The next issue my coaching clients face is that, even if someone has a very clear vision of how they want to live, when they have “made it” and which route (or Lane of the Wealth Highway) they are going to use to get there, they then have to figure out the strategy or the plan.
This is like choosing which vehicle you are going to ride in the lane you have chosen. Bear in mind you CAN choose a Koenigsegg (pictured) over a pushbike, if you have the skills to drive it, and you can have more than one vehicle, and more than one in each Lane, but you can plainly see that the more vehicles you try and drive, and the more Lanes you are in, the more likely it is to come crashing down around you!
This is why you are always being told to focus.
But we are getting ahead of ourselves here, because we have a bit of basic maths to do first!
For example, if someone knows they want to make 125k net of tax, per annum, from property and the internet, we need to divide that 125k by 60 and multiply it by 100 to find out what they need to earn gross (before tax is deducted). And that’s assuming we will be able to pay 40% tax, not 50%.
That makes 208,333 to earn, before tax, in order to pocket 125,000.
Just say that our client has chosen rental property and ebook sales as their strategy in two of the Lanes of the Wealth Highway, we can see that
they need to make 104,166 in each per annum.
Assuming an average ebook price of 30, that means they will need to sell 3,472 per year or 66 a week.
Assuming a rental profit of 150 per month per property, to make 104,166 a year, you will need 58 rental units to generate that income.
This is where a client will start to be able to evaluate their initial strategy. Should they create an upsell to offer after someone has bought an ebook? That would mean they didn’t need to sell so many ebooks, or attract so many new customers.
Should they look at multi-let units, where they buy a 3 bed with living room and dining room and rent out 4 rooms to single professionals. This would generate a greater rental profit but bring with it some minor headaches in the form of looking after 4 people rather than a family unit.
Any strategy is better than no strategy however, and just the act of working through this exercise will bring clarity around what you do want to do, and don’t want to do.
And remember, just because you could, doesn’t mean you should. Some strategies will work for you, where they wouldn’t work for someone else.
You really need to know your strengths, skills, weaknesses, blind spots, and your preferred modus operandi – the Kolbe test can help with this last – google Kolbe to find the website and take the test online.
(I’m a 9 on quick start on Kolbe, and a 2 on everything else so need to get things moving and get momentum going on a project, or it may never see the light of day!)
I also recommend Roger Hamilton’s Wealth Dynamics profile too, which is a personality profile designed to show you how to work “in your flow”. Listen to an interview I did with Neil Long (another creator/star) on how you can harness your Wealth Dynamics profile to maximise your online earnings. Note how two creator / stars have to really work at letting each other get a word in edgeways!
For example, a Creator/Star like me just can’t get to grips with affiliate marketing per se, as it’s very detail orientated, repetitive and intense, while I am good at creating content, products, ebooks, software ideas, and I just love to speak. I’m strong in marketing and sales and am a fairly competent copywriter.
So knowing about your flow and how you like to work and take action can also help you (and me as your coach) work out which business strategies might work for you, and which to focus on first.
Is any of this ringing true for you? Do you feel as if you have your Vision but not your Strategy yet? Why not comment here, using the “Share Your Thoughts” link and I’d love to try and help.