In my last post, I promised I would tell you how to raise your prices, even though you’re probably CHICKEN to do it.
I’ll actually get to that in my next post.
But first, I need to address some important questions I got from readers after my first couple of emails. Here they are:
• Why would I want to grow my business to $10MM? I make plenty of money now.
• I’ve been in business for 22 years and I’m only at $3 million—sounds like you’re selling magic beans.
• Nobody in this market does $10MM—I don’t think it’s even possible.
I already answered the reason WHY you would want to grow to $10MM in a previous post. The short recap is:
You can afford to do everything right in your business, and you have enough money to buy pretty much whatever you want.
How’s that for motivation?
But if you don’t want to run a $10MM company, that’s your business. Nobody’s putting a gun to your head to do so.
As for the “is it possible” question, it depends:
If you’re running a roofing company in Coffeyville, KS (shout-out to my 91-year old grandpa, population 10,295), you probably can’t do $10MM. There’s probably not $10MM total in the entire town including change in the couch cushions.
But if you run a remodeling company in any city of any size at all, it’s not only possible—it’s practically inevitable if you just follow the formula I gave you the other day:
1. Sell awesome stuff that people genuinely love.
2. Charge high prices.
3. Use TV advertising.
Think about it for a minute. How much business is there, IN TOTAL, in the city where you sell stuff?
If there are two companies doing $3MM, five companies doing $2MM each, and 100 smaller companies doing $15MM in combined sales, that’s $31MM.
You only need to capture a third of that.
Yes, if you take a full third of the sales in your market, other companies are going to suffer and go out of business.
But what do you care?
You’re already better than them, right? Good grief, if you don’t think so, why are you even reading this?
You already genuinely offer the best value in the marketplace (not price—VALUE), right?
Then it’s not a sack of magic beans. It’s just math.
The business is already being sold. Why not just sell most of it yourself?
Remember a few days ago, I told you about a company I helped take from $40MM in sales in 2011, to $130MM in sales last year?
Some of that growth came from spreading into new markets.
A lot of it came from OWNING the markets that they’re already in.
They have over 20% market share in 4 of the counties they service, including an astounding 37% market share in the county they’ve been in the longest.
And because they follow the 3-step formula (great products, high prices, TV advertising), they are the most expensive company in the area—by a long shot.
Don’t tell them it’s magic beans. It’s calculated; it’s systematic; it’s expected.
Do yourself a favor. Don’t let anyone else define you. You can do whatever you want. And if that includes growing your remodeling or home services company to $10MM in sales, then go for it.
I’ll teach you how to do it in my new seminar, “Make The Jump To $10 Million” being held in Dallas on April 26 & 27.
To find out more, click here.
P.S. Don’t worry, I promise to show you how to raise your prices even though you’re probably CHICKEN to do it in my next post.