With all of this talk about business goals, there is one thing we need to keep our eye on—making MORE money in our interior design business!
What?! I HATE thinking about money. Well, if you want to kill it in your business this year, you MUST think about money. Yes, that means you need to look at your business and analyze your business practices to make sure they are running smoothly.
Ugh, what are business practices anyway?
According to businessdictionary.com, business practices are, “A method, procedure, process, or rule employed or followed by a company in the pursuit of its objectives.”
Well, I love methods, procedures and processes! Even if YOU do not love those, it is essential for you to have them to get the most out of the time you spend on your business.
How do you make sure that your business practices are great and will make you money? First, start by looking at the big picture of your design business.
To get the big picture of your business, you need to review your financials. I know, I have said it a thousand times, I have an MBA and I still don’t like the word financials!! The great news is that I use Studio Designer (formerly Studio Webware), so I can just run a report to see the current financial status of my business.
Even if you do not have Studio Designer, these are the following elements of your business that you need to look at to understand the big picture:
- Review your business revenues (revenue is the income that a business makes, usually from the sale of goods and services to clients.)
- How much money have you made so far?
- How much money do you want to make by the end of the year?
Look at your current design projects and determine whether you can hit your revenue goals. Even if you are just starting out or have been in the design business a long time, you need to have a financial goal. If you need to focus a bit, plan on focusing on those design services that make the most profit.
- Do you have clients who need to have their homes ready for holidays and events such as a milestone birthday, graduation, summer, Thanksgiving, Christmas, etc.?
- Can you complete some jobs before mid-year?
- What things are you doing that don’t make you money? This can be a design service or product you sell.
- Can you stop offering the service or product that isn’t making you money and focus on the profitable ones?
What Can You Accomplish in this Quarter?
If looking at your design business financial goals seems overwhelming, start by breaking it down into manageable bits, like a quarterly goal. If you do this, how can you be sure to accomplish your financial goals? Well, what if you take your quarterly goal and multiply that by four? Is that number a good annual goal? Can you achieve that by year-end? Can you divide that by two to see what you need to hit by mid-year?
Accounting/bookkeeping is just one example of a system that helps you to really KNOW what is going on in your business, but is there anything else holding you back? What about all the other processes and methods in your business?
- Getting new clients in your pipeline
- Focusing on great communication and expectations with your clients and the trades you work with
- Processes to design kitchens, baths, rooms and entire homes
- Methods for project specifications
- Managing your office and personnel
- Installation process
- Photoshoot timelines and process
I know, interior designers have a LOT to do! So, focus on what you can do THIS year (or this quarter, if it helps!). You have time to really make it BIG.
I always feel like the year goes by so fast, don’t you?! So, get your game face on and take the time! Put your to-dos on your calendar NOW!
So, let me help you get organized! Download the Return on Interiors® Sampler!
Get fired up to make this the biggest year ever!