MAXIMIZE Your Business Profits - Week #8 Let's REVIEW!!

Welcome to TheMaxProfit's 40 Weeks to MAXIMIZE your business- ANY business's profits!




Friday, 27 March 2015

This week and for the next 32 weeks, we will take apart your business and work on each part in 3 week blocks. In each 3 week block we will IDENTIFY, ANALYZE and then IMPLEMENT changes to make in each part of your business that WILL yield results GUARANTEED!!

If you participate and follow along each week, applying small changes and tweaks to your business model/operations, you will see BIG results in increased profits for your business. Even if you can - or only choose to try one or two of the 3 weeks blocks, you will see positive results GUARANTEED!

THIS WEEK: we are REVIEWING the work you did in Week's 2, 3 and 4 on your systems with regard to income and revenue streams. In this REVIEW week, you should spend 2-3 hours total Reviewing your work and celebrating the positive results achieved by the small changes you made. Remember our goal was and always IS to achieve MAX PROFIT. Working on your business in small pieces, maximizing each piece is how we will get there.

** If you missed weeks 2-4 and would like to work on your income/revenue streams, follow the links below

Week #2 - IDENTIFY your income and revenue streams:  http://themaxprofit.blogspot.com/2015/02/maximize-your-business-profits-week-2.html

Week #3 - ANALYZE your income and revenue streams:  http://themaxprofit.blogspot.com/2015/02/maximize-your-business-profits-week-3.html

Week #4 - IMPLEMENT changes in your income and revenue streams to achieve higher profit:  http://themaxprofit.blogspot.com/2015/03/maximize-your-business-profits-week-4.html



THE WORK YOU DID: In weeks 2, 3 and 4 you worked on IDENTIFYING each source of income or revenue and then ANALYZED WHO you dealt with to receive that revenue (the company, the players or individuals); you then looked at your COST of products you sold or the COST of delivering your services. It was/is important to spend this time looking closer at your business to identify the ACTUAL cost of your products/services and to review your pricing in detail. 

YOUR LIST: You then made a LIST of each of your revenue streams (or sources of income) and PRIORITIZED and then RATED each item on the list. The items were rated by the the totality of the following criteria - Ease of Sale, Ease of Marketing, Profit Margin, Locality to Source, Ease of Production, Cost of Sales, Cost of Human Capital, Material Cost, etc.

YOUR GOAL: Your goal was to IDENTIFY the top 20% on your list (those items or sources that made your business the MOST money) and to focus on those sources and designate some time and money marketing those sources for the next 90 days.. 

LET's REVIEW:  Approximately 30 days has passed since you implemented changes based upon your work, How are you doing? How have the small changes you made affected your bottom line? Have you remained committed to your TOP 20%? If you have not seen any change, why do you think that is? Have you asked for help with this project? ie: another set of eyes or another opinion?

GOING FORWARD WITH MOMENTUM: It is very important now, during this review of the work you have done in this part of your business to keep forward momentum! If you took the time and really analyzed this part of your business, you no doubt were able to find small changes that could be made in order to achieve more profit. Follow along with us for the next 32 weeks and do the same thing with each part of your business, then going forward, each week, spend time looking at the things that ARE WORKING in your business and keeping your eyes open for the things that are NOT WORKING - often, things that are making us money, don't stay that way because of price changes in the rest of the market, or because our costs change. Staying on top of these details, or hiring someone else to, will make a big difference long term!

If you would like to speak to one of our consultants to brainstorm possible changes for your business, based upon the work you have done in the last 7 weeks- visit our website and fill out a contact form we would be glad to help! TheMaxProfit.com

Looking forward to next week and the 32 weeks to follow and getting to know some of you while helping your solve some of your biggest questions/puzzles.

NEXT WEEK:  In week #9 we will start taking a look at your LEADS and SALES PROGRAMS and METHODS. We hope to help you identify HOW you are receiving leads and HOW you are presenting your product or service to prospective buyers.
Check out our website at: TheMaxProfit.com  and if you need any help with your business, or just have a question, fill out a contact form and one of our consultants will contact you. You can also give me a call (or text) directly at 360-490-7045.


Renee Johnston
CEO
The Max Profit
Business Services Group

MAXIMIZE Your Business Profits - Week #7

Welcome to The Max Profit's 40 Weeks to MAXIMIZE your business- ANY business's profits!

Read all the way down to get the TIP OF THE WEEK!

Friday, 20th of March - 2015

This week and for the next 33 weeks, we will take apart your business and work on each part in 3 week blocks. In each 3 week block we will IDENTIFY, ANALYZE and then IMPLEMENT changes to make in each part of your business that WILL yield results GUARANTEED!!

If you participate and follow along each week, applying small changes and tweaks to your business model/operations, you will see BIG results in increased profits for your business. Even if you can - or only choose to try one or two of the 3 weeks blocks, you WILL see positive results!

THIS WEEK: we are working on IMPLEMENTING systems, changes, strategies to the COST OF GOODS SOLD you have IDENTIFIED and ANALYZED the last 2 weeks. You will need to spend 3- 4 HOURS DECIDING what changes you will be making and then additional time following up on the implementation of the changes made to the TOP 20% of your list!

TODAY! We will work on DECIDING what changes to IMPLEMENT based on the the Cost of Goods Sold items you IDENTIFIED and ANALYZED last 2 weeks. 

Each week, we will be offering a general TIP for Making More Money IMMEDIATELY along with the informational blog that can be applied to ANY business.
I will be available to you throughout the rest of the week for any specific questions you have regarding YOUR business and identifying, analyzing or implementing any changes, methods or systems for your business!


This week's topic COST OF GOODS SOLD involves the DIRECT costs associated with the delivery, production or manufacturing of the products or services you deliver to your customers. We will also talk about making CHANGES that will IMPROVE your Gross Profit (which is what you have after you take your product or service SALE and take away the Cost of Goods Sold). We will be focusing on the TOP 20% of the list you itemized and rated last week.


Our goal this week, after ANALYZING the Cost of Goods Sold that you  identified last week, is to take the information you gathered and the details you noted, after making your LIST and to implement changes needed to MAXIMIZE your GROSS profit!

IN THE NEXT WEEK: Spend one hour the first time you sit down, and start making a new LIST of changes you want to make or implement in the BOTTOM 80% of your rated list. (see more explanation below). The next time you sit down - either the SAME day or the NEXT day, spend 2-3 hours deciding what to change/implement for the TOP 20% of your list. These are the MOST important changes so pick 1-3 things to change/implement and FOLLOW THROUGH making those things happen THAT DAY or within the WEEK.

POSSIBLE CHANGES: possible changes include ELIMINATING products or services that you have a very low GROSS profit margin, PHASING OUT products you sell or produce (if they have a low GROSS profit margin), ADDING NEW products or services because the analyzation has given you new ideas that when researched resulted in a GOOD Gross Profit Margin, re-negotiating sales contracts with clients to include bigger orders if it saves your business shipping costs etc.. and MAKING CHANGES to existing Gross Profit Margin's by re-negotiating costs of labor, materials or products or changing pricing slightly in order to achieve the target Gross Profit Margin..


START AT THE TOP:  Start at the top of your list and work your way down. For each item, look at the RATING you gave it last week and compare it with the other items. The items with the LOWEST ratings may need to be eliminated. You may realize that these lowest rated items are COSTING you company resources and not making you very much money, OR they may be COSTING you money. Do some thinking on HOW you can sell MORE of those products / services, Items at the bottom of the list may need major tweaking or they may need to be eliminated altogether. Take some time to really figure out HOW MUCH TIME and HOW MUCH MONEY the changes will cost, analyze your risk and make a decision!
Items in the middle of the rating system may need just small changes or tweaks to move them up on your rating list. They may be able to make you more money just by changing a few small things or by putting a few dollars into target marketing.

YOUR 20% HITLIST: After deciding action items based on the BOTTOM 80% of your rated list, spend 2-3 hours (bring your team in on this!) making some decisions on how to MAXIMIZE the items on the TOP 20%! After spending this 2-3 hours, take a look at your list and decide if follow up time is needed OR if more time is needed by your or another member of your team for implementation on any of your items to MAXIMIZE the Gross Profit Margin on that item.

Your top 20% may only include 1, 2 or even 3 products or services. Invest some time and money making changes that will MAXIMIZE the gross profit for these items. For instance, here are 2 examples (one product based business and one service only business).

#1 - PRODUCT based business - Lets use a business that sells windows and doors primarily and primarily to residential homeowners. Let's say the top 2 rated products sold (out of 15 total) were French Doors and Bay Windows with Window Seats. (The reason these 2 were the top rated is because they are popular and at the same time have the highest GROSS profit margin)  There are several ways I would suggest MAXIMIZING the COGS on these 2 products:

After doing your research on which age/types of homes and which neighborhoods are purchasing these types of products, spend a few dollars on some TARGET advertising on these 2 items. Commit to a specific time period, maybe a 6 week "sale" for example, on these items and notify your supplier that you are doing so and ask for a temporary discount on your cost of the product, and an even bigger discount if you meet a certain number of sales within the time period. Many suppliers are more than willing to do this, if and when you are spending money on marketing and featuring these products.


#2 SERVICE based business -  Let's use a Janitorial business that does primarily commercial work. Let's say that when looking at the Cost of Good Sold for this business - the TOP rated Gross Profit Margin is the FLOOR cleaning/waxing service but that this service is only being used regularly by a small percentage of the client list.

Approaching your entire client list and offering them a small discount on your first service so that you have a chance to impress them with your services and can then ask for a commitment on a quarterly basis for the floor cleaning service. Adding even a small percentage of your client list to that service on a regular basis will, in fact increase your overall Gross and Net profit. The second part of this, which will only increase your GROSS profit is that once you are buying MORE wax and other related products to provide this service, you can then ask your supplier for a little better price break. 


  NEXT week we will be IDENTIFYING and listing all of your leads sources and sales programs or methods for your business. Don't worry! In 3 weeks, we will be back to REVIEW and make any ADJUSTMENTS necessary to the work you are doing this week and its associated follow up/results.


TIP OF THE WEEK! 

The Tip of the Week this week is - "FOCUS ON YOUR TOP 20!" As you sit down and look the work you did the last few weeks, SCHEDULE SOME TIME to come up with strategies regarding the top 20% of your list and FOLLOW THROUGH with these changes.. it may seem insignificant to take the time to do this but it is NOT! The first one or two of your products/services on your list that you have the BEST gross profit on is where you need to focus. Decide how you could MAXIMIZE these items, how can you sell or provide MORE of these in the next 30 days and DO IT! 

 I have seen through my clients trial and errors, and even seen in my own businesses, very small changes, small tweaks in how you do things make a HUGE difference. 

If you would like to speak to one of our consultants to brainstorm possible changes for your business, based upon the work you have done in the last 2 weeks- visit our website and fill out a contact form we would be glad to help! TheMaxProfit.com

Looking forward to next week and the 35 weeks to follow and getting to know some of you while helping your solve some of your biggest questions/puzzles.

Check out our website at: TheMaxProfit.com  and if you need help with your business, fill out a contact form and one of our consultants will contact you. You can also give me a call (or text) directly at 360-490-7045.


Renee Johnston
CEO
The Max Profit
Business Services Group

Maximize Your Business Profits - Week #6

Welcome to The Max Profit's 40 Weeks to MAXIMIZE your business profits!

Read all the way down to get the TIP OF THE WEEK!

Friday, 13th of March 2015

This week and for the next 34 weeks, we will take apart your business and work on each part in 3 week blocks. In each 3 week block we will IDENTIFY, ANALYZE and then IMPLEMENT changes to make in each part of your business that WILL yield results GUARANTEED!!

If you participate and follow along each week, applying small changes and tweaks to your business model/operations, you will see BIG results in increased profits for your business. Even if you can - or only choose to try one or two of the 3 weeks blocks, you will see positive results GUARANTEED!

We will be analyzing the following areas of your business:

1. INCOME / REVENUE streams
2. PRICES / COST of product
3. SALES / LEADS programs and methods
4. What your Business OWNS and how to maximize that
5. What your Business OWES and how to minimize that
6. MARKETING
7. EXPENSES - Facilities and other costs and how to minimize those
8. PRODUCTION and OPERATIONS
9. HUMAN capital - how to  minimize the cost of Payroll and Managing Employees/Contractors

TODAY! We will work on ANALYZING your Cost of Goods Sold (COGS) and PRICING on your Product or Services. NEXT week we will IMPLEMENT changes based on the items you have identified and analyzed so we can start MAXIMIZING your business profits.

EACH WEEK we will also be offering a general TIP for Making More Money IMMEDIATELY along with this informational blog that can be applied to ANY business.
I will be available to you throughout the rest of the week for any specific questions you have regarding YOUR business and identifying, analyzing or implementing any changes, methods or systems for your business!


This week's topic COGS - or Cost of Goods Sold involves all of the DIRECT costs for the delivery of your PRODUCT or SERVICE.  We will also talk about making CHANGES to your LABOR, PRODUCT or MANUFACTURING COSTS in the weeks to come that will help your business reach its MAX PROFIT!

ANALYZING the Cost of Good Sold (COGS) that you have IDENTIFIED is our goal this week. The purpose of the ANALYZATION is to have all the information needed to make an educated decision on what changes need to be IMPLEMENTED next week and the weeks to come.

No matter what "type" of business you have, or what industry it is in -  taking apart/looking at your Cost of Sales or Delivery of Service or Product, ANALYZING at  each item or group is not complicated.

IN THE NEXT WEEK: Spend TWO HOURS the first time you sit down and start detailing out the product/groups of items or types of jobs/services you have IDENTIFIED.  For the following 4 days, spend 1/2 hour each day OR just block out a 4 hour period and focus on this to get it done in one sitting.

ANALYZE YOUR LIST: Pull out the list you made of all the products you sell, produce or manufacture/ OR the types of jobs/services you provide.

CAREFULLY ANALYZE: For each item or type/group, figure out YOUR DIRECT COST of delivering/selling each item or group/type. The DIRECT COSTS include things like product purchase cost, cost associated with manufacturing or producing your product, LABOR directly associated with those items including sales commissions in many instances, shipping costs are also included (on both ends of the transaction).

PRIORITIZE THE LIST:  After carefully analyzing the COST of each  product or service you deliver and COMPARE them, PRIORITIZE each in order of which ones bring you the MOST Gross Profit.  If there are 50 items, for example, #1 will be the one that brings the company the MOST Gross profit daily, weekly, yearly and #50 would be the one that shows the LEAST amount of Gross Profit.

When we get to next week, you will pick the first 20% of items bringing your business the HIGHEST/MOST Gross Profit and spend time developing those items, figuring out how you can sell MORE of that product or service. You will decide how to move your marketing dollars/resources around so you are focusing on the TOP 20% for the next 90 days.


TIP OF THE WEEK! 

As you are IDENTIFYING the COGS (cost of goods sold) for the products and services you sell, manufacture or provide for this 10 month project to find your business's MAX PROFIT, pick out off the list you made, the product or service that is selling the LEAST  and promote it in some way for the weeks to come, TRY THIS project! You will LIKE the results! 

After looking at this product or service and its direct costs in depth, consider the following and TAKE ACTION!

Product - retail or wholesale (manufactured or produced included) - If you have a product or LOT of products sitting on your shelves or in your warehouse NOT selling, look very carefully and think about WHY?? Is it not selling because of no interest, OR is it not being talked about in your sales program? WHY? I promise you there is a reason... IF the reason is that your sales team is not trying to sell this product to the right buyer - find out if that is a profitable venture  - if so.. do that! IF you decide the interest is not there OR this product has been replaced with a IMPROVED product, get RID of the product, sell it at a discount, sell it to a competitor as a whole lot, get it OFF YOUR LIST, #1- it is wasting your space and time, #2 - getting rid of it could boost sales for now. IF you have 2 or 3 or even MORE products like this - do the same! You and your sales team need to be focusing on products that are and will sell.

Services - Look at your list and pick the service or 2 or 3 services that are at the bottom of your list. These will be the service or services that are NOT selling. Analyze the situation and figure out WHY? Are your representatives not trying to sell them? If not, WHY? Are these services not needed by your current clients? Do you need to try to sell them to different clients? If so, is that PROFITABLE? What makes the most sense? Maybe you should take them off your list, not offering them in the future, maybe alternatively, you should consider going out and actively PROMOTING them! Decide what to try, give it a time frame and DO IT! Starting TODAY!

This activity, WILL absolutely boost your sales in the next few weeks! If you would like some coaching about your specific situation, or would like a representative to handle this project for you on a more in depth level, feel free to contact us, our profitability specialists can help! Visit our website and fill out a contact form: www.TheMaxProfit.com or call me directly at 360-490-7045.

Be BOLD! Take ACTION! You will like the results!

If you would like to speak to one of our consultants to brainstorm how to work with the list you made last week, or how to identify the direct cost of products and services for your business - visit our website and fill out a contact form we would be glad to help! TheMaxProfit.com

Looking forward to next week and the 34 weeks to follow and getting to know some of you while helping your solve some of your biggest questions/puzzles.

Check out our website at:  www.TheMaxProfit.com  and if you need help with your business, fill out a contact form and one of our consultants will contact you. You can also give me a call directly at 360-490-7045.

Have a great weekend!

Renee Johnston
CEO
The Max Profit
Business Services Group Inc.

Maximize Your Business Profits - Week #5

Welcome to The Max Profit's 40 Weeks to MAXIMIZE your business profits!

Read all the way down to get the TIP OF THE WEEK!

Friday, 6th of March 2015

This week and for the next 35 weeks, we will take apart your business and work on each part in 3 week blocks. In each 3 week block we will IDENTIFY, ANALYZE and then IMPLEMENT changes to make in each part of your business that WILL yield results GUARANTEED!!

If you participate and follow along each week, applying small changes and tweaks to your business model/operations, you will see BIG results in increased profits for your business. Even if you can - or only choose to try one or two of the 3 weeks blocks, you will see positive results GUARANTEED!

We will be analyzing the following areas of your business:

1. INCOME / REVENUE streams
2. PRICES / COST of product
3. SALES / LEADS programs and methods
4. What your Business OWNS and how to maximize that
5. What your Business OWES and how to minimize that
6. MARKETING
7. EXPENSES - Facilities and other costs and how to minimize those
8. PRODUCTION and OPERATIONS
9. HUMAN capital - how to  minimize the cost of Payroll and Managing Employees/Contractors

TODAY! We will work on IDENTIFYING your Cost of Goods Sold (COGS) and PRICING on your Product or Services. NEXT week we will ANALYZE each item or group that you have identified, the FOLLOWING week we will talk about how to IMPLEMENT changes needed for you to Maximize YOUR business profits.

EACH WEEK we will also be offering a general TIP for Making More Money IMMEDIATELY along with this informational blog that can be applied to ANY business.
I will be available to you throughout the rest of the week for any specific questions you have regarding YOUR business and identifying, analyzing or implementing any changes, methods or systems for your business!


This week's topic COGS - or Cost of Goods Sold involves all of the DIRECT costs for the delivery of your PRODUCT or SERVICE.  We will also talk about making CHANGES to your LABOR, PRODUCT or MANUFACTURING COSTS in the weeks to come that will help your business reach its MAX PROFIT!

For the purpose of this topic - we will use 2 different Business TYPES:
1. PRODUCT business
2. SERVICE type business






No matter what "type" of business you have, or what industry it is in -  taking apart/looking at your Cost of Sales or Delivery of Service or Product, looking at  each item or group is not complicated.

IN THE NEXT WEEK: Spend TWO HOURS the first time you sit down for the initial GATHERING of your data that will be looked at. For the following 4 days, spend 1/2 hour each day OR just block out a 4 hour period and focus on this to get it done in one sitting.

MAKE A LIST/GATHER DATA: 
For the Product type businesses - pull lists of all the products you sell, produce or manufacture. Your goal NEXT week will be to fully analyze the following so gather all of the information needed to figure out all of the DIRECT costs of selling, producing or manufacturing each product or related group of products.
For the SERVICE type business: make a list or pull a report for each of the services you deliver to your clients. Your goal NEXT week will be to fully analyze the following so gather all of the information you will need to Figure out all of the DIRECT costs of delivering each service you offer. This will include labor costs, materials and tools needed for each job, etc.


SUGGESTIONS for each type of company:

1. Retail/Product resale businesses - list your products by category, type or by vendor type.

2. Service businesses - make a list of all the services you offer, by type or by category. If you are a construction company for instance, pull a model of the 5 or 10 "typical" jobs you have sold and provided over the last 6 months.

3. Manufacturing businesses - Come up with a complete list of each product/or group/type of products you manufacture and all the associated information you will need to ANALYZE your DIRECT costs next week.

Remember: This week we are IDENTIFYING your Cost of Goods Sold, and will need a complete list of all the jobs or products you provide and any information needed in order to be able to analyze each direct cost in detail NEXT week.  


TIP OF THE WEEK! 

As you are IDENTIFYING the COGS (cost of goods sold) for the products and services you sell, manufacture or provide for this 10 month project to find your business's MAX PROFIT, figure out your #1 SELLER, your #1 PRODUCT or SERVICE and either adjust your price slightly higher or negotiate with your vendor/materials suppliers to get those items slightly lower to increase your Gross Profit Margin starting NOW! 

In deciding which one of these to do, and maybe you will want to do BOTH.. First find out who your top 3 competitors are for this product and see what their price range is.. if possible, find out WHO is selling the MOST of this product and either match or BEAT their price slightly. On the cost side, contact the vendor or vendors on your TOP selling product, or the materials providers for your TOP selling product PRODUCED or MANUFACTURED by your business. Negotiate with your vendor/vendors for a reduction in all or some of your costs. If you cannot immediately get a reduction, politely thank the vendor and immediately send out your list of what needs to be purchased to your vendors top 2 competitors for a bid on pricing. 

This activity, WILL absolutely make you a higher gross profit starting right away! If you would like some coaching about your specific situation, or would like a representative to handle this project for you on a more in depth level, feel free to contact us, we have consultants that specialize in these types of negotiations. Visit our website and fill out a contact form: www.TheMaxProfit.com

Be BOLD! Take ACTION! You will like the results!

 

If you would like to speak to one of our consultants to brainstorm how to identify the direct cost of products and services for your business - visit our website and fill out a contact form we would be glad to help! TheMaxProfit.com

Looking forward to next week and the 35 weeks to follow and getting to know some of you while helping your solve some of your biggest questions/puzzles.

Check out our website at:  www.TheMaxProfit.com  and if you need help with your business, fill out a contact form and one of our consultants will contact you. You can also give me a call directly at 360-490-7045.

Have a great weekend!

Renee Johnston
CEO
The Max Profit
Business Services Group Inc.

Maximize your Business Profits - Week #4

Welcome to TheMaxProfit's 40 Weeks to MAXIMIZE your business- ANY business's profits!

Read all the way down to get the TIP OF THE WEEK!

Friday, 27 February 2015

This week and for the next 36 weeks, we will take apart your business and work on each part in 3 week blocks. In each 3 week block we will IDENTIFY, ANALYZE and then IMPLEMENT changes to make in each part of your business that WILL yield results GUARANTEED!!

If you participate and follow along each week, applying small changes and tweaks to your business model/operations, you will see BIG results in increased profits for your business. Even if you can - or only choose to try one or two of the 3 weeks blocks, you will see positive results GUARANTEED!

THIS WEEK: we are working on IMPLEMENTING systems, changes, strategies to the revenue streams you have IDENTIFIED and ANALYZED the last 2 weeks. You will need to spend 3- 4 HOURS DECIDING what changes you will be making and then additional time following up on the implementation of the changes made to YOUR TOP 20%!

TODAY! We will work on Implementing changes based on the the Income and Revenue streams you IDENTIFIED and ANALYZED last 2 weeks. 

Each week, we will be offering a general TIP for Making More Money IMMEDIATELY along with the informational blog that can be applied to ANY business.
I will be available to you throughout the rest of the week for any specific questions you have regarding YOUR business and identifying, analyzing or implementing any changes, methods or systems for your business!


This week's topic INCOME/REVENUE streams involves any money that comes in to your business, and from any source. We will also talk about making CHANGES to revenue streams, ELIMINATING the ones that are not working and adding NEW ones that do work!


Our goal this week, after ANALYZING the sources of revenue that you  identified last week, is to take the information you gathered and the details you noted, after making your LIST and to implement changes needed to MAXIMIZE your business profits! 

IN THE NEXT WEEK: Spend one hour the first time you sit down, and start making a new LIST of changes you want to make or implement in the BOTTOM 80% of your rated list. (see more explanation below). The next time you sit down - either the SAME day or the NEXT day, spend 2-3 hours deciding what to change/implement for the TOP 20% of your list. These are the MOST important changes so pick 1-3 things to change/implement and FOLLOW THROUGH making those things happen THAT DAY or within the WEEK.

POSSIBLE CHANGES: possible changes include ELIMINATING revenue streams, PHASING OUT revenue streams, CREATING NEW revenue streams, MAKING CHANGES to existing revenue streams.

START AT THE TOP:  Start at the top of your list and work your way down. For each item, look at the RATING you gave it last week and compare it with the other items. The items with the LOWEST ratings may need to be eliminated. You may realize that these lowest rated items are COSTING you company resources and not making you very much money, OR they may be LOSING money. ELIMINATE THEM!
Items in the middle of the rating system may need just small changes or tweaks to move them up on your rating list. They may be able to make you more money just by changing a few small things or by putting a few dollars into target marketing.

YOUR 20% HITLIST: After deciding action items based on the BOTTOM 80% of your rated list, spend 2-3 hours (bring your team in on this!) making some decisions on how to MAXIMIZE the items on the TOP 20%!

Your top 20% may only include 1, 2 or even 3 items or revenue streams. Invest some time and money making changes that will MAXIMIZE these sources. For instance, here are 2 examples (one product based business and one service only business).

#1 - PRODUCT based business - Lets use a business that sells windows and doors primarily and primarily to residential homeowners. Let's say the top 2 rated products sold (out of 15 total) were French Doors and Bay Windows with Window Seats. (The reason these 2 were the top rated is because they are popular and at the same time have the highest profit margin)  There are several ways I would suggest MAXIMIZING these 2 products:
1. "Feature" them for a 6 month period and put them on "sale" (commit to some target market online advertising for 90 days)
2. Contact all the clients who purchased new windows in the previous 12 months and offer them a discount and "trade in" on both French doors to replace their sliders and Bay Window(s) with window seats and have a financing package available to them ready made.
3. In each sales presentation going forward, slightly raise the prices of the average purchased sliders and large windows (where a bay window might fit nicely) and offer a DISCOUNT for the products you want to increase sales on and that you have a higher profit margin on.

#2 SERVICE based business -  Let's use a Janitorial business that does primarily commercial work. Let's say that when looking at the revenue streams for this business - the TOP rated profit margin is the FLOOR cleaning/waxing service but that this service is only being used regularly by 12% of the client list.
#1 - If you have marketing money to spend, the FIRST thing I would recommend is to spend few dollars on TARGETED marketing maybe even Business to Business in the immediate area where your clients are the most concentrated and FOCUS on FLOOR CLEANING/WAXING but also offer the regular cleaning services.
#2 - I would ABSOLUTELY plan some extra hours during the regular work day and visit each contact for each regular cleaning client that is not REGULARLY using the Floor cleaning/waxing service and offer them a deal for signing an agreement to use this service QUARTERLY for the next 4 quarters. If you have done a proper job of cultivating your relationships with your clients, this should be easy to do. Not all your clients can afford this service regularly, if then cannot, try to give them a service (for a deal) NOW or in the next 60 days - still a boost for your sales in next few quarters.



  NEXT week we will be IDENTIFYING and listing all of your PRICING and COST of Product, Manufacturing or Sales costs for your business. Don't worry! In 3 weeks, we will be back to REVIEW and make any ADJUSTMENTS necessary to the work you are doing this week and its associated follow up/results.


TIP OF THE WEEK! 

The Tip of the Week this week is - "SMALL CHANGES can MAKE A BIG DIFFERENCE!" As you sit down looking at the work you did the last few weeks, MAKE TIME to come up with strategies regarding the top 20% of your list and FOLLOW THROUGH with these changes.. it may seem insignificant to take the time to do this but it is NOT! 

 I have seen through my clients trial and errors, and even seen in my OWN businesses, very small changes, small tweaks in how you do things make a HUGE difference. 

If you would like to speak to one of our consultants to brainstorm possible changes for your business, based upon the work you have done in the last 2 weeks- visit our website and fill out a contact form we would be glad to help! TheMaxProfit.com

Looking forward to next week and the 36 weeks to follow and getting to know some of you while helping your solve some of your biggest questions/puzzles.

Check out our website at:  TheMaxProfit.com  and if you need help with your business, fill out a contact form and one of our consultants will contact you. You can also give me a call (or text) directly at 360-490-7045.


Renee Johnston
CEO
The Max Profit
Business Services Group