On today's episode of the Unf*ck Your Biz podcast I review my March profit report and discuss my plans for Q2. If you’re new to the podcast, check out episode 186 where I reintroduced Profit Reports back to the podcast.
I don't think enough business owners share their numbers and if I'm teaching you how to be more profitable in your business, I think it's important to share more about mine. I'm starting to call it the client to piggy bank pipeline - how to get more of the money you're getting from your clients into your personal bank account while saving for taxes, covering expenses, and legally protecting the money that you're making from lawsuits or fines. Every business looks different, so consider my profit report just an example.
My goal for year is to have $15,000 months, so a $45,000 Q1. I slightly exceeded my goal in January with $16,000. February was a bit of a down month with $9,000. I did a lot of promotion in January. In February a lot of the income came from my membership and Contract Vault, with not as many sales of the tax season playbook as I had projected.
Spoiler alert, this was not my best profit month. In fact, I didn't even come close to my February profit goal, but that's business.
On February's profit report (listen here) I talked about my goals for 2022. We are trying to book 25 PR spots each quarter. I have a goal for downloads of my own podcast so if you're reading this and loving this episode, please share it with your friends. My good, better, best goals for revenue this year are $200k, $225k, and $250k, with 70% profit. Q4 is typically my highest revenue quarter so doing projections is often a roll of the dice. My Q1 goal is to hit $45k in revenue. My goal for MRR (Monthly Recurring Revenue) is $5,000 - $6,000 with my expenses never exceeding 40% of my MRR.
My March goals were:
Hit 80% profit
$20k revenue mark to make up for the revenue lost in February
$8,000 in Profit Rx sales
$1,500 in Contract Vault sales
$300 Speaking Fee
$750 in Tax Season Playbook sales
20 sales of Renee Dalo's Bundle
Book 2 VIP 1:1 Days but up to 6 depending on how revenue is tracking
I did not quite make the $15 or $20,000 goal. I finished March with $13,500 in gross revenue. Overall, I was fairly happy, especially considering I didn't book any substantial 1:1 work.
Here's where I ended up in March:
77% profit - $3000 in expenses, just regular recurring expenses with the biggest chunk, about $2k, of that going toward my contractors. I do not calculate profit including my own personal salary
$8,118 in Profit Rx sales - I did a content-only membership tier launch
$3,100 in Contract Vault sales
$300 Speaking Fee
$200 in Tax Season Playbook sales - I rolled this into Profit Rx a few days into March and it was no longer for sale on its own
$110 in Unf*ck Your Biz book sales
$1,000 in affiliate sales - I cashed out a few months' worth in March so a lot of this is from the past 3 months. A few hundred is from Novo, the bank account app that I use. I am also now affiliated with a book keeping firm that I refer.
8 sales of Renee Dalo's Bundle
What lessons am I taking away from this to set goals in April? My current MRR - Monthly Recurring Revenue (your payment plans/memberships) is $6,435. The great thing about recurring revenue is I can assume I will make $6,400 in revenue next month. There will be churn (the people who cancel and drop off) however I anticipate additional people will sign up to offset the churn.
We had 41 sign-ups for the free 2 months that were included in the Profitable Pro bundle that wedding pros purchased through the Profitable Pro Bundle. If these people stick around and start paying when the 2 free months are up, there will be an uptick in revenue in May. I'm hoping 20-25 of them will stick around. When you give a membership in a bundle, sign-ups are lower but the interest tends to be higher because you are entering credit card information for the recurring payments that will start after the 2 free months are up.
My goals for April
$18,000 in revenue
$6,435 in MRR
3-5 Profit Rx member sign-ups per week - 15 people at our monthly fee and about 5 people on our annual fee
50 Contract Vault sales $1,500. After Q1 my goals was to sell 30 Contract Vaults per month. I'm moving my goal up to 50 though it keeps out performing so we will see.
2 Speaking Engagements totaling $600 - $1000
Profit Rx Textbook sales - $2,500
More affiliate sales. In March I teamed up with a life coaching friend who included a free bonus for her launch to give her buyers access to my contract vault. I gave her a promo code that her audience could use to get my Contract Vault, kept track of how many sign-ups I had with that code, and then invoiced her for those sales. I will be using this method to gain more affiliates for the Contract Vault or free month(s) in Profit Rx.
Make up the $6,500 that I was behind on my goal in Q1. But what does that look like? Now $17,000 months? This can set you up for failure to keep increasing your goal depending on the goal. I am going for $18,000 in April which will be a stretch if I don't do any 1:1 work so if you are in the market for 1:1 services, send me a message.
Have a follow up questions or want to meet some fellow kickass biz owners who also are trying to get their shit legit? Come be a bestie and join us in the Facebook Group.
You'll learn: what the three mistakes are; how to fix them; and also how to work with me to get your legal & tax shit legit.