A lot of us get into business because we want Freedom.
Sure, we want the income and to have a big impact, but most of all, for us personally, we want freedom.
If you’ve had jobs in the corporate world, where someone else dictates what you do, when you do it, where you do it, and how much you deserve for that, you know that there’s very little freedom in that. You can feel it. You feel trapped.
Most people in jobs dream of the freedom they would have if they started their own business.
But, here you are today, in your own business …
Do you feel free?
Once you get past the honeymoon stage of starting your new business, you find out very quickly that you’ve just created another job for yourself, one that demands more and pays less. A job that takes away all the time, energy, and freedom that you thought you would have.
So, what’s the answer?
Is it possible to have a business that gives you the freedom you so dearly wanted?
Yes, it is possible! But …
You have to design your business
from the start
to give you that freedom.
If you don’t design your business for freedom, it will quickly take over your life.
So, how do you design your business for freedom?
At the core, you have to understand which of the 4 FREEDOMS you are shooting for. But first, you have to understand …
Simple Freedom vs TRUE FREEDOM
The first critical thing to understand is that there’s a big difference between Simple Freedom and True Freedom.
Simple Freedom
Most people’s ideas of freedom is simple, because for the most part, it’s about letting go of or getting rid of all the things that weigh you down.
- Don’t like your job? … Get rid of it.
- Got too much stuff? … Get rid of it.
- Don’t like bureaucracy and office politics? … Dump it and become a solo-preneur.
- Don’t like the responsibility? … Do your own thing.
- Tired of the house and car payments? … Sell everything and travel the world!
Every time you peel away a layer that feels heavy, you feel lighter, and your feeling of freedom increases.
Just peel, peel, peel, until finally you feel as light and free as a feather, living the dream life of running your own business with very little tying you down.
At first, it’s awesome. It feels great. The freedom makes you so happy.
But one day, you have a panic attack …
- “Where is the money going to come from?
- How do I find a client, like yesterday?
- Last month was ok, but next month looks so empty I hear crickets!”
The realization dawns on you that you have no solid foundation. You live week to week, month to month, terrified and hoping that everything is going to be alright.
You also come to the big realization that …
You don’t feel so free anymore!
Why? … That’s because …
Without a solid foundation, that Simple Freedom isn’t really freedom at all.
Simple Freedom is all smoke and mirrors, designed to fool you into thinking that you’re finally free.
So, what’s the solution? … TRUE FREEDOM.
TRUE FREEDOM
True Freedom is built on a solid foundation.
A little side story to demonstrate …
Half the planet is single … Single people have a ton of freedom!
They can do what they want, when they want, with whom they want. It’s a life of no-constraints when it comes to meeting people and having fun.
Single people should be super happy, because they are super free.
And yet … Most single people are miserable. Or at least, making do, trying to be happy as a single person. I know. I’ve met most of them, having been one for a few years too.
Why are they so miserable when they have all this freedom?
… Because that freedom is a Simple Freedom with no solid foundation.
What to single people crave? … A relationship!
Why? Because a relationship means a solid foundation. It means safety. It means security. A relationship means there is someone you can count on.
“But Mark, doesn’t that mean a ton of constraints? How does that give True Freedom?”
… I’m glad you asked.
Have you ever noticed that a lot of people in relationships are happy?
Why? Because people in relationships have True Freedom. They have TRUE FREDOM because they are with someone they can trust, someone who has their back, someone they can open up to, someone they can relax into, someone they can actually do the things they want to do deep down.
There are a lot of things you can do
with your relationship partner AFTER you’ve built trust,
that you can’t do with someone you just met.
This solid foundation of a relationship gives them True Freedom to be and do what they want.
Are there constraints? Yes. But overall, couples do more things together and have deeper experiences than single people on a date. It’s a richer experience.
So, how does True Freedom apply to your business?
Having freedom in your business isn’t about getting rid of everything.
TRUE FREEDOM in your business is about building a solid financial foundation.
A Solid Foundation, with consistent cash flow, consistent client attraction, systems that make things simple and predictable.
It’s not about feast and famine. Who cares if you made $10,000 this month, if you have no idea where your clients are going to come from for the next six months. That’s just luck. That’s not a solid foundation.
It’s not about rolling the dice, shooting for the stars, only to have it come crashing down again.
A solid foundation means consistent income and consistent processes. It means knowing what will happen, instead of being surprised it happened or wondering whether it will happen.
A solid foundation is built on STRATEGY, not hope.
As you grow your solid foundation, you will find your TRUE FREEDOM grows too.
Too many people make the mistake of trying to grow a house of cards. Not a good idea.
Build your house with bricks, not cards. Build it solid.
Build a solid foundation with bricks and grow it. Then you’ll have True Freedom that you can really enjoy and count on.
THE 4 FREEDOMS
To ensure your business gives you the 4 Freedoms, you have to design it that way.
You may not be able to get all of them at first, but you can grow into them as your business grows.
1st FREEDOM: CHOICE
The first freedom is the most important one.
It’s the freedom to decide for yourself what is most important, what you’ll work on, where you will go, and how you will get there. It’s the freedom to be autonomous and call the shots, creating the destiny that you crave.
If you’ve ever had a job, then you know this is the 1st Freedom, because you didn’t have it in your job. You didn’t get to decide what you did, or how you did it, or where the company should go. Someone else made the big decisions, leaving you with the job of executing on their vision.
Freedom #1 is making your own decisions about what’s important and what you focus your energy on.
2nd FREEDOM: TIME
The second Freedom is control over your schedule and your life.
It’s very hard to create your dream and vision if someone else is controlling your schedule.
To create your dream, you need to have the ability to do what needs to be done, when YOU decide it needs to be done. You need to have to control your schedule.
You have a limited amount of time left on this planet …
Freedom #2 is about making your own decisions about your time on this planet, so that you can create and focus on what’s important to you.
3rd FREEDOM: LOCATION
This is not needed by everyone, but a lot of people (myself included) value this very highly.
The third freedom is about being able to build your business, impact the world and make a living from anywhere you choose!
- Don’t like winter? … Move south for the winter.
- Want to learn surfing or Spanish? … Run your business from Costa Rica for a while.
- Want to re-plant your roots to a city an hour away, without having to change jobs or commute? … Yup.
- Want to work at a different coffee shop or library instead of your office? … No problem.
Either way, Freedom #3 is about YOU deciding where you want to live and work.
4th FREEDOM: FINANCIAL FREEDOM
This last one is what most people dream of … Financial Freedom.
There are 3 significant stages of Financial Freedom. Many will achieve the first, some the second and few will achieve the third.
The 3 Stages of Financial Freedom
Stage 1 – “Shut Up!”
The 1st Financial Freedom happens when you make enough money in your business (consistently) to survive (with a little extra).
This is BASELINE FREEDOM.
In other words …. You don’t need a job anymore and you’re not bleeding money!
You are now living off your business alone, and you can make your own decisions about what you will do, when you will do it, and where you will do it.
You can now tell everyone around you to “Shut Up! Stop telling me to get a job!” (You know what I mean 😉
Stage 2 – I’m So Happy!
The 2nd stage happens when your business hits $150,000 in revenue.
Why $150k?
A typical Training/Coaching/Expert business with $150k revenue will give you $75,000 in take home pay (50%).
[All of this is VERY approximate, as every business is different.]
What’s significant about $75k? …
According to research, $75k is the point of MAXIMUM HAPPINESS!
Up to $75k, every increase in income brings an increase in quality of life and an increase in happiness.
But anything above $75k doesn’t change your happiness that much. Therefore, $75k take home pay means maximum happiness and a great life. You don’t have to stop there, but it is a milestone.
Of course, all of this is very theoretical, as there are many people earning $150k ($75k) who are just miserable, because they designed their business incorrectly.
Nevertheless, it’s a good target to aim for.
Design your business for $150k Revenue, $75k take home pay, and maximum happiness!
Stage 3 – True Financial Freedom
True Financial Freedom happens when your PASSIVE INCOME meets or exceeds your cost of living.
All of the above income levels where ACTIVE INCOME … meaning you had to be there and do the work to earn the income. No work, no money. Ooops!
Passive Income means that (for the most part) you don’t have to do the work to earn the income. The money flows in whether you work or not.
The classic example of passive income is when you own a CASH FLOW POSITIVE RENTAL PROPERTY (i.e. real estate).
Money flows in month after month from tenants, and if you are running it properly, that pays for the operational expenses and financing, leaving you with $X/month to live off of.
If that cash flow meets or exceeds your living expenses, bingo! … You’re financially free!
BUT … How do you do that in a training/coaching/expert business where YOU are the expert?
It’s a lot harder to create passive income in our kind of business.
Sure you can create products. Some people call that passive income, but it’s not. Why not? Because you still have to put a LOT of effort into selling those products to create that income.
However, you can build your business to the point where your team takes care of selling the products.
There are other ways to create passive income in your business.
The point is, in a training/coaching/expert business, passive income is much harder to set up. Therefore, True Financial Freedom is a bit elusive for most in this industry.
I do recommend, however, to keep it in mind. The more you can add layers of semi-passive income in your business, the easier your life will be.
TO WRAP IT UP
Remember, to have freedom, you need to design it into your business from the start.
There’s a big difference between Simple Freedom (which is just letting go) and TRUE FREEDOM (which is based on building a solid foundation) … Aim for True Freedom.
Design your business for, and grow into, the 4 FREEDOMS.
1st FREEDOM – CHOICE
2nd FREEDOM – TIME
3rd FREEDOM – LOCATION
4th FREEDOM – FINANCIAL
- Stage 1 – Baseline Freedom (Live 100% on business income)
- Stage 2 – Maximum Happiness ($150k Revenue)
- Stage 3 – True Financial Freedom (Passive Income > Living Costs)
QUESTIONS FOR YOU
Q1. Which Freedoms do you have now?
Q2. Which Freedoms do you want to grow into?
Q3. Do you want fries with that? … (I mean, “Do you want my help?”)
Give some thought to all this. How does your vision match up? What do you need to change?
Talk to you soon!
Mark Lengies, MBA
Chief Transformation Officer
Business Strategy for Ambitious HealthPreneurs
FREE MASTERCLASS5 Key Steps To Filling Your Health Coaching Business
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