Author: Widi Papan
If you take an interest in personal finance and self-improvement, you’ve no doubt heard the advice to create multiple income streams. Similarly, many businesses fall into the trap of offering as many products or services as possible. But more isn’t always better — you might find that some of your income sources are making far more money for you than others. Trying to figure out what to keep and what to cut? Here are a few key considerations.
Do the income streams make sense for your brand?
A common mistake new business owners make is thinking they’ll win more customers if they offer as many services as possible. For instance, a designer might try to offer website designs, logo designs, album artwork, and just about anything else they can think of. Good idea, right? Not really.
More often, this gives the impression that the business doesn’t have a true specialism or expertise. Even worse, some prospects might assume that they don’t know what they’re doing at all.
Try and get to the core of what your business offers and what its core values are. How many of your current products or services actually fit in with that?
Do the income streams make sense for your brand?
A common mistake new business owners make is thinking they’ll win more customers if they offer as many services as possible. For instance, a designer might try to offer website designs, logo designs, album artwork, and just about anything else they can think of. Good idea, right? Not really.
More often, this gives the impression that the business doesn’t have a true specialism or expertise. Even worse, some prospects might assume that they don’t know what they’re doing at all.
Try and get to the core of what your business offers and what its core values are. How many of your current products or services actually fit in with that?
the occasional unpleasant client calls or admin task is practically inevitable.
But if you hate every second of the work involved in certain income streams and find others fairly enjoyable, well, that’s a strong signal about where you should be allocating your time.
It’s not as indulgent as it might sound. When we enjoy something, it tends to make us more productive and helps us earn more and grow our business further. Talk about a virtuous circle!
The revenue is too low
Similarly, if the effort you’re putting into something just never seems to pay off, it’s time to reconsider. This isn’t just about the number of sales — it’s also about the amount of time and effort you have to put into something.
Maybe a product that seems to have great sales on paper requires a complex logistics process or more effort from your colleagues, for instance. Don’t be afraid to wave goodbye to income streams that no longer serve you.
Get assistance with your assessment
When it comes to evaluating your income streams, it can be challenging to make the right call. Those are your babies, and it’s tough to let them go!
For a second opinion or help guiding you through the process, get in touch with Gema Consult. Our bookkeeping professionals know all about figuring out which income streams are the most profitable and worthwhile.
Author
Successfully Managing a Fleet of Tourism Locations, A Legacy Forged by Mentoring Hundreds of Clients to Obtain Long-term Success
Widi Papan has recently been appointed to Senior Deputy Director at Gema Consult, a hidden gem among gems. A maverick at establishing modern administration styles in an industry relying on largely outdated practices, Widi brings a unique value to Gema’s approach with clients. With clear direction for short and medium-term projects and expert-level knowledge of accounting standards, he is key to establishing successful operations for our clients.
Widi is the operational foundation responsible for Gema’s overwhelming success. His proficiency in executing technology automation, business set-ups, budgeting, cash flow recovery, debt management, capital increase planning, and business process simplification is on another level. This expertise is applied to every one of Gema Consult’s clients.