7-figures seems to be the new trendy goal these days. Almost every entrepreneur I talk to tells me that they want a 7-figure business. Yet, few actually make it to that level and even less stay at the level or move past it.
The solution to this issue can be summed up in the old adage “Less is More.” By focusing your efforts on acquiring and retaining fewer clients (but more of the RIGHT clients) for more money you can achieve sustainable growth with less stress.
The Solid Path to Scale
Sales are the easy part. With enough hustle and determination, almost any business can achieve an impressive amount of growth. The real trick is sustainability.
All too often, an entrepreneur gains traction only to burn out. That is why you see many successful entrepreneurs reach $30k -$100k / month levels, and then suddenly struggle to get past $10k / month.
Part of the issue is the entrepreneurial environment we operate in; “Churn and Burn” seems to be the standard operating procedure. However, this is a losing business model.
Without a retention level of at least 20%, you will constantly need to find and sell more clients just to maintain your business. That is the proverbial entrepreneurial treadmill where you run as hard as you can to find more clients, without actually ever-growing your business.
Sure, with enough sacrifice and hard work you can force the business to make money, but building systems and team while in the Churn and Burn model are impossible. Inevitably, you will burn out and watch your business crumble around you.
The only way to 7-figures and beyond is to first focus on providing enough value to a smaller portion of the Market that they become die-hard, lifelong fans.
Get Off the Treadmill
In Simon Sinek’s now-classic book “Start with Why,” he teaches that if you want to achieve success on a mass market scale you must first win 15 – 18% of your market. This is the tipping point; the difference between running on the treadmill and actually making progress on your journey.
Once you win that 15 – 18%, they become willing participants in your growth. They tell people about your business. They brag to their friends that they are using your service. They gladly pay your fees and suffer any minor inconvenience that may occur as you grow.
In short – the only way to grow your business so that it appeals to a mass market is to FIRST appeal to your super fans.
In theory, this means practicing what Sinek suggests in his book and finding your “Why.”
- Having a deeper motivation for yourself and your team
- Working for something bigger than yourself and your clients
- Inspiring those around you to create something truly amazing
In practice this means running your business a bit differently than what most people are doing by:
- Working with less clients, while also focusing on attracting only the RIGHT clients
- Charging more for your services, but driving clear and tangible ROI
- Knowing how your clients feel the value your service provides, and making sure you deliver that value with consistency
- Fine-tuning your Marketing for a certain type of client – even more specific than your typical “niching” process.
- Creating an offer that is truly valuable and different enough that your clients feel compelled to tell people about it.
This is the level of thinking that will lead you to a sustainable business that grows effortlessly.