Have you ever reached a point in your business where profits are coming in but has not gotten to the point where you are able to get recurring, scalable revenue?
Many business owners sell one service or product, but can be leaving potential money on the table through missed financial opportunities. Are you capitalizing on all potential sources of income for your business?
And what “hidden sources of income” can you tap into for your business?
These five tips can help you discover some of those “hidden sources” and retain as much cash flow in your business as possible:
1. Creating multiple streams of income by creating a line of products and services to solving the many pain points of your current clients.
Why would you focus on your existing clients? Existing clients are already thrilled about your product and service and are already raving fans. Acquiring new clients still requires demonstrating your skills and expertise so that they actually hire you.
This allows you to acquire customers to multiple price points. Your customers may not be able to afford your products and services and this gives you an opportunity to help them in many ways.
During times of a recession or economic downturn, it can be especially important to provide a diversity of products and services if a potential client might be more apprehensive towards buying a higher priced service.
Often there are missed opportunities when people present one offer to the client and that is the only offer presented. When one product is presented, a secondary product that compliments the features of the first product. Usually an upsell is not as expensive as the first product and presented right after seeing the first product. If you have a website funnel like ClickFunnels, it is easy to implement sales pages that set up the framework for upsells.
3. Down sells
Once a sales conversation is initiated with a client, pricing can become a very delicate matter that can seal the fate of that sale. After the potential client finds out the price of your offer, they may engage in a sale or decline the sale.
If they choose the latter and decline the sale, one possible option is to present a down-sell offer and see if that might be an appropriate option for them. For example, a website developer can perform done-for-you services for $2000. But if the prospect decides that $2000 is too expensive for them.
If the website developer has a DIY course that shows the prospect how to create their own website through Wordpress or Squarespace, they can present this course as a down-sell to help their client with a product at a more affordable price point.
4. Negotiating on assets whenever possible
Never pay retail. Whenever your business is spending on any type of software, rent on a physical location, services, vendors. Negotiate and barter whenever you can and be prepared to walk away if the deal is not right for you.
5. Reducing taxes
Making sure that you have as much money in your business as possible, is just as much important as identifying your “profit leaks” to stop losing out on hard-earned money. Talk to a tax professional to see how you can cut down on taxes and keep more of your profits.
In order to make sure that you have as much cash flow in your business as possible to not just survive but to thrive…. it is just as important to think about making more profits as it is to think about reducing your business liabilities.
Tap into “hidden income” in your business by increasing sales through upsells and down-sells and decreasing taxes and expenses for your business.
If your business was a “money tree” that grows the more you water it..it is just as important to add more water and give it the resources to blossom but to also make sure that you aren’t losing resources from holes in your “money tree” pot.