Recession Strategies To Increase Cash For Small Businesses Part Two: Multiple Revenue Streams

In this current economic climate there are two types of entrepreneurs…

The ones who are freaking out, preparing for the worst, pulling back on investments, focusing on the problems, waiting for others to fix it, and filled with dread. They spread doom & gloom wherever they go.

And then there are the ones who see opportunity disguised as obstacles. They are leaning in, problem solving, innovating, creating more value, and they are filled with hope. And they are spreading that hope everywhere.

I hope you choose to be the latter. 🥰

- wise words from Kristen Boss

When building a profitable small business, do not put all your eggs in one basket. Have multiple revenue streams to add value to your clients in many different ways and pivot when needed.

This does not mean you have so many offers it’s overwhelming or that you are creating so many different things and throwing spaghetti at the wall until something sticks. Nor does it mean you have multiple revenue streams when you start. They are built overtime.

It means you have multiple ways for people to work with you based on the investment they want to make or are able to make. And it means you offer what your clients need and are looking for.

Customer Levels

Offer items at different investment levels. Do not assume all people finding your small business will want to invest at the highest level. But do expect some will and have a higher level for them to invest in. This can look different for each business, but it can start as simple as having three customer service categories.

Introductory Level

These would be lower priced, but still value packed, offerings. Typically an introductory level product would be priced around or less than $100. For example, offering a signature masterclasses which deep dives one particular issue could be priced at $47.

 Intermediate Level

These would be more mid-level priced & value packed offerings. Typically an intermediate level service would be priced around $500-$1k. Maybe even as high as $2k.

Advanced Level

This would be high level offers. VIP offers. 1:1 offers. They take more of your time and give the client a hands on approach and therefore have a much higher price. Typically an advanced level service would be priced around $1k per month or a total package of $5k or more.  

Multiple Revenue Streams

Having multiple revenue streams helps put cash in your pocket as a small business owner. This allows you to change your focus on what you are marketing depending on what your clients want and/or the direction you want your business to go.

For example, you may have a season where your clients are more interested in small courses or signature classes to give them quick wins. Then there may be a season where memberships or group coaching is all the rage. After that you may have clients who simply want someone to tell them what to do in a 1:1 type service. 

And then you may reach a season where you need passive income streams, because your time and energy are needed elsewhere but you still want your business to be profitable.

 Multiple Revenue Streams Could Look Like:

•  Signature Masterclasses
•  Mini-Courses
•  Full Courses
•  Digital Products
•  Ebooks
•  Group Coaching Program
•  Membership Program
•  1:1 Services

This is not an exhaustive list, nor do you need to have all of these revenue streams in your business. This is just a list to get your creative juices flowing. The options you have for growing a profitable business are abundant. Pick what feels good for you - not what someone else says you need to offer. After all, your business needs to be designed to support the stage of life you are in and the life you are aiming to design.

Do you need a big pivot?

At times, the market can take a drastic turn, for example a recession. And you may need to make a large pivot in what you offer in order to ride out the storm and still have a profitable business with good cash flow.

For example, an interior designer may need to pivot from buying new for clients and instead coming in to a clients home and using what the client already has. This still allows the interior designer to make money in a high level 1:1 service, but it also makes the service more affordable as the client is not having to purchase a bunch of new items on top of the consultant fee.

What Does This Mean For You?

As a small business owner building a profitable business will come disguised as obstacles. Be sure to lean in by creating multiple revenue streams, problem solve with different levels of offerings, innovate & pivot, and create more value for your clients as needed.

Obstacles are not always fun, but they do not have to run your small business bankrupt. You can adjust and still have a cash strategy that serves your goals.

If you found this post helpful….

I would be so grateful if you would take a moment to pass it along to a business friend right now!