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I am on a mission.
A mission to make my business a lean-mean-profit-machine. How am I going to do that? Raise income and lower expenses. THAT is at the core (in my mind) to taking my business to the “next level.”
All business owners and work-from-home-pros need to periodically (like, quarterly) pause make the time to review what’s working and what’s not. Kinda like a real-time snapshot of where they’ve been so they can know where they are going in the future.
I could go on for DAYS on the importance of goal-setting, dream board and have effective planning in place, but right now I want to focus on a topic that is not so fun, bright and cheery; Business Expenses.
I’d like to think I am “frugal” or even “money savvy”…but I think the real truth is that I am cheap as heck. I love making $$ but don’t necessarily like to SPEND money (unless it’s massages, wine or books. Then I’m IN).
But picture this, you’ve been grinding away all year, and making some pretty killer income, but at the end of the month, there doesn’t seem to be much of said income left in the coffers.
Reason? You may have some pretty hardcore money leaks.
Identifying Business Money Leaks
Money leaks are places where your hard-earn income is leaking out and compromising your bottom line. Money leaks can be a lot like personal spending; they are the “onesy twosy” expenditures that chip away at your income. For me, my money leaks are always in the form of PLR purchases or classes and courses…and I know that. I always purchased these items impulsively and with good intentions…only to forget they existed as my business and life got hectic.
A great time to take stock of your money habits is at year-end. It is at this time that I really recommend you look at your reoccurring business credit card charges or outgoing money via PayPal. Sometimes these “auto-bill” items are the ones that sneak up on us quietly, suck our hard earned money, then disappear again until billing time next month. Because it is “auto-bill,” mentally we aren’t aware of this money leaking out until we truly study our credit card bill or dig into the reoccurring charges on your PayPal account.
To find this, log into your PayPal account, go to Reports, then to Customer Agreements, then to Reoccurring Payments. I guarantee it will be eye-opening for you!
Culprits for Money Leaks:
Classes and Courses you thought would be a great idea “at the time” are now sitting idle on your hard drive. I limit myself to no more than two classes or courses a year because I know darn well I will never finish them if I take on more than that.
Another money leak can be money you are paying for tools or programs that you rarely, or no longer, use. I to accept the fact that I was flushing $20 every month down the drain for an email newsletter service…and was never sending out any newsletters! It was either use it or ditch it time. I chose to make a better effort to “use it.”
Impulse Purchases: Yes, I love a good funky post-it note dispenser or pretty iPhone case just as much as the next person…but I also know I don’t need to buy new ones whenever the whim comes over me. Not only do these impulse buys drains cash, but they also cause CLUTTER. Take a hard look at your desk or your supply storage areas. If it looks like the Land of Office Accessory Rejects…you need to dial back on the unnecessary spending ASAP.
Money Well Spent
Before you start taking a hypothetical ninja sword to your business expenses, let’s review a few that you shouldn’t eliminate.
Third Part Time Saving Tools: Things that make your blogging stand out from the crowd and be more shareable. Paid versions of tools like Picmonkey, Canva, Lead Pages, Trello Milo Tree, Tailwind, and Hootsuite are completely worth spending money on if you are truly using them and your End Game is to grow your site and make money.
Opting to renew and pay the flat yearly fee of $33.00 I saved almost HALF over the $4.99 per month option. $30 may not sound like a lot, but to me, it’s a half-hour massage. I like to think in those terms 🙂
Hosting: I really, really, really recommend BlueHost for website hosting. Not only is it affordable, but their customer service people are also wonderful and have always helped me. Check into their hosting rates HERE.
Your Billing System: If you are still using the old-school handwritten copy for invoices..lean closer….::SWAT!:: Try Freshbooks, Quickbooks, or Wave. Chances are if your billing system is a mess, your business is losing money because of lost invoices, late invoices or services you simply forgot to bill for.
So here are some good ways to *plug* up your business money leak and fatten up your bottom line.
More Resources to Help You Along Your Side Hustle Journey
MOM BOSSING: The Freedom to Create the Business You Love is a book filled with personal stories, resources, support, wisdom, and encouragement from a solopreneur who has been in the trenches as a mom boss. This step-by-step guide shares the truth, fears, tears, and cheers of being a mom who is building a business empire on her own terms. If you are looking for a new career for the “second half of life,” venturing into direct sales, rocking a home business, or dreaming of leaving a dead-end job, this book provides the building blocks needed to move forward with a healthy dose of humor authenticity. In many ways, this book could also sport the tagline of Building a LIFE on Your Own Terms.
I was lucky to have Becky Flansburg join us at Multicultural Children’s Book Day when we first began our nonprofit. She was the “head elf” which meant she did everything from project management to help us get sponsorships. In the early years, we weren’t able to keep her busy for more than a few months a year and even that was very part-time. Becky’s contribution to the team helped us grow our nonprofit, and, in turn, we were able to keep her busier. Now, as a “mom boss,” Becky is sharing her journey and her wisdom for moms who want to try solopreneurship. It’s particularly helpful for anyone who wants to become a VA (Virtual Assistant).~author and mompreneur, Mia Wenjen
Also available on IndieBound.com.
FREElance FREEdom: Creating the Work-From-Home Life You Crave
Have you ever dreamed of working from home on your own terms instead of being confined to a corporate cubicle or windowless office? Have you ever dreamed of earning a steady and honest income while still having plenty of time for friends and family?
Lucky for you, it is all very possible. It’s a life that I have successfully been living for over 7 years…and I can’t imagine supporting my family (and following my dreams!) any other way.
Within the pages of this robust 90-page e-book and resource guide is the motherlode of excellent information about working from home (on your own terms) all rolled into a handy read-at-your-own pace guidebook.
Whether you are looking to pursue a career as a freelance writer, virtual assistant, graphic designer (and more) this Resource Guide will provide the insight, tools, guides, advice, and strategies that can apply to any freelance business. If you want the very basics of getting started without the benefit of support and coaching, this eBook is for you.
For anyone looking to start their freelance career, or up their game, this book is the perfect place to start. Jam-packed with actionable items and details about even handling unruly clients, well-meaning visitors, and kids while working from home – this book has it all! Highly recommended!~author and mompreneur, Carissa Andrews
For those who are contemplating the freelance lifestyle but need a guidebook with baby steps, this is your manifesto! Becky Flansburg shares her tips for balancing a freelance career with a family including the nuts and bolts such as the online tools she uses for networking and running her business. Becky is a gentle and realistic cheerleader for anyone who wants to work at home as a solopreneur.~Mia Wenjen
FREElance FREEdom is Available on Kindle
Also available on IndieBound.com.
Available in Paperback on Amazon: mybook.to/FREElanceFREEdompprbk