As a small business owner, I’m sure you’re well aware that some months are fantastic while others are lean. After all, it’s simply the nature of having variable income.
However, there is good news here. Sometimes, we have a really good month. For example, in my industry, January is a really good time to make money as a financial writer.
The key becomes knowing what to do with the surplus in revenue. In my experience, the best course of action has always been to reinvest it in some way. Here are a few places you can reinvest when you have a surplus in revenue.
The first place you may want to consider reinvesting when you have a surplus in revenue is yourself. Maybe it’s time to give that retirement a boost. That’s what I’ve done recently when my business has a surplus in revenue because I haven’t been able to invest as much as I’ve wanted in the last few years.
Or, maybe you can finally take that course that will help you in a specific area in your business or your life. This is also something I’ve done in the past. For instance, I invested in a course that would help me improve affiliate sales so I could have forms of passive income in my life.
The point is you shouldn’t make the mistake of not investing in yourself. It’s far too often that our money goes to paying bills or buying stuff. Instead, I challenge you to invest in yourself the next time your business has a surplus in revenue.
If you were to look at my business budget, you would see that I spend quite a bit of money on marketing. I’m talking email marketing provider, opt-in pages, tools to help me automate social media and ads.
The reality is that a big part of my business is getting my message out there. That’s why whenever I experience a surplus in revenue I sometimes consider throwing a little extra money into my marketing efforts.
It’s what I’ve been doing throughout 2016 and the results have been nothing short of extraordinary. I’ve increased my social media presence by thousands of followers which has led to even more money in the form of sponsorship opportunities, product sales and speaking engagements.
Additionally, it’s made it easier for both coaching and content creation clients to find me instead of me having to go out of my way to find them.
Another area where business owners may consider investing any surplus in revenue is outsourcing. This helps business owners by getting busy work off of their plates so they can focus on working on the business instead of in the business.
It’s also a huge help all around. I’m no longer overworked because I know I can rely on my virtual assistant to take care of things. This also means I have more peace of mind whenever I travel.
Additionally, there’s an argument to be made for scaling your business. You can’t do that without bringing on help.
Don’t make the mistake of wasting a surplus in revenue in your business. By reinvesting it, you can ensure you’ll keep making more money as time goes on.