The Truth Behind A Quarter of a Million in 18 Months
“Your business needs fuel to start. There are only two types of fuel: time and money.”
Janelle Lara
There are plenty of high-level business speakers out there who throw out a lot of big numbers. But they don’t share the behind-the-scenes reality of what it takes to start a successful business.
I want to give you the truth behind what it’s taken to reach a quarter of a million dollars in sales in my business. It didn’t come without sacrifices, but here’s the reality behind building a multi-six-figure business in 18 months while working part-time.
Fueling Your Business Growth
A car uses the most gas when it starts and is accelerating to 40 miles per hour. But between 40 and 60 miles per hour, it starts to coast and reach an optimal gas mileage. That’s exactly how any business operates.
“Cars use the most gas when they’re starting. Business is the same way.”
- Janelle Lara (9:08-9:18)
When you’re starting a business, expect to break even in its first year. If your return is equal to the investment you’ve put into your business, then you’re doing well.
I made a profit in my first year in business. But if I had just broken even, it still would've been a good business year. So remember that your business will use the most gas when it's getting started and ramping up.
I’m going to give you an inside look into my business, including real numbers:
Gross sales: $249,497
Amount collected: $170,000
I have a 12-month program, so my gross sales are going to be paid out over the next 12 months. The $170,000 is what I’ve collected over the past 18 months.
These amounts equal three times what I earned as an assistant principal and five times what I grossed as a fourth-grade teacher.
But here’s the kicker: My business expenses have totaled around $100,000. Fifty percent of that has gone to operating expenses like software and personnel, client gifts, and content creation tools such as lighting gear and microphone. Personnel expenses include my accountant, attorney fees for contracts, and my podcast production team.
The other 50% has been re-invested into my business, totaling around $50,000. This includes coaching and business events I’ve attended or will be attending soon.
Reinvesting into your business is like adding fuel to the automobile. It’s the fuel that keeps the engine in your business going.
Money is Renewable...Your Time Isn’t
Even though I’ve put six figures back into my business, it’s important to remember the importance of being profitable. You can’t just reinvest everything back into your business.
That’s why I'm going to start reducing expenses and making my business even more profitable. I’m going to focus on generating cold traffic in 2020, which will require another financial investment.
So far, I’ve built this business through organic traffic. In order to reach seven figures, I’m going to run paid ads, which can help me grow my audience without having to invest more of my time.
“The big next-level decisions are always scary because they’re unknown. There are no guarantees.” - Janelle Lara (18:43-19:00)
As a business owner, you need to take those big steps and make big decisions, and it’s going to be scary. But that’s why they call it the hero’s journey. If succeeding in business was easy, everyone would be doing it.
It’s your turn to be brave and step up to the big decisions in your own business and in life. When you do that, you start to see new levels of growth and success.
How to get involved
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For more resources, information on my coaching services, and a whole community of Part-Time CEOs, find me on Facebook at The Part-Time CEO® Group, my website, or email me at janelle@janellelara.com.
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