There are so many marketers sharing the idea of making six figures as a coach within a very short space of time. They are selling the idea of some incredible 6 figure lifestyle but they are missing something.
£100,000 in revenue doesn’t equal the same as £100,000 in salary.
If you have £100,000 in revenue, you have costs to pay out of that which can include training, your own coach, books for clients, insurance, travel, a computer and a whole host of things that if you had a job your company would pay for.
On top of that, if you’re a limited company (in the UK) you have to pay corporation tax before you then withdraw any profit. As a rule of thumb, I suggest to coaches that whatever they would like to earn from their coaching business, they should aim to have double that in revenue.
If you want to earn the equivalent of £100,000 salary from coaching, then aim to make £200,000 revenue.
This is not an exact science. It will depend on your cost base. For example, if you are running groups in person, your cost base might be higher, because you have to rent venues, hotel rooms and sometimes provide food. The cost to run each men’s immersion is thousands of pounds.
Whereas a pure coaching practice where your clients meet you online would have a relatively lower cost base.
This is one of the many things that I overlooked when setting out to start my coaching practice. I know I hadn’t truly considered the costs associated with a business that was generating over six figures in revenue.
To be truly prosperous as a coach to me means creating an income that is also sustainable.
Some coaches can have a high revenue one year but struggled to maintain the revenue year on year in their own business.
My sales have grown every single year I’ve been coaching and one of the things I teach in all the programs, I’ve run for coaches and now in my AJC Coaching Career School, is growing your practice but doing so in a way that is sustainable over time.
In my mind, that means having a business where you have a waiting list for clients, where people are happy to pay your fees and where your fees are not an issue because there is more demand than supply for your work.
This will also be a topic that we cover in the AJC Coaching Career School. I’m super excited that more than 30 people are on board already. This will sell out very quickly. Click here for more information about the school and watch the videos. Don’t forget to download the brochure on the web page to start growing your practice immediately.
With love and appreciation,
Ankush Jain
Coach and Author of Sweet Sharing – Rediscovering the REAL You
