Wednesday, February 12, 2014

The Fab 5

Image courtesy of: imagerymajestic

Don’t put all your eggs in one basket. I’m sure this is a statement that you have heard many many times. It’s so simple yet so powerful. Visualize yourself back in the 1950s (I know you may not have been born yet, but go with me) you are a young girl and your parents have sent you to the market to get the families weekly supply of eggs. You gather up the biggest, brightest eggs and put them in your new basket, and begin your journey home.  Just as you are strolling along enjoying a nice sunny spring day humming your favorite song, here comes Bobby. We all know Bobby, the boy who plays entirely too much! He pushes you and your basket goes flying in the air. Gasp! All off the eggs fly in the air and then crash to the ground. There goes your family’s full weeks’ worth of eggs.

If only you had more than one basket you could have possibly had a few eggs to spare.  Look at your business in this same way. You do not want all of your revenue to come from one source. What happens if that source dries up? Your income is dead, flat line and you have to start over. As business women we have to be proactive, forward thinkers. Any smart business woman should have multiple income sources in her business. Studies suggest that one woman should have 3-5 income sources.  Do you?

I encourage my clients not only to have 3-5 income sources; I also strongly suggest that your main business should be able to generate revenue in 5 different ways. Can you think of 5 ways that your business can make you money?

Let’s look at an example
You own a daycare, here are 5 possible revenue streams for your daycare
1. Main source- 9 a-5 p care for children
2. Extended before and after care- 6 a-9 a and 5 p-7 p
3. Tutoring services
4. Spring Break, Winter Break and summer camp for older siblings of the children you normally care for
5. Transportation service- offer to get the children to and from school or after school activities

Pow- You have just figured out 5 revenue streams for one business.

So what is your 5?

Need help figuring out your 5, click here to schedule a complimentary consultation to learn how we can help you make more money!

Written by: LaTasha West, CEO of Her Business Consulting, and a certified small business development coach.

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