Posts Tagged ‘cash flow’

In 2002 I was laid off from the last of my “good” jobs.  It was, for me, my second lay off in three years. The jobs were considered “good” because they paid well, used my education and carried a title.

While working my “good” jobs I woke up every morning much earlier than I wanted, hurried my children off to school so I could drive 40 minutes to my office.  In the evening, I’d repeat the trip this time filled with rage, frustration and a sense of futility, which I would share with emotion over the dinner table.  Perhaps my boss was exceptionally volatile and inconsistent. Perhaps my expectations for creating positive change in a well established organization were unrealistic. Perhaps there was something intrinsically wrong with me that I couldn’t find happiness in the American dream of a well paid job and a loving family.  What I know is:  I turned into a bitter, complaining woman.

The Law of Attraction – It Works

I lost those jobs. Just as promised, the law of attraction responded to my misery by delivering to me exactly what I wanted. 

At first I did not respond at all well to getting my way.

I am okay with it now.

It took these two painful and unexpected experiences (thank you universe) for me to begin to accept my chronic unemployed status as an irrepressible calling from my spirit.  My finally stepping into a place of authenticity came from a universally human commitment to my own self preservation. Shaken and uncertain after the second corporate rejection, I found myself unwilling to go through that same pain again. That is when I declared, out loud, and without my usual careful research and planning; “I will never again work a job.”

Transformation

I had no idea how I was going to keep my promise but, as with all transformation stories, through my commitment I created a new reality.

Once I truly committed to never working again not having a job became my new comfort zone. Once we commit, truly commit, to a change, it is easier for us to find our way to our new reality than to stay in the old rut.

It Takes Time

My transformation was not immediately evident. In those long, lonely and lost days of my unemployment I realized some things about myself. The truth was, ever since I pitched my first freelance story idea to the local paper, I had always wanted to be independent, creative and resourceful, in short, an entrepreneur.

This change in my understanding of myself came slowly. In the beginning, steeped in my own judgment of my failure, being independent, resourceful and creative did not seem like a good thing.  I saw myself not as I do now, as a uniquely gifted spirit called to benefit others with my knowledge, products and services, but as an unemployable, a seriously flawed individual, a misfit, a failure.

I was ripe for a Working Miracle.

The Value of a Good Title

At some point in my social isolation, I discovered in my junk mail an invitation to a workshop called Wealth Without a Job . 

Talk about the value of good titles! Wealth without a Job is exactly what I wanted.

So, worried the whole time about the expense and guilty to be spending money on my undeserving, unemployable self, I flew to Arizona to attend.

It was at that workshop; presented by the late Phil Laut and his business partner Andy Fuehl, that I first discovered the concept of passive cash flow.  Up until that point I thought my choices were either work for myself or work for someone else.  With the concept of passive cash flow I understood that what I need was not work but a source of income. My life was changed. I had glimpsed the path I was to follow.

Skills and Abilities

 Back home I started to work on both my money psychology and my business skills.

Psychology comes first because, it was clear from my recent career decisions that I was operating from a place of fear.

 Every corporate job I’d ever taken I had taken despite an inner knowing that said, “You do not want this”. Every job was taken out of fear: fear of a lack (money) and a pathetic desire to avoid criticism (attack) by finding approval in the eyes of others. 

Once I recognized the thoughts that caused my behavior, I was free to challenge my own thinking and free to take a chance on listening to my inner voice. In short I was free to be happy.

And so, after a long and difficult journey with many wrong turns, I finally found my path.

Taking my inherent gifts into account, instead of discounting them, I started a journey of learning and discovery.    Years of study are not the right path for everyone but, given who I am; my natural skills, strengths and abilities, it was the right path for me. (I can help you with this too) I set out to learn not just about working for myself but about making money by building a business that showcased my skills and abilities and, just as promised, the teachers appeared.

Me as Millionaire

You can find the teachers I choose to learn from and the programs that inform all that I teach my clients here. If you want to explore any of these programs further, I will be happy to talk to you about my experience, what I want you to know right now, is my conscious decision to learn what I needed to know to make money a source of energy in my life, and my commitment to taking action, including overcoming obstacles, on all that I learned, turned me from an insecure frightened bag-woman-in-waiting into a millionaire.

I feel no shame in telling you that my million dollar status did not survive the economic down turn because really that detail doesn’t matter.  What I gained and still value is my self-image as an excellent money manager, my income as a successful entrepreneur and my confidence that I am now a person who creates the money she needs and always will.

Now that I have discovered this gift, it is mine to share. All my experience and learning has led me to become a business coach.  For a woman with my skills, my experiences and my personality my obvious area of growth is to share what I have learned with others.

I teach tactical, practical skills for turning your abundant gifts into a quality life, without sacrificing what you are uniquely designed to do. The key to my small business coaching is a process I call the Working Miracles Map to Success.  My process includes, gaining control of your money psychology, following your inner knowing, embracing the abundant gifts you already have and giving yourself permission to create wealth as you adopt the skills and attitude of a business leader.

I have argued for small, very small, businesses over big business.  To pursue this non-conformist philosophy requires a certain level of rugged individualism.

Take, for example, Guy Kawasaki’s advice in The Art of the Start: regarding managing for cash flow.  Kawasaki says that managing for cash flow isn’t a long term practice. Eventually, he claims, a business builder will want to strategize for “paper” profits like growth, market share or brand recognition.  Management for cash flow is a strategy only for early stage bootstrapped businesses.

If your intention is to be a very small business owner, his advice for bootstrappers is useful, just don’t be sucked in by the claim that cash flow is not a long term practice. It can be.

If your choice is to create a business that will afford you a certain, adequate lifestyle, consider the life you will create as you follow Kawasaki cash flow advice for early stage start-up businesses.

Happiness is a positive cash flow. Fred Alder

Kawasaki gives the follow advice to maximize cash flow from your business:

Choose A Product That Is Easy To Sell

He is right. As you choose a business, don’t make it hard for yourself. I have worked with clients who chose to sell a debt reduction tool. They always struggle because, despite its proven success, the product is expensive, the usefulness of the product is difficult to demonstrate and the market, by its nature, is cash strapped.  Better to choose a product your market already knows it needs. Even though the market is highly competitive, there will always be someone selling easy weight loss and get rich quick schemes because these products meet a widely recognized need.  Choose a product that is just as compelling as beauty and wealth – but look for a niche with less competition.

Position Your Product

Once people recognize their pain, you want to make it an easy step to buy what you are offering.  Develop a marketing funnel.  Give your prospects a chance to experience your wares with little or risk as they come to know and trust you.  Keep your entry level product affordable, risk free and provide plenty of opportunities to build the relationship.  Remember running a successful, very small business is all about cash flow and relationship. Give your customers every chance to deepen their relationship with you and with your product.

Fill a Need

Another mistake I see my clients make early on in the business start-up process is choosing a product that fills an narrow market need. Usually this need is based on the client’s personal interest instead of a true market analysis. I’ve seen clients struggle to sell designer cat food to co-workers, or premium travel vacations to the ladies in the Fire Hall Auxiliary.  Don’t start a business, even a very small business, without first considering the size and level of need in the market. Also check for competition. If there are only 10 customers in a 100 mile radius and someone already sells high end cat food to them, you will have an uphill climb.

Follow Trends

One way to identify a need is to follow the trend. Social Media is an obvious trend but there are others: green technology, being frugal or alternative health care, to name a few. Beware. There is an art to this part of the start.  For the very small business owner, the product and the market can consume a large part of your day.  Seek a balance between following a trend and finding a product you believe in.  You will want to enjoy your customers. If you don’t like young people, don’t open a tattoo parlor.  You will want to find meaning in helping the people you serve.

Choose the right trend and you can create the good life.  Follow the trends blindly and you may become a success but miss being happy. Choose wisely.

Piggy Back on Someone Else’s Success

Like those birds that live on the backs of water buffalo, look around and see who or what is big in your world. You could create the next killer I-phone application, if you are so inclined.  A client of mine provides rides from the hotel district to the corporate office of a local training institute. Another, moves cars around for the local car dealership when a new order arrives.  Be creative. Let someone else create the need, you fulfill the demand.

What is your product?  Share it with the Working Miracles Very Small Business community by leaving a comment and test the market.

photo by aldoaldoz

Seven ways to bootstrap your business.  We define bootstrapping as building a business using a self-sustaining process that proceeds without external help.

You may choose to go for venture capital -  eventually – but until then what should you be doing?

Podcast: Play in new window | Download (Duration: 5:02 — 4.6MB)