Key Distinctions That Helped Me Triple My Net Profits
Yuli Azarch | November 7, 2017 | No Comments on Key Distinctions That Helped Me Triple My Net Profits
In this episode, I am going to share the key abilities I have gained that, I believe, directly helped me to scale my business and increase my profits from $10,000 to almost $40,000 within one year, quadrupling my income.
Lessons from this episode:
- How to Set Executable Goals
- Choosing What To Focus On and Growing Your Business
- Gaining Mental Focus In The Middle of The Storm
- Learning to Compound
How To Set Executable Goals
I really believe you have to set big goals for yourself. A few years ago, I was earning $10,000 of monthly income and set myself the goal of making $15,000. I’ve always been a big fan of setting myself audacious goals, 5x,10X my net profits, because I believe that’s where true growth and creativity comes from.
Six months later, I had accomplished my goal of getting $15,000 in revenue, but I got stuck there for an almost a year and a half. Man, it was frustrating.
Choosing What To Focus On and Growing Your Business
One of the things that really helped me last year to increase my profits was, basically, choosing what to focus on.
Back then, I was pretty scattered and with many fronts open: an eCommerce focused on eBay and Amazon, I was doing coaching at that time, had a marketing business, and a SaaS business.
I was doing so many things and had so many things on my plate and feeling scattered all around the place. I had many businesses, but they were all completely different and didn’t support one another.
What I did last year, and I know it sounds like a step back is that I stopped most of my businesses completely. Didn’t sell them; I just stopped and decided to double down on my two businesses with the most potential: an Amazon, e-commerce business and a Software as a Service (SaaS) platform.
I completely cut the rest of my ventures and focused on these two. Now, one of the realizations I had is that I was able to quadruple my income last year, almost getting to $50,000
Gaining Mental Focus In The Middle of The Storm
In the past, I had around six businesses and that got me around $10,000 monthly. It was great; it was not a bad amount, either, and it’s a lot of money for some people and even for me. But, if I would’ve kept doing the same thing I was doing, I wouldn’t have been able to quadruple my income.
To do it, I had to take a step back which literally cut thousands of dollars of net profits, but it was the right thing to do. I had to take one step back to take three forward.
What happened is that by cutting some of my businesses, I gained focus. Before, my attention and energy were scattered around six different things. Now I had only two and could preserve my mental energy.
Learning to Compound
Let me try to explain what compounding is. When you compound something, you start small and after a while it gets really big.If you keep compounding, you’re using your business to build itself. It also saves you a lot of mental energy, but after a while, when you focus your energy on the things that can make you money, you begin to see the differences.
I started to compound and every action, even if it’s a small one, grows larger with time and increases my net profits. The same works for both my e-commerce and my SaaS business, which bring me around $40,000.
But, all in all, I believe that different growth moments require different growth strategies and what helped my 10X my business to get $40,000 in revenue, might not work to get me $100,000.
Maybe, I might need to cut one of my businesses and focus entirely on it. At that time, I’ll let the compounding do its job and see my businesses grow on its own through small actions.
By cutting my less profitable businesses and focusing on the ones I could build, I realized I can get a bigger net profit while keeping my mental energy intact, which is something that helps me feel happier and in peace.
Last Words and Key Takeaways
- Each little action you do to grow your business will increase your net profit in the long run
- Don’t set goals you’re not willing to achieve
- Sometimes, in business, it’s one step back, two steps forward.
- Focus on your most profitable businesses and make them grow even more
All the best until next episode,