The Biggest Mistake I See Self-Employed People Make

Mountain in HimalayasOne of the first questions I ask my clients is “What do you cost to run?” I mean on a monthly basis. In round thousands. People usually tell me anything from about £1,000 to £6,000 and they mostly know, but not always. I press them. Then if it’s a little or a lot, at either end of that spectrum, I want to know why, why are you so cheap to run, why so expensive?

Once we have established the ground rules, I then want to know “And how much do you want to earn?”

They are different, you get that, don’t you? One is what you need and the other is what you want.

Because most (not all) clients want to earn a lot of money, their error is in chasing the big deals too soon. I am often guilty of this mistake myself, going for the big goal and overlooking the nearest money.

What’s the problem with this Big Financial Goal strategy then? It can mean that year after year after year, while chasing The Big One, you still haven’t reliably taken care of your basic monthly income needs. Often you haven’t earned anything at all. Which means you are living in fear or increasing debt or both and worse. You haven’t addressed the issue staring you in the face. You are not in financial integrity.

If I client says to me “I can live off £1200 a month” I say “Lucky you!” and mean it. I wish I could. Because the lower you can go the sooner you are out of the Rat Race and can stop doing stuff for money and then, and only then, can you be focusing on the bigger projects, the £10k a month stuff and beyond.

Almost every frustrated and ambitious entrepreneur says a version of this to me “I can live off £1200 a month but I don’t want to”. I know! I am not suggesting you make £1200 a month and stop there. I am suggesting we make that our first target so you can stop worrying about money and release all the creative energy you have locked up in that wearisome battle. It’s not even a case of feast and famine, it’s more a case of famine and famine. I see years go by without you addressing this one issue and I despair. Stop it immediately!

Let’s get to base camp first.

From there we can mount an assault on the summit.

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