So I have a real bug bear at the moment which I think needs to be openly discussed and this is the illusion in the coaching industry of the 6 figure entrepreneur and what 6 figure financial success looks like. Think fancy Paris shoots, Chanel bags, luxury trips here and there and a cookie cutter, one size fits all approach to building a business!
Having a business is one of the best wealth creation assets we could ever own! We have the capacity to earn unlimited amounts of income and set ourselves up for building real sustainable wealth both in and outside of our businesses however, building a profitable, sustainable business takes time. There are no overnight successes. Being in business is about sustainability! It's about playing the long game and that involves sufficient cashflow and healthy profits! There are some in the online space who simply will no longer be around in 5 years time because their focus is simply on creating a business which appears successful, rather than one that actually is!
Having one 5 figure month, does not make a successful business owner. Having one successful launch does not make you a successful business owner. Encouraging people to just increase their prices to extortionate amounts and sell more does not make them more successful! And it does not guarantee more financial success. In fact it can do quite the opposite if energetically the business owner does not feel aligned with those prices nor can provide the value at those price points and to the expectations of that market. The 6 figure entrepreneur is an aspiration that many new entrepreneurs or coaches aspire to but they’re disillusioned by many about what that financial success really looks like, how they get it or what having financial success looks like for THEM and THEIR business! Whilst also being led to believe that 6 figures equals less money worries!
I’m going to let you in on a behind the scenes secret, there are lots ‘successful 6 figure coaches’ who are actually broke or just barely breaking even!! Don't get me wrong, I know plenty of amazing coaches, building profitable, sustainable businesses but real success comes from sustainability and that comes from forecasting, planning, projecting and really understanding the financials and key metrics in your business. Treating your business like a business and focusing on building wealth, not just looking wealthy!
It upsets me, because some coaches are selling the illusion to many around them about building an amazing 6 figure business yet their own business model is broken because it is not profitable nor sustainable long term!
Social media and the online world is an amazing place to connect, but it’s also a very dangerous place. We can become very disillusioned by what a successful entrepreneur actually looks like and distort our own measures of success based on the lives of others and how it APPEARS to be looking from the outside in.
I have had my own experience with a rogue coach as have many of my clients, and it is frustrating and time to talk about what's really going on! The measure for success in those early stages can be so unrealistic and is quite often set by those who have no means or experience to support the true entrepreneurial journey, so when these measures are not met amazing entrepreneurs question themselves, their ability and their entire businesses because they bought into the disillusion of what financial success looks like and the truth is its far from what is portrayed on social media. It takes time, patience and consistency to create what seems to be an ‘overnight success'.
Did you know in the early years of his business Gary Vee only took home $40K a year whilst his business was turning over millions? Do you know the average millionaire drives a modest car and lives in a modest house? Why, because their focus is on expanding the gap on what they make and reducing the gap on what they spend so they have the capacity to reinvest back into their businesses for scale or sale and in themselves to create more wealth and more impact. Is that not success? It's about playing the long game!
A truly successful entrepreneur always looks the same, in ANY industry!
Firstly, whilst they love their people and are driven to make an impact, they focus on and appreciate the numbers! They are the ones who can generate a consistent revenue, have a margin for profit, and have strategies in place to ensure a steady cashflow. They take their financials VERY seriously! They have clear systems and strategies in place to ensure the sustainability of their business. They are playing the long game!
It doesn’t matter whether your business is generating 5, 6 or 7 figures. Its not so important how much revenue your business is generating, as it is what are you spending and how are you spending? Are you spending your cash or profits to build out your team? Invest in upgrading your client/customer experience?
Is a 6 figure entrepreneur who mismanages their financials and is one payment away from financial disaster more successful than the 5 figure business owner they are coaching, who generates consistent revenue and can afford to pay themselves every single month simply because the coaches revenue is greater? Hell no, their business model is broken and that is out of integrity with that which they are preaching.
So, be honest with yourself about your reasons for earning 6 figures and more importantly, who you align yourself with to get you to that!
Instant gratification is a dangerous thing and can kill your cashflow quicker than you can say queen so don’t feel you need to keep up with the jones just to appear ‘successful’.
Do you honesty want to be on a constant cycle of feast and famine just to keep up with the illusion of what someone else deemed financial success to be?
As I said earlier, most financially successful people drive modest cars, live in modest houses and live well beyond their means because they’re playing the long term money game with both themselves and their businesses.
Now I’m not saying that you can’t have a 6 figure business and go on luxury holidays… you absolutely CAN, but only if you can really afford it or your businesses profits allow you that luxury. Unfortunately for some this appearance, is not the reality!
Building a profitable, sustainable business takes time it doesn’t happen over night.
There ARE success stories out there! However my advice to you is pay close attention to who aspire to be as a successful entrepreneur and who you seek advice from when it comes to building your business and wealth.
Do your research, ask around and ensure that those business or money coaches you seek advice from have built a sustainable business and/or are good with their financials because without that, you may quit your entrepreneurial dreams before you’ve even got started because you bought into the Instagram version of Financial Success.
If you're ready to maximise your cashflow and profits, power up your sales and really start achieving your desired financial results find out here how I can help to support you and your business.
Let me know your comments below and share this with anyone who you thinks needs to hear this today!
4 thoughts on “6 figures of Broke! The Disillusions of the Coaching Industry!”
This is brilliant!!! Could not agree more!
A very interesting and well written article Dominique.
Brilliant article and I couldn’t agree more with what you’ve written. Too many coaches out there ‘promise’ a quick fix or haven’t done the work themselves and therefore can’t be giving coaching.
Awesome share. You have given me a lot of things to ponder on. Thank you.