Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
(00:00):
Welcome to Work from your Happy Plays, the podcast that equips you with a
knowledge and inspiration to live your dreamsand find your own happy plays. You
will be encouraged by and learn fromentrepreneurs and artists who are already working from
their happy plays, all while pursuingtheir passion with a purpose. Be sure
(00:20):
to sign up for our free weeklynewsletter for our recap of the week's guests
and a preview of what's in store. We also have two special gifts for
you, a video, the fiveor Principles to living a half year life,
and a printable download title Top tensales Strategies Go to work for your
happy place dot com, forward slashfree. Fill out the attached form to
(00:43):
receive your gifts and be added toour newsletter. And now here's your host,
Belinda Ellsworth. Hello everyone, andwelcome back to our Tuesday Tip.
I'm Belinda Ellsworth and I'm so excitedto be sharing this series with you,
the Top ten stakes that people makein business, and today is part four
of that series. So if youare just tuning in, maybe you just
(01:07):
found our podcast, then I reallywant to encourage you to go back and
every Tuesday listen to Part one,Part two, and part three and you
then will benefit from all of thesetop ten tips. So lots begin with
today's topic, and that is whatis one of the biggest mistakes that people
(01:29):
make in business? Now. Idivided these into the top five and then
six through ten, and the topfive are really designed for people that maybe
haven't started a business at all,are just brand new to starting their business.
Maybe they're just trying to scale theirbusiness, and maybe they're starting a
(01:52):
new subsection of their business. Andthen the last sixth through ten are more
about how do you continue on businessand how do you continue to have a
successful business. So number four ispeople do not have a budget and they
spend too much money. You needto have a budget for the different things
(02:16):
that you are going to spend,whether that may be on software, or
it could be on your products.It could be maybe an employee or a
VA that you're hiring. Maybe you'renot hiring anybody straight out of the gate,
But what is that budget, becausewhat can happen is if you don't
(02:38):
have one as a general whole,like this is the budget that I can
spend and launching this business. Sothat's number one, and then number two,
you need to break that budget downinto different categories because when you start
spending more that you have, andthen you've spent all of your money on
(02:59):
one particular killer area that isn't goingto allow you to launch on time,
or isn't going to allow you totake your product to market, then suddenly
you're like, oh my gosh,what am I going to do? Now?
This can happen really easily. I'llgive you a perfect example. When
you are looking at purchasing products now, almost anywhere you're going to purchase those
(03:23):
from, you're going to get abetter deal if you purchase more, and
they make it very enticing. Infact, if you buy a hundred of
something, you're going to get thisprice. If you buy five hundred of
something, you're going to get thisprice. And if you buy a thousand,
well gosh, your price is reallygoing to be low. And so
(03:44):
then you start thinking, Wow,that's the smarter way to go, But
how do you even know you're goingto sell a thousand of them? It's
actually better to have a budget aroundyour product and then say I'm going to
spend this. I'll start with thehundred, We'll see how it goes.
If I have to order another fivehundred, then I'll have some money from
(04:06):
the hundred and I'll be able todo that. You're always going to be
able to order more and get thatbetter deal. But when you spend all
of your money and buying a thousandof a particular product so that you can
save sometimes you know, a fewhundred dollars, that's not smart and it's
(04:27):
easy to do. That's an easyone to lose sight of your budget.
But if you've got a very specificbudget around that, then you're like,
Okay, I can do this,I can do this. It's the same
thing. Something might be a littlebit more from one company and their amount
(04:47):
that you have to purchase is lower, so you can say, all right,
I'm paying a little bit more,but I'm going to go there,
and I can always switch. Youcan always switch, you can always buy
more. And one little trick thatI have learned is I will if you
(05:09):
just tell people to give you aquote. Sometimes it's really it's all over
the place. But if I tellthem, like, give me a quote
for this, this and this,and I know that I want to be
more in that middle range, itis amazing how they will start to give
you those better deals earlier than whatthey might have done. Like sometimes even
(05:33):
in printing, I will say couldyou quote me on this price? And
I'll say a thousand, twenty fivehundred or five thousand of something. But
now I've learned that if I dothat, the big price break is always
at the top, right. Butif I say, hey, I need
a quote on two fifty a thousandand two thousand, they'll still give me
(05:57):
the better break. In fact,I have seen the same discount at the
two thousand amount than when I hadasked for a five thousand amount. So
be careful when you're asking for quotesbecause I found that once it hits over
a certain amount, that's as biga discount that they're going to give you.
And you can oftentimes get that greaterdiscount by asking for smaller increment quotes
(06:21):
to begin with. So that's mybig piece of advice there. Not having
a budget at all. You couldend up buying all of that product and
then you have no money at allto send out any kind of do any
Facebook ads, maybe even if youwant to do three dollars a day to
(06:42):
build your list or whatever it isthat you're going to do, or suddenly
you need some tweaks to your websitebecause your sales page isn't doing really well,
or you haven't even had your salespage made yet. Also find get
different quotes and get different references.Like if somebody's quoting you something to build
(07:03):
a website and it's eight thousand dollars, we'll get three quotes first from different
people, and then ask that individualfor some references. Who is somebody that
they've done work with. This isone of the biggest mistakes also that people
make in business, is not gettingany references, because then you end up
(07:25):
hiring somebody that really can't do thejob, and you end up blowing all
of your money that you had inthat budget for that particular area, and
then you have no more money toactually do it right or to do it
well. I've been in business fornearly thirty years, and I just recently
got burned myself. Why because Igot excited because the referral had came from
(07:48):
a friend, But it turned outthe friend just had heard about the referral
from someone else, so they didn'teven really know if the person really was
legit or good. But I didn'task, and even though it came from
my friend. It should not haveassumed, and I should have asked the
person could I have three references?Because if they can't give you a reference
(08:13):
on anybody else they've worked with andhow happy they are with their work,
then you probably shouldn't be spending yourbudget, maybe the only budget that you
have, on this individual. Andtrust me, like I said, I've
been doing business for nearly thirty yearsand I fell prey to it myself once
(08:35):
again, and it's happened many timesover the years. So big advice there.
It's kind of a different category,but it definitely goes with budget because
you only have so much money andyou need to break that down into the
different areas that you're going to beworking your business. So that's the important
piece. If you are launching yourbusiness or working on your business, you
(08:58):
need to really sit down and breakit down to what everything you're going to
need, break it down into differentcategories. Set an exact budget for overall
how much you have to launch thisthing, and then break that down into
the different categories of the things you'regoing to need, and don't spend more
than your allotted budget on that particularitem. I don't know if you've ever
(09:24):
built a house or did a projectlike that. But your builder will give
you an allowance. It's a budget, and I'm trying to help you all
to maybe understand this a little bitbetter. And they will give you a
budget for almost everything. They'll giveyou a budget for flooring, They'll give
you a budget for woodwork, They'llgive you a budget for windows. They'll
(09:46):
give you a budget for kitching calendarsor kitchen cabinets, or the plumbing right
like your sinks and your faucets andall of that sort of thing. And
so you have to stay with inthat budget or at the end of the
day you're not going to have enoughmoney to finish the house. Now,
(10:07):
most of us can kind of understandthat, but yet when it comes to
business and building our own businesses,we don't treat it the exact same way.
So when I was building my home, I knew that there was two
areas that I was going to blowthat budget, and I didn't care.
(10:33):
But consequently I had to do oneof two things in order to blow of
that budget. Number one, Ineeded to take from some of the other
areas on that list of items andbudget that I had that was either number
one or number two. I hadto save up the difference to be able
(10:58):
to pay for it at the timeof doing it. That's what I chose
to do. I tried to takea little bit from here and there,
but really the budgets were pretty accurateof probably what needed to be spent.
But I knew that on my windowsthat was not the budget I was going
with because that was the most importantthing to me. So what did I
(11:20):
do. I saved up the differenceand paid for that so that I still
was on budget with the entire home. So that's the same way that your
business works. You need to takeit down. Think of it like building
a house, and so break itdown to things like your cabinets, your
(11:41):
kitchen, appliances, like all ofit, and it's things like products and
shipping and bookkeeping and social media andyour email platform and any other different types
of software. Platforms are plugins thatyou might need to get your landing page
(12:05):
or your website to work correctly withwhat you want to do, Or you're
going to have a shopping cart,is that what you're going to need?
What platform when you're going to usefor that? What platform when you're going
to use for taking money from peopleand being able to do that like a
merchant account. So like, allof these things need to be broken down
(12:26):
so that you know exactly what you'respending and that you can get to launch
with your business and you're not comingup short at the end. So that's
my Tuesday tip today. I hopethat is helpful. It is such a
big deal. And yet when Iask people what their budget is, guess
what my number one answer that Iget when I'm consulting with people, Well,
(12:50):
I don't really have a budget,and I'm like, okay, well
we need a budget. Well,you know, I mean at the end
of the day, I'm going tohave to get what I have to get.
Nope, at the end of theday, you need to be able
to launch successfully, and we needto make sure that we're not overspending in
one particular area so that then youcan't complete the other areas in order to
(13:15):
get to launch. People don't understandthat. So when I say to you
it's one of the top ten mistakes, it's because I hear all the time,
Oh, I don't have a budget, and it's okay, it probably
isn't. So think about that realhard my friends. Thank you so much
for tuning in today. I hopethat you'll follow this entire ten tip process
(13:35):
on the biggest mistakes that people makein starting or running a business, and
I hope that you'll share this witha friend. I'm sure that you know
of someone that is thinking of startinga business, or maybe they have just
started their business, and this wouldbe really good advice for them. But
please share this with a friend sothat they can benefit and because we appreciate
(13:58):
it, and this is how wegrow as a podcast. So thanks so
much for tuning in. Follow upsor subscribe, and you know what,
leave us a review. That's reallywhat helps us grow and it kind of
helps that whole algorithm and how itgets pushed out to a lot more people.
So we love to hear from you. We appreciate your reviews so much,
(14:20):
so if you could take the timeto leave us one, that would
be amazing, and we have madeit real easy for you. The details
are in the show notes. Thankseverybody, and we'll see you next week
as we continue our top ten mistakesthat people make in business. Bye for now.
Welcome to Work from your Happy Plays, the podcast that equips you with a
knowledge and inspiration to live your dreamsand find your own happy plays. You
will be encouraged by and learn fromentrepreneurs and artists who are already working from
their happy plays, all while pursuingtheir passion with a purpose. Be sure
(00:20):
to sign up for our free weeklynewsletter for our recap of the week's guests
and a preview of what's in store. We also have two special gifts for
you, a video, the fiveor Principles to living a half year life,
and a printable download title Top tensales Strategies Go to work for your
happy place dot com, forward slashfree. Fill out the attached form to
(00:43):
receive your gifts and be added toour newsletter. And now here's your host,
Belinda Ellsworth. Hello everyone, andwelcome back to our Tuesday Tip.
I'm Belinda Ellsworth and I'm so excitedto be sharing this series with you,
the Top ten stakes that people makein business, and today is part four
of that series. So if youare just tuning in, maybe you just
(01:07):
found our podcast, then I reallywant to encourage you to go back and
every Tuesday listen to Part one,Part two, and part three and you
then will benefit from all of thesetop ten tips. So lots begin with
today's topic, and that is whatis one of the biggest mistakes that people
(01:29):
make in business? Now. Idivided these into the top five and then
six through ten, and the topfive are really designed for people that maybe
haven't started a business at all,are just brand new to starting their business.
Maybe they're just trying to scale theirbusiness, and maybe they're starting a
(01:52):
new subsection of their business. Andthen the last sixth through ten are more
about how do you continue on businessand how do you continue to have a
successful business. So number four ispeople do not have a budget and they
spend too much money. You needto have a budget for the different things
(02:16):
that you are going to spend,whether that may be on software, or
it could be on your products.It could be maybe an employee or a
VA that you're hiring. Maybe you'renot hiring anybody straight out of the gate,
But what is that budget, becausewhat can happen is if you don't
(02:38):
have one as a general whole,like this is the budget that I can
spend and launching this business. Sothat's number one, and then number two,
you need to break that budget downinto different categories because when you start
spending more that you have, andthen you've spent all of your money on
(02:59):
one particular killer area that isn't goingto allow you to launch on time,
or isn't going to allow you totake your product to market, then suddenly
you're like, oh my gosh,what am I going to do? Now?
This can happen really easily. I'llgive you a perfect example. When
you are looking at purchasing products now, almost anywhere you're going to purchase those
(03:23):
from, you're going to get abetter deal if you purchase more, and
they make it very enticing. Infact, if you buy a hundred of
something, you're going to get thisprice. If you buy five hundred of
something, you're going to get thisprice. And if you buy a thousand,
well gosh, your price is reallygoing to be low. And so
(03:44):
then you start thinking, Wow,that's the smarter way to go, But
how do you even know you're goingto sell a thousand of them? It's
actually better to have a budget aroundyour product and then say I'm going to
spend this. I'll start with thehundred, We'll see how it goes.
If I have to order another fivehundred, then I'll have some money from
(04:06):
the hundred and I'll be able todo that. You're always going to be
able to order more and get thatbetter deal. But when you spend all
of your money and buying a thousandof a particular product so that you can
save sometimes you know, a fewhundred dollars, that's not smart and it's
(04:27):
easy to do. That's an easyone to lose sight of your budget.
But if you've got a very specificbudget around that, then you're like,
Okay, I can do this,I can do this. It's the same
thing. Something might be a littlebit more from one company and their amount
(04:47):
that you have to purchase is lower, so you can say, all right,
I'm paying a little bit more,but I'm going to go there,
and I can always switch. Youcan always switch, you can always buy
more. And one little trick thatI have learned is I will if you
(05:09):
just tell people to give you aquote. Sometimes it's really it's all over
the place. But if I tellthem, like, give me a quote
for this, this and this,and I know that I want to be
more in that middle range, itis amazing how they will start to give
you those better deals earlier than whatthey might have done. Like sometimes even
(05:33):
in printing, I will say couldyou quote me on this price? And
I'll say a thousand, twenty fivehundred or five thousand of something. But
now I've learned that if I dothat, the big price break is always
at the top, right. Butif I say, hey, I need
a quote on two fifty a thousandand two thousand, they'll still give me
(05:57):
the better break. In fact,I have seen the same discount at the
two thousand amount than when I hadasked for a five thousand amount. So
be careful when you're asking for quotesbecause I found that once it hits over
a certain amount, that's as biga discount that they're going to give you.
And you can oftentimes get that greaterdiscount by asking for smaller increment quotes
(06:21):
to begin with. So that's mybig piece of advice there. Not having
a budget at all. You couldend up buying all of that product and
then you have no money at allto send out any kind of do any
Facebook ads, maybe even if youwant to do three dollars a day to
(06:42):
build your list or whatever it isthat you're going to do, or suddenly
you need some tweaks to your websitebecause your sales page isn't doing really well,
or you haven't even had your salespage made yet. Also find get
different quotes and get different references.Like if somebody's quoting you something to build
(07:03):
a website and it's eight thousand dollars, we'll get three quotes first from different
people, and then ask that individualfor some references. Who is somebody that
they've done work with. This isone of the biggest mistakes also that people
make in business, is not gettingany references, because then you end up
(07:25):
hiring somebody that really can't do thejob, and you end up blowing all
of your money that you had inthat budget for that particular area, and
then you have no more money toactually do it right or to do it
well. I've been in business fornearly thirty years, and I just recently
got burned myself. Why because Igot excited because the referral had came from
(07:48):
a friend, But it turned outthe friend just had heard about the referral
from someone else, so they didn'teven really know if the person really was
legit or good. But I didn'task, and even though it came from
my friend. It should not haveassumed, and I should have asked the
person could I have three references?Because if they can't give you a reference
(08:13):
on anybody else they've worked with andhow happy they are with their work,
then you probably shouldn't be spending yourbudget, maybe the only budget that you
have, on this individual. Andtrust me, like I said, I've
been doing business for nearly thirty yearsand I fell prey to it myself once
(08:35):
again, and it's happened many timesover the years. So big advice there.
It's kind of a different category,but it definitely goes with budget because
you only have so much money andyou need to break that down into the
different areas that you're going to beworking your business. So that's the important
piece. If you are launching yourbusiness or working on your business, you
(08:58):
need to really sit down and breakit down to what everything you're going to
need, break it down into differentcategories. Set an exact budget for overall
how much you have to launch thisthing, and then break that down into
the different categories of the things you'regoing to need, and don't spend more
than your allotted budget on that particularitem. I don't know if you've ever
(09:24):
built a house or did a projectlike that. But your builder will give
you an allowance. It's a budget, and I'm trying to help you all
to maybe understand this a little bitbetter. And they will give you a
budget for almost everything. They'll giveyou a budget for flooring, They'll give
you a budget for woodwork, They'llgive you a budget for windows. They'll
(09:46):
give you a budget for kitching calendarsor kitchen cabinets, or the plumbing right
like your sinks and your faucets andall of that sort of thing. And
so you have to stay with inthat budget or at the end of the
day you're not going to have enoughmoney to finish the house. Now,
(10:07):
most of us can kind of understandthat, but yet when it comes to
business and building our own businesses,we don't treat it the exact same way.
So when I was building my home, I knew that there was two
areas that I was going to blowthat budget, and I didn't care.
(10:33):
But consequently I had to do oneof two things in order to blow of
that budget. Number one, Ineeded to take from some of the other
areas on that list of items andbudget that I had that was either number
one or number two. I hadto save up the difference to be able
(10:58):
to pay for it at the timeof doing it. That's what I chose
to do. I tried to takea little bit from here and there,
but really the budgets were pretty accurateof probably what needed to be spent.
But I knew that on my windowsthat was not the budget I was going
with because that was the most importantthing to me. So what did I
(11:20):
do. I saved up the differenceand paid for that so that I still
was on budget with the entire home. So that's the same way that your
business works. You need to takeit down. Think of it like building
a house, and so break itdown to things like your cabinets, your
(11:41):
kitchen, appliances, like all ofit, and it's things like products and
shipping and bookkeeping and social media andyour email platform and any other different types
of software. Platforms are plugins thatyou might need to get your landing page
(12:05):
or your website to work correctly withwhat you want to do, Or you're
going to have a shopping cart,is that what you're going to need?
What platform when you're going to usefor that? What platform when you're going
to use for taking money from peopleand being able to do that like a
merchant account. So like, allof these things need to be broken down
(12:26):
so that you know exactly what you'respending and that you can get to launch
with your business and you're not comingup short at the end. So that's
my Tuesday tip today. I hopethat is helpful. It is such a
big deal. And yet when Iask people what their budget is, guess
what my number one answer that Iget when I'm consulting with people, Well,
(12:50):
I don't really have a budget,and I'm like, okay, well
we need a budget. Well,you know, I mean at the end
of the day, I'm going tohave to get what I have to get.
Nope, at the end of theday, you need to be able
to launch successfully, and we needto make sure that we're not overspending in
one particular area so that then youcan't complete the other areas in order to
(13:15):
get to launch. People don't understandthat. So when I say to you
it's one of the top ten mistakes, it's because I hear all the time,
Oh, I don't have a budget, and it's okay, it probably
isn't. So think about that realhard my friends. Thank you so much
for tuning in today. I hopethat you'll follow this entire ten tip process
(13:35):
on the biggest mistakes that people makein starting or running a business, and
I hope that you'll share this witha friend. I'm sure that you know
of someone that is thinking of startinga business, or maybe they have just
started their business, and this wouldbe really good advice for them. But
please share this with a friend sothat they can benefit and because we appreciate
(13:58):
it, and this is how wegrow as a podcast. So thanks so
much for tuning in. Follow upsor subscribe, and you know what,
leave us a review. That's reallywhat helps us grow and it kind of
helps that whole algorithm and how itgets pushed out to a lot more people.
So we love to hear from you. We appreciate your reviews so much,
(14:20):
so if you could take the timeto leave us one, that would
be amazing, and we have madeit real easy for you. The details
are in the show notes. Thankseverybody, and we'll see you next week
as we continue our top ten mistakesthat people make in business. Bye for now.
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