3 Problems Every Business Owner Has (and how to fix them)

Have you ever been on the struggle bus with the money in your business?

At one point, every business owner has. No one is born knowing how to manage cash flow. No business has a perfect work/life balance on day 1. 

Every business owner rides the struggle bus when it comes to money. The only difference is how long each one stays on the bus. 

After helping hundreds of business owners find peace of mind with their money, I’ve learned there are 3 problems they all had in common.

Problem #1- No Idea Where Money Is Going

Cash gets deposited. You run payroll. A subscription auto-charges your account. A little more gets deposited. You go to pay yourself a paycheck and there’s not enough there. 

Most business owners have no idea what’s going on with their money. It feels like a chaotic mess. 

Solution: Clarity and Control of All Cash in the Business

There’s a mantra I tell all of my clients: We have to be proactive, not reactive, when it comes to our money. 

 What the H-E double hockey sticks does this look like?

The system my clients use (Profit First) gives them a game plan before money even enters their account. When a dollar comes into their business, they know exactly where it’s going to go and how it will be used. 

Problem #2- Not Paying Yourself What You’re Worth

Why do we go into business to not pay ourselves?!

Why do we leave a 9-5 to start our own business? Why do we risk so much to pay ourselves so little?

Hopefully you have a noble mission for your business. I’m sure you are serving people, helping them improve their lives, and making a HUGE impact on your community. 

But let’s be honest- that’s probably not why you started your own business. You can make that same impact working for a company in your industry. 

We get into business for selfish reasons- and that’s okay! Whether it’s freedom of time, to earn more money, or the opportunity to work in your sweats (or commando- no judgements), the reason you risked everything to start your business is (and should be) rooted in slightly selfish reasons. 

Solution- Pay yourself more money, more consistently

Let’s pretend a company hired you to be the CEO. You now oversee everything the business does, and answer to everything. 

Now imagine being paid scraps after everything else is covered. Sometimes it’s weekly, sometimes it’s monthly. Sometimes you go to the business because your mortgage is due and you’re paid just enough to cover it. 

Sounds kind of ridiculous, right? Yet so many business owners do this to themselves. 

To find financial peace of mind, you need a paycheck you can count on. Pay yourself the same amount on a consistent basis. 

And to reward you for being the owner of the business, you should be taking quarterly profit bonuses. Seems impossible? My clients are doing it every quarter. 

Problem #3- My Business Feels Like a J-O-B

Remember when you were hired to be the CEO of that company? And how they paid you next to nothing?

I forgot to mention that they have you working 70 hours per week. Everything falls on you. It keeps you up at night. It keeps you away from your family. 

Sound familiar? Keep reading.

Solution- My Business Supports my Ideal Work/Life Balance

What does your ideal work week look like? What tasks would you do? How many hours would you put in?

Something that gets lost in growing a business is that we get to choose what it looks like. We get to craft the entire thing and how big of a part we play in it. 

Like I said earlier, your business should support your ideal personal lifestyle. So what does your ideal lifestyle look like? How much money will you need to take home to achieve it? Let’s build the business around that. 

To do this, you need some cash reserves. This will help you level out that “feast or famine” cycle. When revenue is good, you are able to fill the reserve. When revenue is down, you can pull from the reserve. Either way you are paid consistently. 

Finally, you’ll want to shift to an ownership role. This means working more on the business and less in it. Hiring the right people to offload tasks to.  

These are things I help my clients overcome everyday. And the results are huge. 

My clients are finding peace of mind with their money and making more than ever before. 

And I want you to be next. 

I want you to have clarity on where the money is going. 

I want you to be paid like a business owner. 

I want you to own a business and not a J-O-B.

If you’re ready to fix this, schedule a free coaching call now. On this call, you’ll walk away with clarity on where you stand now and what your end goal should be. You’ll be given clear action steps to take in order to make 2022 your best money year yet. 

Is Your Business Paying You Enough?

Take my FREE 60-second quiz and find out!

Leave a comment