This week on the podcast we’re talking about shifting business models in order to scale your business.
Just a reminder that scaling to me is about economies of scale, you can work with more people without necessarily increasing the number of people in your business or the cost of servicing those people.
This is something that I have a lot of conversations with clients and followers and I know that shifting business models is not for everyone. Some people love the work they do, how they do it and who they get to do it with and that’s amazing.
I also think that there are seasons in your life where certain business models work for you and your lifestyle and then other times when it has to shift and change.
So let’s start off looking at what a business model is.
Your business model will determine who you’re selling to and how you’re selling to them in the most basic way.
The common types of structured business models that we know are:
So I’m a B2B because I work with registered businesses as a business coach.
But within the model, you’re looking at how you’re earning your money.
When I look at someone’s business model I’m looking at:
As we’re going to talk about. If your business model and business is killing you, you’re overworked, you’re underpaid and you’re stuck – then the bottom line is – your business model is not working for you.
So this is where talking about changing your business model is worth looking at. Looking at the way you deliver your products or services and how you earn money.
There are more but I feel like these are the main ways that most of my community earn their money.
The reason that most people change their business model is so they can earn more money in less time and scale what they are doing. It could be that they outsource a lot of the work that comes to them as well. So there isn’t just a one size fits all.
The thing I do want to talk about is what it takes to change your business model after having your business and building it up for some time.
The Amplify Accelerator, which is my high touch group coaching program and mastermind, supports businesses to create their own group program. The really interesting thing is that I have conversations with business owners all the time about shifting their business model before they apply for Amplify and when they are in the process of looking to join Amplify.
The biggest issue that so many of them say to me is – I don’t have time to shift. Which is often followed up with – I’m so burnt out, I don’t have time for anything. I’m working stupid hours because I’ve got so many clients. Or I’ll get a message saying – I really want to do this but I don’t know if I have time.
No matter what business model you’re looking to shift to there are a few things that you will need to think about and do if you want to shift.
So what questions should you ask?
Suzanne Chadwick 04:01
This week, we're talking all about shifting business models in order to scale your business. And just a reminder, that scaling to me is about economies of scale. So you can work with more people without necessarily increasing the number of people in your business or the cost of servicing those people. So to me, that's what scaling is that you might you know, you might increase costs here and there a little bit with tech and maybe support. But generally, you won't be increasing the expenses in your business in order to work with more clients. So that's what I'm always looking at how can I work with more clients give them an amazing experience without it, meaning I have to grow a massive team to be able to do that as well. And so I think it's really about working smarter and the fact that we can actually do that today like it's possible for you to do that. So this is something that I have been having conversations with clients and followers a lot about Recently, and I know that shifting your business model is not for everyone. So some people will love the work they do, how they do it, who they get to do it with. And that's amazing. So I think everything that I talk about, it'll apply to some people, and it may not apply to others, or it might apply to you at a certain time in your business and life. I think that's the other thing that's really interesting, I do get people that messaged me and just say, like, I'm not there yet. Like, I really want to do X, but I just don't feel like I'm ready. And they might have just started their business. And so your business model can shift with you as well. You know, when I started my business, I was all about events, I was all about events, and one on one coaching. That was what my business model was. And then it shifted into more online and digital products. And then I did a massive call. And now I'm just group coaching and speaking. And so your business model will evolve with you. Yeah, so I also think that there's seasons in your life, where certain business models will work for you and your lifestyle. And then other times that when it has to shift and change. So for example, if I had babies, like really small kids, when I was doing events all the time, then that might have been really hard. But you know, but it was okay because of when I had my events, etc. So I think you've just got to take a look at that. So let's start off with looking at what a business model is. And I know that for some people, you're like, says, Don't teach me how to suck eggs. But I think it's important for us to talk about it, because I think different people have different ideas of what it is. So let's just talk about a really basic level. So your business model will determine who you're selling to, and how you're selling to them in the most basic way. So the common structures that you would already know things like bricks and mortar franchise, B to C B's, so business to customer b2b, which is business to business. So when I looked this up, there were like a million different definitions to it. But I'm like, I'm just gonna go with a really simple way that we talk about, I think, in my community and with the clients that I work with, because a lot of them are either just a product based business, or a service based business, a copywriter, web designer, coaches events, etc.
Suzanne Chadwick 07:16
So b2c, which is business to customer is, it could be something like life coaching could be b2c mentoring could be b2c selling individual products to the masses, like clothing and jewellery, things like that. I love bricks and clicks. I heard that recently, which is a term that basically looks at bricks and mortar businesses that also then have a really strong online presence when I thought of that I thought of jumbled online straightaway, as well. And then you've got b2b. So obviously, that's a lot of my community, which are businesses that potentially sell to other businesses. So b2b is focusing on selling to other businesses, which, for example, if you're a web designer or a copywriter, photographer, in the small business world, I know a lot of my clients, their clients, or other small businesses do, obviously not exclusively, like they might be doing products, for consumer brands, things like that. But this to working with other businesses. So I just wanted to, I guess, define what some of those business models might look like. And it's really about who you're selling to, what the structure of your business is, how you price it, and how you get paid as well. So when I was working in when I was running the brand agency, it was b2b. So I would be running big employer branding, sort of 50 100 grand plus projects, for other corporate organisations, to deliver their employer brand assets to them. And so just understanding what your business model is just means that you can make a decision about whether he shifted and change it or not as well. So right now, I'm a b2b, because I worked with registered businesses as a business coach. And so that's my main client base. But within the model, we're also looking at how you're earning your money. So when I look at somebody's business model, I'm looking at who are they serving? How are they serving them? What is it costing them to serve those clients in the way that they've chosen? And does it work for their lifestyle and their business as well? So it's not just about, you know, am I b2b, or b2c, or bricks and mortar? There's actually a lot of different elements or a few different elements that you need to look at. And so we're gonna work through some questions today that you can potentially look at to say, Does my business models still serve me? Is this business killing me? You overworked? Are you underpaid? Do you feel stuck? You know, then the bottom line is that your business model is not working for you. And I think just having the language around this because I think sometimes people look at the business that they've got and the things that they're doing. And they're like, it just doesn't work. Like I can't sell this, this doesn't work, when in fact, it might just be their business model, it may be the way in which you're going about selling what you've got, it may not play to your strengths, it may not work for your market, there may be things that you can tweak that can help you to sell more of what you do, and to work with the clients that you really want. So this is where talking about changing your business model is worth looking at, because looking at the way you deliver your products or services and how you earn money. So for example, we've got done for you, which could be consulting, copywriting, web design, etc. Done with you. So for me, that's what BBA and amplify are, it's done with you. It's let's work together to get you the results. And then I'll give you feedback, you asked me questions, you know, we'll together we'll work through it, and we'll work it out. And so that's a done with you cart type of model. It also could be one on one coaching could be done with you. And as I said before consulting to on demand could be online courses that you buy, and then you just do them. So there's no coaching element, there's no support there. So that's on demand, affiliate and joint ventures. So for example, when I promote something, so we're talking about how I earn money, when I promote something, so for example, Kajabi. I'm an affiliate for Kajabi. So when people join Kajabi, Kajabi pays me, as well. So that's another way of earning money and a business model, part of a business model could be affiliate sales, speaking is another one of my revenue streams. And then you could be selling products. So I don't sell any physical products, I don't think.
Suzanne Chadwick 11:50
But you might be selling physical products. And so that's part of your business model. So you might have an online, you know, and physical. So you could be doing a service based business as well as a product based business. And then you really got to take a look at and it might be a passion project that you've got that's part of your products. But then really taking a look and saying Does this work? Like is it just something I need to grow is a profitable Am I doing it just because I like it, like looking at each of the elements in your business and saying, Does working like this work for me. So there are more, there are more things that you can do besides done for you done with you on demand, affiliate speaking selling products, but these are just some of the main ones that I think are relevant to my community and my listeners as well. So the reason that most people change their business model is so that they can earn more money in less time and scale what they are doing. Yeah, so it could be through growth as well. So you might change your business model in order to grow your business. And it could be that you outsource as well. That's another way, you know, a lot of times that could work too. So there isn't just a one size fits all, there's different things that you can look at. And so I think that's the other thing is that, you know, even in Brand Builders Academy, we talked about this is that you've really got to take a look at what it is you love to do, what's your zone of genius? You know, how do you charge for that and package it really well? And then how are you going to deliver it. So I always feel like, you know, a business model is building blocks, like you pick and choose what works for you. And then you make it work together to build the type of business that you want. But the other thing I wanted to talk about in this episode is what it takes to change your business model after having your business and building it for some time. So I feel like that's where I've been in my business, I feel like that's where a lot of my clients or my followers and community are, is that they've been in business for a while they've built this business. Sometimes in the conversations I have, it's they feel like they've boxed themselves into the business model that they have built and created. And now it's too hard to get out of it. So the amplify accelerator, which is my high touch group coaching programme and mastermind supports businesses to create their own group programme. The really interesting thing is that I have a lot of conversation with with business owners all the time about shifting their business model. So before they apply for amplify and when they're in the process of looking at joining amplify, these are the conversations that we have. And one of the biggest issues or there's two really the two biggest issues that so many people say to me is I don't have time to shift, which is often followed up by I'm burnt out, I don't have any time I'm working stupid hours because I've got so many clients, or I'll get a message saying I really want to do this, but I don't think I've got the time, which I just think he's a super interesting conversation. I think it's a super interesting comment. And no matter what your business model, or what you're looking to shift to There are a few things that you need to think about and do in order to shift. And so I don't think that you just wake up one day and you say, I'm going to completely change my business model, I am going to go from done for you where I've got, like 20 clients who I constantly work with. And now I'm going to shift to digital products, group coaching, whatever it is, yeah. And you've got to actually go through the process of preparing for that change. And you've got to do things that are uncomfortable. And that you may need to obviously change the way that you're working now in order to get to where you want to be. And if you've listened to the podcast, before, you will know that I've spoken about it before, you need to think about where do I want my business to be in 12 months time? And how do I start today to make that a reality? So not how do I start to shift my business in 12 months time, but how do I start to shift my business now, so that in 12 months time, my
Suzanne Chadwick 16:01
business is where I need it to be. And so that's what we're going to talk about as well. So when it comes to shifting your business model, I'm going to throw a few questions out there, and we can talk about them. So the first thing to ask yourself is, how does your business feel? So is it working for you? When you think about your business, when you think about the hours that you're working the money that you're earning? The way in which you're working with clients? How does it feel, because I just think that you know, something, there's gonna be a lot of different elements that are going to tell the story of where your business is, at the hours that you're working, the money that you're earning, the type of clients you're attracting, but how you're feeling like all of that will create an emotion. And so I think that whilst we're looking at a really practical element, like a business structure, you've got to really ask yourself, How does this make me feel? am I loving it? Am I thriving in it? Is this exciting for me? Do I bounce out of bed on a Monday morning? And I'm like, Let's go yet? Do I have time for my family? Is this or for my hobbies? Or for the social life that I want to have? Like, how are you feeling about the work that you're doing and the way in which you're doing that work? When you look at your week? Does? Is there space for you, as well as your clients? Is there space for the things that are important to you? You know, do you have the time to manage your finances? Have your SEO days have the professional practices that I talk about all the time? Or is it just kind of on the hamster wheel constantly just putting out fires? No time to do your own thing, work on your own business? Those sorts of things? So I think that's the first question to ask yourself. How does work feel right now for me? How does my business feel for me right, now? Does this does this work? Do I feel good? So that's question number one. You can pause it here, if you like and ask yourself that question, write it down, see what comes out. The second question to ask yourself is, how would I like things to look? So if you've answered question one, and you're like, oh, my gosh, my life and my business is amazing. There's nothing. There's nothing that I would change, then awesome. Does, let's just switch the word girls don't know. But the the next question is, how would you like things to be working? And can I just tell you, I actually do love my business model. But I still ask myself these questions a lot. Yeah. How does it feel right now? What about each product and service? How does it feel? Is it working? Is it not working? Do I feel good about it? Do I want to continue to do it? And then if it was working better? What would it look like? And so I asked myself that question, too. And is there anything that I would change about it? Yeah, what could this look like? Is a great question. What would a great work day look like? Is an also a very good question. How much would I be earning even if I was working in this different way? So is it possible for me to be earning what I want to earn if I was to shift the business model? And so let's play with that?
Suzanne Chadwick 19:15
What are those building blocks look like? So if I stopped doing done for you, or I reduce the amount of done for you that I'm doing, and I wanted to move to digital products, then what could that look like? So maybe I take on, you know, instead of 20 clients, I take on 10 clients or I take on five clients. And so maybe those five clients, I increase my prices because that's my high touch one on one stuff. And then I can work with other clients in more of a group environment where I am giving them the support that they need, where they're learning from me where we've got a bit of a community, etc. And then I charge X amount with a goal of having this number of clients. So if I was to do that, then what Would that runway look like? Yeah, what would I need to do now in order to shift that. And so if I start reducing my clients, let's say I've got 10 clients, and I want to reduce that down to eight clients or seven clients. So yes, I'm going to take a financial hit, yes, I'm going to get more time back in my diary, so that I can start building this programme. So that I can then scale and have more clients, where I'm getting paid, but getting time back in my day, and then as I grow my growth programme, my digital products, that service that I want to grow and have as part of my business model, then I can start reducing the done for you one on one. If you're a bricks and mortar, then maybe you're saying, Okay, so do I, and this I'm thinking someone in particular, do I keep my bricks and mortar store that I've had for a long time? Or do we just go online, you know, over the pandemic, when we did online sales, it was amazing, we sold loads, we've got an incredible community online, do we need the cost of the bricks and mortar shop in order to continue to grow our business with online sales. If you're a web designer, or you've got you know, you do things for clients in a b2b capacity, then what about if business comes in to you, but then you outsource it to somebody where you're still the checkpoint, but now you're getting time back in your day, you're paying somebody else to do it. But then you're adjusting your prices, to make sure that you're continuing to earn the money that you want. But now you've got a team helping you. There are so many different ways that this can look like get your building blocks, and start to work this out, what could it look like? And I think sometimes we're so worried about, like, it's not going to work, it's going to take too long, it's going to cost me too much money, like all of these negative thoughts that we have around what is possible for us. And all I'm saying is play. Like, let's play with this, let's see all the different ways that this could look, you're not committing to anything, you're not signing any contracts, you know, you're not writing it in blood, you're just playing with what this could look like. And I think that even if you like your business model, and it's working for you, I still think this is an exercise that you should be doing on a regular basis, at least once a year. What else could this look like? What else could this mix be? How else could I service? My clients? What are they asking for? That? Maybe I'm not delivering and it's not about having more staff? It's about doing a shift? Yeah. So yes, I can still work with clients. Yes, I can still help them to achieve X. But what else could look like? How else could I deliver it? That could really work for me, that could be more fun. That could give me time back in my day that could help me increase my revenue. And you know, something I say to all of my clients, whether it's an amplifier or BBA, sometimes you have to slow down. In order to speed up, sometimes you have to stop earning money, or as much money as you're earning in order to hold fire, build what you need, so that you can then earn more down the track. And that I think, is the biggest fear that so many business owners have, I don't have the time, you will never have the time you have to make the time, I can't let go of the clients that I've got, you don't need to let go of the clients, you need to start to shift the way in which you're working with them, and start to put some dates in place to say, as of this day, I won't be doing X anymore, or I'm going to be reducing my hours, or I'm going to be increasing my prices. Or I'm going to have to let these two clients go in order to give myself the space to be able to build the future of my business. And they're not easy decisions. But if you see you're weighing, and yes, it's a verb, it's an action.
Suzanne Chadwick 24:18
If you're still growing, then those are the decisions that you have to make. I definitely took a hit, letting go of one on one coaching, when I was in the midst of building my programme. But now my programmes are like well ahead of what my coaching was my one on one coaching. And that's because of the scalability of it. So how would you like to be working? How could this look? What are all the building block combinations that you could potentially have? And I think making time to sit down and work that out as well. is also time really well spent. So sit down and Get somebody to either bounce off, or do it yourself or play with different ideas, do the numbers, see what works? And if you were to say, okay, okay, this is what it's gonna look like this would be my ideal business model, the way that I work who I work with how I charge, then it's about the plan. So the next question is, in order to work the way that you want to, what would need to change? And so sitting down and saying, okay, exactly what we just said, Before, I need to let these clients go, I need to increase my prices there, I need to start building X, I need to start doing this thing that I want to do, and start to talk about it, build it work on it, so that I can see the line, which is my revenue line. So I can see my online shift. And so how are you going to shift your revenue line in order to do the work that you want to do. And so it's been really interesting, because I kind of started with events, I let events go. And now I'm like, obsessed with retreats. Like, I love retreats, I like my favourite thing. And so I had, well, I had one retreat in 2021, we were supposed to have two. So the second one's now been pushed over to February 2022, which I can't wait for, which is the thought leaders and speakers retreat, which is very exciting. And then I've got the Bali retreat in June. And then I will probably have another retreat before the end of the year, I'm guessing maybe in November. So we will see. But the work I do is just amazing. When we're at the retreat, I love the people that come along. And so that is definitely another shift for me, as far as the work that I'm doing and how I'm working with my clients how I'm earning money, the way in which we're operating as well. And so I've been looking at my profit and loss, which hopefully you're looking at regularly, and seeing what each of my products and services earn, where the costs are coming from. And what do I need to do and shift in order to be making sure that the profit is where it needs to be. And that most importantly, I'm doing the work that I really want to do? Yeah, and that it's exciting, and it's fulfilling, and that I'm getting the most out of the work that I'm doing and that my clients are getting the results that I really want them to get as well. So really think about that, in order to do the work that you really want to do what needs to change, and what part of your business model needs to change. And I want you to put a date on it, I want you to put a timeline on it, because the whole thing of, yeah, we'll get to it, like we'll change eventually, I'll shift it down the line, that's never going to happen, like unless you put a date on it unless you put a runway in unless you start to think about the communication to your clients about the changes that are coming, unless you start to shift your bank account your money to be able to support you, if you are going to take some time off, or you're going to reduce the number of clients in order to start to build this new thing, then you've got to start to do that. And I've talked about it before, like I pay myself forward. So you know, I'm paid now until sort of mid to end of next year, where my salary will just come out of the business every single month. And so I know that if I just decided to hold fire on things in my business, and really work on building something new or changing things up, which I'm not, I'm not doing by the way. But if I did,
Suzanne Chadwick 28:39
then I've got that financial runway to help me. And I think it's really interesting because I have spoken to clients before where, for example, they'll have a really big month, and then they'll pay themselves a big amount of money. But then then they've not, you know, they're waiting for next month to get the revenue in and then they're going to pay themselves again. And so they're kind of working on that premise where they've just kind of month to month, they're paying themselves. And I just think it's so worthwhile to give yourself the space and the luxury of time. And the luxury of having money that automatically is coming into your personal account from your business that allows you to be creative, that allows you to relax and do the things that you want to do. Because you've already paid yourself. And so shifting your business model can really benefit from having that kind of strategy in place. And the fourth question is what can you do to start preparing for that change from a mindset perspective as well? This is not just about timelines and projects and building things and paying yourself all of that's really important when you're looking to change Your business model. But what needs to change from a mindset perspective? Because I can tell you now, all of the excuses in the world will come up. Because you're doing something that you've not done before. It's the unknown. What, you know, the whole thing of what if it doesn't work? What if I can't do it? What if this? What if that, and all of the negative thoughts are gonna come up? And so really thinking to yourself, how do I do this in a way that feels really good? To me? Yes, it's scary, because most things in business are when we're doing something new. But how can I really start to shift this, so that it feels good to me, I'm doing it within a timeframe that works for me, I'm carving out time to get this done. I'm paying myself I, in my mind, I know what I'm aiming for. I know that in 12 months time, in six months time, this is the business model that I want. And so all of these things that I'm doing helping me to achieve that. And so even though I'm going to have negative thoughts, even though all of that's going to come up, I know why I'm doing it. I know what I'm working towards, I know how this is going to work. And I'm going to start to believe that this is possible, which is another really big mindset block that so many have, yes, this is possible. Yes, you can be successful. Will it happen overnight? How No, nine times out of 10? It won't. But can you start building it now so that it becomes a really incredible asset in your business? Yes, yes, you can. And so you believing that acknowledging it doing what you need to do in order to realise it, I think is, you know, it's like, I want to say 50%. But I feel like it's 80% of the battle. Because so often we talk ourselves out of things, the number of messages that I've had saying, I desperately desperately want to do this series, but I just can't. And that's massive mindset. Yeah, massive mindset blocks. And I think that, we've just really got to anticipate the fact that when we want to start shifting our business model, when we want to start doing something new, then we've got to also work, start working on our mindset from day one, about what's possible, and that I can do this, and that, I just need to continue to work and build on it and learn and grow, get the support I need, etc. And so really, when it comes to changing and shifting your business model, those are just a few things that I think are really worth looking at. And like I said before, even when I'm not changing my business model, I feel like I asked myself these questions, as well. So firstly, is this working? How does this feel? Am I living the life that I want? Am I is this business doing what I want? Now? Not just like, it's been great for the last couple of years. Fantastic, amazing. But is it what I want it to be now and for the next 1224? Three years? Yeah. Question two,
Suzanne Chadwick 32:58
how would you like this to be working? So what are the building blocks that you're going to test and try to see all the different ways that this could could potentially work? Number three, in order to work the way that you want? What needs to change? And so what kind of timeframes strategies etc? Can you start to put in place around what this change is going to look like? And Question four is what mindset shifts do I need to have, in order for this change to become something that's successful? That feels great, that does what I wanted to do as well. And so I think that if you can really start to look at that, I think sometimes people look at their business models, and they're like, I don't really know how to change this. I don't know what to change. And I think if you're in a community, if you have trusted people around you, doing the building blocks, gameplay, I think is is so worthwhile, because I think it's only when you're in that mind frame of I'm just playing with this, I'm just seeing what it could look like that ideas that you hadn't come up with before, or that hadn't presented or shown themselves to you kind of come up, you know, I always say to my amplify clients as well. It's like, it's like your messaging. It's like you can sit and grab something for hours. And be like, ah, that's amazing. And you put it out there, and it'll be fine. But it's the stuff when you're in flow. Yeah, when you're talking about things that the best messaging that comes out, because you're like, in the flow of talking about it, you're in the flow of discussing it, you're in the flow of thinking about it. And so when you're in flow, and you're thinking about what your business could look like, like if you were to wipe the slate clean of everything that you're doing now and rebuild it, what would you keep and what would you let go off? Or how would you deliver it? Or what kind of clients would you be working with? Or how much would you be charging? Like if you were to wipe the slate clean? What would your business look like? And I think That that is such an amazing question to ask, because I think that it really shows you what you want. And I think sometimes we're so stuck in what we've been doing for so long, that it's hard to kind of see the wood from the chase, it's like, I can't see my way out of this. Because I've kind of built this around me. And I don't know how to dismantle it and rebuild it. And so I think that when it comes to restructuring, or looking at a new business model, those are some key things to think of. And also just be aware of, yeah, that it's not just potentially gonna be something that happens really easily for you, but you might have to work at it, like so many other things in business and life. But listen, that's it for this week's episode, shifting your business model to scale is what we're talking about. As I said before, I am just so in love with my amplify accelerator, and the clients that are in it, who are looking to shift their business model, super successful businesses have done done for you, for a long time, have come out of corporate as well, their leadership, their copywriting, their branding, their business, coaching all the rest of it. And we're working together to build something that is sustainable, to design, to build, to launch to grow a programme where you can bring your best work to life, your thought leadership to life work with clients, that you really want to work with, and get paid well for doing it. Because you're working with clients who value what you do, and who want to learn from you and who want to work with you. And so I know that if you're looking to shift your business model into group programmes, and I would love to invite you to apply for the Amplify Accelerator, just go to suzchadwick.com, forward slash amplify, and once you apply and you share a little bit about what you're looking to do, then we'll approve your application and you'll get access to the advanced training along with all the information around the pricing etc. So if you've got any questions about that, just let me know. You can always DM me at Suzanne Chadwick. But hopefully that's given you some food for thought when it comes to your business model and what you might want to shift and change or just some really great questions to ask yourself as well. Well, that's it for another week. It has been amazing to have you here as always, and remember to follow me on all socials at Suz Chadwick. But thanks so much for listening. If you enjoyed this episode, then I would love you to leave a review so that others can find the podcast and come and hang out with us every week. The music to this podcast was created by accent on SoundCloud. Until next time, have an awesome week and make sure you keep playing big and branding bold.