EP 296: Understanding What You Can Afford in Your SpaSep 12, 2022
Being the boss of your own business comes with a lot of perks like setting your own schedule, working your spa and space you want, having unlimited earning potential…
Having that kind of freedom is why most spa owners venture into entrepreneurship in the first place, but with that freedom, especially over the financials, can come a lot of stress from not understanding the bigger money picture of your business.
From how much you should pay yourself to how much you can realistically pay your team (and how much money is needed to continue growing that team sustainably), how are you supposed to know how those numbers should shake out?
That’s exactly why in this week’s episode of Spa Marketing Made Easy, I’m sharing a simple breakdown of how to assess and allocate the money you have coming in and going out so that your spa can not just survive now, but thrive in the long-term to meet your bigger dreams and vision.
In order to truly own the role of Spa CEO, you have to not only intimately know your numbers, but also understand the flux and flow of your finances so you can always keep your finger on the pulse of your business’ lifeblood.
(Yes, we’re in this to help our clients feel their most beautiful, confident and radiant, but let’s not shy away from the fact that you and your team deserve to get paid well for that work and see the financial fruits of your labor.)
Business is about profit, so let’s talk money, honey and get your numbers in gear to help you build a life and business that you love.
In this episode, you’ll learn:
- How to make financial decisions through the lens of understanding what our businesses can currently afford
- Why I use the Profit First method and the specific breakdown I recommend for spas to follow
- What factors you need to consider when it comes to your personal and lifestyle goals and how they impact the financial choices you make in your business
- How getting a strong grasp of your spa’s financials allows you to understand what you can afford in the now and future cast that into meeting your bigger future vision
References Mentioned in Episode #296: Understanding What You Can Afford in Your Spa
- Listen to Episode #225: Becoming a Profitable Shareholder of Your Business with Mike Michalowicz
- Check out the book Profit First by Mike Michalowicz
- Listen to Episode #284: The Spa KPIs and Metrics You Need to Know to Grow
- To keep the conversation going, ask questions, and connect with other like-minded aestheticians building thriving careers, click here to join the free Spa Marketing Made Easy Podcast community.