When I first started in business I was still in college. Things began with little pressure because my responsibilities were minimal.
Ignorantly I was living off FAFSA and never worried about how I’d pay it back.
That went for a few years until I took a break and entered graduate school.
Eventually I got married and had a baby. I had a nice stable job in web design and eventually management, but then things began to crumble.
The owner moved away, the local office shut its doors. Technically, we still operated remotely but it almost felt like I was freelancing again.
But this wasn’t my company nor was I in charge.
And so, I jumped the boat and began freelancing or consulting again.
This time things were different than the first. I now had a wife and daughter to take care of. No rest and no excuses. Everyday I had to perform.
For the next 8 years or so, I worked primarily on my own. At times I hired 3-5 contractors to help distribute the work load.
But still, my focus was maximizing profits and taking care of my family.
And with everything resting on me, I eventually burned out of that model.
What I didn’t realize then, but I now do is that I wasn’t building a business.
I wasn’t operating as an entrepreneur but as a freelancer or a consultant.
Currently, I still have a job however slowly, I’m building up business again.
Once you taste freedom it’s hard to settle with bosses and offices.
But every time I return to business, I learn and apply something new.
Even the smallest changes can bring growth with hindsight.
As they say you do learn more from failure than from success.
Here’s my current lesson on profits…
* Instead of maximizing profits, I want to optimize them.
In the past, everything I did in business focused on what I would take home and not on building the company
I needed money for life, for survival and that mindset was not compatible to build and grow a company.
I heard it said many years ago that if you were in need of money to live don’t start a business, but get a job.
Having a survival focus doesn’t help also grow your business.
I didn’t fully understand it, nor did I yield it.
But now I understand.
3 Problems with Only Maximizing Profits
- When I was trying to maximize profits, I didn’t account for taxes, which years later bit me something awful!
- When I was trying to maximize profits, I hired the cheapest adequate people. This always put heavy burdens of management and fixing their mistakes.
- When I was trying to maximize profits, I didn’t budget for marketing or for hiring salesmen. Thus I was guaranteeing nothing would happen without my sweat inched things forward.
Which in light of everything else, it never did, since I had no time.
So today, I am grateful for these lessons and the opportunity to go at it again.
Lastly, if you have any question on business or marketing just send me a tweet or FB message.
I’d be honored to help fellow dreamers and doers, like you. 😉
Create a Great Day!
– AC
P.S. And if you haven’t heard, I’m creating a private community where I’m sharing my marketing strategies. Learn more or join in, see here.