The Business Model for the Mama in Business
Jul 19, 2023
One of the first things I look for when I begin working with a new client is how they make their money.
As a homeschooling mama in business, how I make my money is just as important, if not more important, than how much I make. Don’t get me wrong, I want to make lots of money - enough money to take care of my family and create generational wealth for my children - but I don’t want to trade time for money. I need time to homeschool my children, build connection and make memories!
I absolutely love the fact that we homeschool! I wouldn’t trade it for the world. And while it’s made entrepreneurship a bit more challenging in some ways, it’s also made it easier and more enjoyable in other ways! [That’s a story for another time!]
I know that my story isn’t unique. There are a lot of homeschooling mamas in business who are juggling motherhood and entrepreneurship. My mission is to help them do it efficiently and successfully!
Which is why I want to introduce you to two business concepts that will change the way you do business as a homeschooling mama!
RECURRING REVENUE
The first is recurring revenue. Recurring revenue is the portion of your revenue that is expected to continue into the future via regular interval payments (monthly, quarterly, yearly).
Example: You sign a client who opts to pay for your services on a payment plan. The total package is $1500 and the payment plan terms allow them to pay $300 upfront and each month thereafter for an additional 4 months. During each of those 4 months, you can expect a $300 payment, therefore you won’t be starting from 0, you are starting at $300.
Pay-in-full clients are often put on a pedestal and chosen as the preferred and superior payment method, but I couldn’t disagree more! I love that I can depend on income each month before it even starts. Selling is a lot easier and less pressure-filled when you aren’t having to start back at $0 each month.
The goal: Work towards achieving as close to 100% of your monthly income goal in recurring revenue as possible. Anything you make over that in one-time sales and pay in full clients is a welcomed bonus!
60/30/10 BUSINESS MODEL
The second concept is one I have coined the 60/30/10 Business Model. This is the business model that I used to scale both of my businesses to 6 figures and that I now encourage my clients to replicate.
Here’s the breakdown of it:
60% of your income comes from 1:many offers.
30% of your income comes from 1:1 work.
10% of your income comes from one-and-done offers.
What does each of these mean?
A 1:many offer (one-to-many) is a type of group offer. It literally means you work with many people in one offer. Think of group coaching programs, courses, masterclasses, masterminds, memberships, etc.
A 1:1 offer is when you work with your client in a one-to-one capacity. This offer is usually for an extended period of time - 3 months, 6 months, 1 year. These clients have direct access to you.
A one-and-done offer is when you work with your client on a very specific project and services are rendered over a short period of time - 90 mins, one day, one weekend, one week, etc. Think of VIP days, 7 days of Voxer support, a 90 min strategy call, etc.
The goal: To adopt this business model so you are creating more time and more money simultaneously!
Because what is money if you don’t have the time to enjoy it?
Unfortunately, mamas in business are taught that they way to build success is by filling up their 1:1 clientele. But I am not interested in building a 1:1 practice; I’m not interested in replicating the things I hated most about my 9-5.
I am interested in finding a way to do what I love without trading time for money or having to sacrifice money in the name of time.
Focusing on serving more people at one time versus one person at a time has transformed the way I do business!
So what do these two concepts have to do with one other?
When the bulk of your recurring revenue comes from 1:many offers, you begin to achieve higher income months without trading time for money!
Like I said, my clients are mamas in business, who aren’t interested in “getting to the top” if it means they can’t bring their families with them!
How you make your money is just as important as how much you make!
If you found this post inspiring, but more importantly, helpful, you’ll want to check out my free Masterclass - Mamas Do It Different - where I dive into the different way that mamas, homeschooling mamas included, can build a successful business while simultaneously creating more time to do what they want with their time - in my case that is creating a thriving homeschool experience for my kids!
Click the link and go watch it now!