You Too Can Build a $250,000 Business Model Faster and Easier Than You May Think!
Hello Again! It’s Jim DuBois with WindowWashingWealth.com, . Today we are going to imagine two different business revenue models. What it takes to build it, how it may look, and the challenges you will face.
$250,000 Business Model
First, let’s look at a $250,000 annual revenue business. Let’s just see how it could look. Remember, everything starts with revenue. I can teach you how to watch costs, study Profit and Loss statements, and what to pay employees to maximize your income. Right now, let’s focus on revenue and putting money in your company’s pocket. $25,000 is the average monthly goal we will be begin building to maintain and shooting for each month (depending on the season) to reach $250,000 annually. Let’s break this down and see how this could look on paper.
Let’s assume your business is a mix of residential and commercial storefronts.
$250,000 Annual Business Example Breakdown
Commercial Route Work : (year ‘round)
• 150 regularly serviced program accounts at $33 per month or $5,000+/m revenue. One Route! This is one full time employee. This is a mix of weekly, 2xm/m and 1x/m stores.
Residential: (10 months out of the year)
• 40 homes per month or 2 per day averaging $500 each is $20,000/m revenue. This is 2 full time employees.
• Add 1 full time administrative person in your office and you have your team. Assuming approximately 50% goes out to the field to technicians for payroll, gas, equipment and supplies or what we call the COGS. Another $2,000 to your admin, and then allowing for fixed and miscellaneous expenses and marketing and you my friend, with a quarter of a million dollar operation are netting $100,000 per year OFF THE GLASS! Congratulations! Believe me when I tell you, this is not hard to do…….by month 12!
$250,000 Annual Business Example Breakdown
Commercial Route Work:
• 300 regularly serviced program accounts at $33 per month or $10,000/m revenue. This is two full time employees – 2 Routes.
• 55 homes per month or 3 per day averaging $275 each or $15,000/m revenue. This is 1 full time and 1 part time employee.
• Add 1 full time administrative person in your office at $2,000/m and you have your team. Assuming approximately 50% goes out to the field to technicians for payroll gas, equipment and supplies or what we call the COGS.
• Add miscellaneous expenses of $2,000 and you my friend, with a quarter of a million dollar operation are netting $100,000+ per year. Congratulations! Believe me when I tell you, this is not difficult to do either…….by month 12!
What it takes:
Know what you want to do and set the targets to get there.
Scenario #1. The numbers say you will need to pick up an average $500/m in storefronts. For residential, you will need to slowly scale your marketing efforts to reach 40 homes per month. Just begin implementing some marketing.
Scenario #2. The numbers say you will need to pick up close to $1,000/m in storefronts. One decent salesperson will pick up $750 to $1,000 per month. For residential, just continue the ramp up to reach 55 homes per month. Design your plan to get there.
How it looks:
When your sights are set to get off the glass and you have an actual plan to get there, just stick to it. I can tell you, once you are off the glass, your world will change. Your business will change because now you’ve laid a foundation where you can work ON the business versus working IN it day after day. What does this mean? It means it will only become easier to scale your business to new heights.
The most difficult challenge is going to be hiring great people. And next the balance of work and technicians to get you to your target. Just put your attention on the plan using structure, policy, and seriousness to get where you want to go.
Continue reading below...
Don’t Stop Now. Keep Going!
Re-set your goal to $500,000 annual revenue. This is a respectable size business. Something to be extremely proud of. This is half way to a million. $50,000 is the monthly goal you will be shooting for each month on average to reach $500,000 annually (knowing we may lose 2 months in the off season for residential).
Just double one of the above scenarios. Build to 2 commercial storefront routes ($10,000/m) and add another 2-man team to residential for 4 technicians ($40,000/m).
Once reached, set new sights on $1,000,000 annually or $100,000 per month. Can it be done? Absolutely! So many window cleaners starting with just themselves and have done this and way beyond by using a similar plan. Set your targets, your end goals, hire great people, and implement some marketing to continue the growth.
In my 3-Day Brainstorm Bootcamps, I go deep into the exact "how-to’s" I call a Growth Trajectory Model. I identify your company’s vision, your long term business goals and then I create targets for you to reach with an exact strategy to get you there. Then we, together immediately begin implementation. It is a month to month process. The end goal is how much revenue do you want to reach per month at month 10, 11, or 12. Let’s say it is $30,000 per month. We brainstorm, strategize, and design the plan so you have a path to follow to reach that goal. My job is to get you there. You can do the same.
One of the biggest secrets to successful marketing is understanding that marketing is just a numbers game whether residential or commercial. You need to put the time in, in order to reap the big rewards. Anyone running a business will tell you that in order to establish any significant revenue growth you are going to have to get an understanding of sales, advertising and the overall concepts to marketing. Marketing yourself or marketing your business should be seen as no different than having a normal job interview. In a job interview, we tell the potential employer about our training, education, experience, etc. Selling your business services is no different.
Marketing is a process whereby you advertise your company to your prospective target market. Marketing can be carried out in many forms. Once you have begun the art of marketing, it does not stop there as it is an on-going process. It must be consistent and tracked for results to make sure each marketing strategy is beneficial and profitable. We use a Marketing Tracking Template that calculates the ROI so we know what is and what is not working. Keep in mind marketing is the backbone to any successful enterprise because without it in one form or another you won’t have a business.
How to “business build” is a must know subject that any window cleaning entrepreneur needs to understand if wanting to break through the brick wall to getting off the glass.
Marketing is the begin all and the end all to business. If you start marketing, revenue builds. If you stop, revenue begins to decline. Simple as that. The trick is knowing what to do and when and finding the balance of what works for you, your company, and your marketplace.
The landscape of business has changed over the last 20 years. Just being aggressive doesn’t cut it anymore, but it certainly helps. Sales skills alone aren’t enough, even though they are very important. One method of selling is not enough. Having many different avenues of marketing however is ideal, then you find the handful that work best and focus on those. In real estate, there are three words to success – Location, Location, Location! In marketing, it is Test, Test, Test! Testing allows you to find what gives you the highest ROI for your money spent. Once you find out what works best, it goes into your marketing arsenal to be used over and over again.
Marketing is Two-Fold:
The bottom line. When you combine the two:
- Lead generation funnels. Leads, leads, and more leads. You must always have leads coming into your company’s pipeline. This is where most businesses fail. They just don’t know what to do to keep the leads coming in. Or they don’t know what to do to start the lead generation process and hence they struggle trying to grow their business. Leads turn into business, business turns into revenue. And revenue drives business. Without revenue, there is no business.
- Positive perceptiveness. You’ve got to distinguish your business from the pack and lead prospects to say, “I would have to be an absolute fool to do business with anyone else but you… regardless of price.” Positive perception is paramount but few know the intricacies to create it. There are companies out there that have a negative perception to the public. You may know of some that come to mind in your area. When you hear the name, you automatically think of something negative about that company. Perception starts day 1 of your business creation and follows through as you build. Good quality work, returning calls and emails timely, professional appearance, quality brochures, and things that make you better than the rest all leads to positive perception from potential customers and those in the industry.
- lead generation funnels
- positive perceptiveness
…magical things begin to happen in your business. Make 2019 the year you change your business.
Building a $250,000 Business Model is not difficult. Set your sights and go! The season is upon us. If you have questions or want to talk to me about this, please reach out. My email is email@example.com and my office number is (704) 799-0313. I’d be happy to talk with you.
That’s it for now. Remember…
National Window Cleaning Day is Coming May 15th
Mark your calendar and have some promotions in place to capitalize on this day!
Jim DuBois is founder of Squeegee Pros, Inc. out of Mooresville, NC. He is the creator of WindowWashingWealth.com, which specializes in aggressive marketing tactics, the importance of internal company systems, and how to dominate your window cleaning/pressure washing marketplace. All things a serial window cleaning entrepreneur should know to build a huge business. Visit the site for a FREE MARKETING REPORT. Do you have questions you’d like to see answered in this column? Email them to me directly at firstname.lastname@example.org or call my office at 704-799-0313.