The Formula for Making Money
It was 9:45 on a Saturday night. In California. That put me five hours past my regular East Coast bedtime. But there I was, still on stage in front of over three hundred small-business owners, showing them how to extract more profit from their businesses.
I loved it. Nothing gets me more excited than teaching enthusiastic, ambitious people my success formula, whether in fitness or in business. And this formula was the most important equation they’d ever receive:
(NM + YP) x BI10 x OPC x POS / 5% = $$$
The end.
Clap. Clap. Clap…….Clap.
Just kidding.
Of course I’ll explain it to you.
NM stands for “Niche Market” and YP stands for “Your Product”.
Add those two together and multiply it by the “Big Idea” (BI). The Big Idea is the essential exponential factor in success.
Take that result and multiply it by “Other People’s Customers” (OPC), which is the fastest way to get started.
Now you multiply that by your “Position of Strength” (POS). Your POS is what you bring to the marketplace that no one else can bring.
Divide that by your 5% (Your Unique Ability – the activities that Dan Sullivan explains as being only made possible by you and your talents).
And that is The Formula for how you make money in business.
Let me walk you through it in a little more detail.
To get started building your business, you need to choose a marketplace where you know the customer well.
You need to know what they want, what keeps them up at night (either because they are frustrated or excited), and you need to know what problem they have that you can solve.
Your product itself needs to have a Big Idea.
The Big Idea is something we’ve written about again and again at Early To Rise, so surely you know how important it is by now. Read about how to create your Big Idea here.
Your Position of Strength is a wildcard in your success.
You must bring something to the game (of business) that is unique. Perhaps you have media connections, or an on-screen video personality that is unmatched by anyone else. Or perhaps it is your Big Idea or your expertise in the industry.
Oftentimes we discount our skills that would give us a Position of Strength, so don’t hesitate to ask your colleagues, friends, and family and have them tell you what allows you to stand out.
Finally, you’ve been taught time and time again to make sure that you are delegating the $10 per hour tasks if you want to make $100,000 per year. You need to get rid of the time-wasting activities in your day and focus on the activities in your business that will “move the needle”, as ETR’s Publisher, Matt Smith likes to say.
Or as Bedros Keuilian proclaims, you should really only be working on, “Delegating, motivating, and selling.”
Those are the activities that will bring in revenue to your business – and that is what business is all about.
If you don’t know what activities are worth your time and what aren’t, then you need to get involved in a Mastermind group so that people who have more experience than you can help you.
This will give you faster results.
“Mastermind and collaborate with other smart entrepreneurs if they have futures that are even bigger than their present.” – Yanik Silver
Yanik Silver was my mentor who introduced me to Matt Smith, who then allowed me to achieve the goal of my business dreams, which was running Early to Rise.
You need to get out there and meet the people you want to do business with and be around positive people who have had success – even if it just means starting with a Virtual Mastermind group.
When you can afford to pay to play and get coaching, that will accelerate your progress even more.
The formula is part of your wealth-building journey. The networking you do is part of your wealth building “club”. And the mentor you get, such as myself, Yanik Silver, or Mark Ford, is you wealth building coach. When you have all of these in place, and you follow my wealth-building formula, then you will write your own ticket in life, and will achieve the success you desire and deserve.
[Ed Note: Craig Ballantyne is the editor of Early to Rise (Join him on Facebook here) and the author of Financial Independence Monthly, a complete blueprint to helping you take control of your financial future with research of proven methods in your career, in your business and in your personal life. He has created a unique system to show gratitude and appreciation to stay on track for these goals each and every day. Click here to follow the exact 5-minute system you can use to improve your life. My mentor, Mark Ford’s latest project is the Wealth Builder’s Club. I highly recommend it and look forward to each one of their updates.]