable.
By making these shifts and working your business both strategically and consistently, you should begin to see a profit in your business.
Laura Royer is the Founder of Catch Your Money. She offers business and financial coaching services. To set up a free discovery call she can be reached at Laura@catchyourmoney.com.