Top 3 money mistakes from business owners
Hi, it’s your Money Mavens, and there’s a pattern we’re seeing.
Business owners in virtually every industry consistently make the same three money mistakes.
And these aren’t small mistakes either. These are often million-dollar-plus mistakes.
The ones where you go, “If I did this differently, I could already be in my vacation home.”
We get it – being your own boss is an amazing feeling, but it can also come with the pressure that you feel like you have to manage everything in your business…
Including your money. And that’s a recipe for disaster.
It’s easy to have millions of dollars of revenue slip through your fingers when you fail to capture it, make it yours, and put it in your name.
If you’re not careful, owning your own business can be a lot like being in a super-needy relationship.
It’s hungry, selfless, relentless, and consumes two things: time and money.
It can take so much focused energy and attention to build a healthy relationship with your business.
Creating a business with ongoing profitable revenue streams can lead to a sustainable business and massive personal wealth.
The problem is far too many business owners are overworked, underpaid, not building wealth, and distracted from building wealth because running a business is so taxing, no pun intended.
That is the setup for three of the most common money mistakes business owners make.
Mistake #1: Not starting with the end in mind.
You’re not going to own or run your business forever. At some point, you need to exit your business.
So, how do you make your exit on your terms instead of someone else’s?
You need to create a plan for what that exit looks like while still growing your business.
For many business owners, that takes a mental shift from a scarcity mindset to a growth mindset.
Scarcity says, “I’m just going to make whatever I can make. Hopefully, I’ll get close to making six figures, or at least, something to live off of…”
Abundance says, “There’s a whole world of opportunity. If I dedicate the time and effort into growing my business the right way, this could completely change my future.”
Shifting into abundance takes rethinking how you plan your daily calendar, task lists, and the systems and processes you use in your business every day.
You need to extract enough profits out of your business, while you’re running it, to build that million-dollar (or multi-million dollar) nest egg for retirement.
The day you exit your business can be a highly lucrative day…if you begin with the end in mind.
Mistake #2: Operating inside limiting beliefs.
How fulfilling your life is right now is tied to the language you use to talk about your life.
Business owners are notorious for believing who they are as a person is directly tied to the top- and bottom-line revenue for their business.
The sales you make, the products you launch, the complexity of problems you solve – all of those are tied into believing what’s possible.
There’s nothing possible inside your business that you can’t currently believe, stand for, conceptualize, or work toward.
What type of business do you imagine you can have?
If it’s not much greater than what you currently have, may I suggest you’re dreaming too small for your future?
Self-limiting beliefs are integrated into every facet of your business: your practices, your policies, your procedures, how you talk with customers, how you make your offer. It’s just all in there.
If you want to expand your business’ impact, start operating from a greater belief of what’s possible – and what you can bring to life.
Mistake #3: Not having a plan for your money.
How much did your business make last year? And, how much money did you personally keep?
The likely answer is minimal at best, if you’re like many business owners.
Money flows into your business – and without a solid map for your money, it will likely flow back out to your vendors, Uncle Sam, and other overhead outlets.
Please, don’t make this mistake!
There are so many ways in which you can create a map for your money.
We recommend the Profit First system – take five minutes and see how the Profit First system works: https://hilaryhendershott.com/what-if-you-ran-a-profit-first-business/
If you aren’t planning for the expenses you know are coming, after it happens once, you’re just setting yourself up for failure.
With the right strategy in place, you can strengthen your business, avoid money mistakes, and create the lifestyle you crave.
Not sure how to do all of this on your own? Our Money Blueprint Program for business owners is a 12-month program that focuses on all of this and so much more!
If you’re tired of making the same money mistakes over and over in your life and business, check out The Money Blueprint ProgramSM.
You don’t have to make money mistakes. It’s not an inevitable reality or a badge of honor to see how much mistakes can cost you in your business.
We can show you a better way. A more profitable, kinder way of growing your business.
To your prosperity,
Your HWM Money Mavens