Nobody likes to talk about money. It’s up there with religion and politics as taboo subjects only to be discussed with your closest confidants—and maybe not even then. But guess what? We need to talk about it. Specifically, we need to talk about how our own personal relationship (read baggage) with money is affecting our businesses. I have seen this play out on both the revenue and the expense sides of businesses.
Let’s start with the revenue.
HOW MANY OF YOU DON’T INVOICE YOUR CLIENTS IN A REGULAR AND TIMELY MANNER?
C’mon, be honest. Who doesn’t like asking for money, even when it is money you have earned because you have already delivered a product or service to your client? Who has outstanding Accounts Receivable (meaning invoices you have sent that have not yet been paid) of more than $5,000? I have seen women with outstanding balances owed to them in the five and six figures!!!! And when I ask them why they have allowed things to get so out of hand, the answer is usually some variation of “I feel bad asking for money.” Huh? Are you running a charity or a business? Are you so financially comfortable that bringing in that $20K or $40K wouldn’t make a difference to you?
And then there is the expense side. I have seen many members who can well afford to bring on more resources to help them, but just can’t quite pull the trigger on spending the money. I have one client who has already covered all of her expenses for the rest of 2019 (including payroll) with the revenue she has brought in this year to date. So from this point forward, anything else she lands will drop directly to the bottom line as profit. And yet she is still hemming and hawing over hiring an assistant to take over the significant administrative tasks she is still handling.
What is going on here? We are all still walking around with whatever financial-related issues we had from our upbringing.
Some of us were taught by our parents that it just isn’t polite to talk about money, so we never feel comfortable asking for it. Others grew up in very tight financial situations and are making our spending decisions worried that there just won’t be enough.
We each need to stop and recognize what assumptions/beliefs/behaviors around money we are carrying around that either just don’t apply to us anymore or are actually holding us back. I’m not saying this is easy or comfortable. But if you want to grow your business, you have to have an honest conversation with yourself about money.