As business owners, we all wear a lot of hats. Some of you are the head of every department! Some of our tasks are essential to business operations and some are just fun. It is important to make sure that we are putting importance on revenue generating tasks that add to our bottom line since this is how we are able to stay in business!
It is easy to get wrapped up in maintaining social media, or participating in styled photo shoots. Those are the fun things! Often, the things that bring in money such invoicing payments and responding to new leads are a lot less creative and exciting.
Simply put, you need to figure out how you spend your time and how much of that time adds to your bottom line. I do this through a scorecard system that I learned from my business coach.
|Activity||Social Media||Creating New Revenue Streams||Invoicing Clients|
|Styled Photo Shoots||Networking Events||Following up with leads|
$= No immediate revenue gain
$$=Potential to bring in revenue in the near future
The way the chart works is to divide up all of your tasks into three categories. Every business owner will divide up his or her tasks differently, but you know what brings in money and what does not. After you have everything divided, track your tasks on a daily basis. Add up how much time you are spending in each category. If the majority of your day is spent in the $ column then you are not really bringing much revenue to your business. You want to be working in the $$-$$$ range to see a difference in your bottom line.
You can also use this to determine what tasks you can outsource to an intern or an employee. Anything in the $ column is probably not something that needs your hands-on attention, so delegate away! If you have no one to delegate to then make sure all the tasks in the high dollar categories are given priority in your day. This will ensure that the tasks that bring you money will be completed before you dive into those other non-revenue generating activities.
Today’s post is a guest post from Amber Peterson. Amber is the owner of Cheers Wedding & Event Planning in western Washington. She has a Masters Degree in Integrated Marketing Communications and previously worked as a marketing consultant for wedding industry professionals. Amber is also the co-founder of the Skagit Wedding Society.