One question that we notice a lot of our clients struggling
with, is how do they switch off their creative juices, and lock into a
frame of mind that is much more conducive to getting their finances
straight?
How do they go about making sure their businesses are on track for
profit and not just to indulge a passion?
Nicola Cairncross, ex-fashion designer, ex-Music Biz, and founder of
The Money's Gym has come up with her Top 10 ways to combine a creative
flair with starting to think about your business and its long term
financial future.
1. Decide to spend a day a week on admin, a day on marketing
(both working "on" your business) and then three days working "in" your
business, doing whatever you do to make money. Creative flow
can't be broken interrupted and it's better to divide the week up for
specific activities - then you won't be distracted. Doing
admin on a Monday provides a buffer between the weekend and the
productive part of the week, while doing marketing related activities -
like updating a newsletter, calling potential clients or having
meetings on a Friday winds you down nicely for the weekend.
2. Design your environment to suit your
personality. If you know you can't work in a muddle and
tomorrow is one of your creative days, then tidy up the night
before. Have separate areas for different activities; for
example one area for making/creating and one for admin and
accounts. Very visual types (and I know, because I am one)
can't concentrate with lots of visual distraction and a messy desk
although some seem to thrive on it!
3. Make sure that you have the equipment you need easily to
hand, because getting up to find things will also break the creative,
admin or marketing "flow". Especially if you work from home,
it's amazing how distracting going into the kitchen for a cup of tea
can be.....washing up that needs to be done, washing to put in the
machine, pets to feed, cupboards that need clearing out.
4. Tell all your friends and family what your "work" hours
are. Often if you don't go to an office, people think you are
available at any time for tea, lunch or just "dropping in
on". Even if you are a creative person, you can be ruthless
about protecting your "income producing activity" hours from what I
call "time-stealers". Similarly, surround yourself with
positive upbeat people. If you are always hearing how hard it
is to make a living in your industry, then this will become the reality
for you. Think about role models who have achieved what you
would like to achieve, and find out all about them. What
worked, what didn't? What could you "model" or
copy. Could you find yourself a mentor? It's
amazing how many successful people want to share their knowledge and
encourage a talented newcomer.
5. Consider starting a "blog" to diarize your creative
activities. You can write about your own goals, and set
yourself deadlines. People are fascinated in the creative
process and you can combine this on line diary with a name and email
collection process via a simple newsletter sign-up box.
Building a database of people who know who you are and what you do is
the fastest way to ensure that you can fill any private view, fashion
show or shop opening with one free email. The search engines
love "blogs" and you won't be a secret for long. I recommend
TypePad.com where for $89 a year, you can run three different blogs
under one account. Powerful stuff.
6. Make friends with your bank manager. I used to
meet mine for coffee once a month and he's still a great
friend. Bank managers have seen many businesses come and go
and, if you ask, will share a lot of knowledge on how to run a
business. They often have a wealth of contacts in the local
community and can introduce you to other business customers who can
help you grow your business. And if you need them for help
with an overdraft or a short-term loan, they will be much more likely
to be able to help if they know you and your business well.
7. Any bank manager will tell that it's not lack of profits
that kill a business, it's lack of cash flow control. I've
tried many methods of running my cash flow - some simple and some
complicated - but the best/easiest/fastest way I've found is a simple
Excel spreadsheet which combines money in, money out on a week by week
basis and which projects out at least 18 months.
You check it (reconcile) to your bank account every week and anything
that hasn't happened that you expect to happen, you move
along. Perfect for making sure you keep on top of that credit
control (making sure invoices get paid) because you can see at a glance
what effect not collecting the money will have!
8. Find yourself a VA. Virtual Assistants are like
Personal Assistants but you hire them by the hour and they don't have
to live in the same town or even the same country as you.
Super efficient, they can take care of admin, accounts, travel
arrangements and anything else you need. Marvelous!
9. Think about creating passive income flows. Many
artists and creative industry types struggle when they could be making
money from other sources to free themselves up to do what they love -
creating beauty. Very often you can leverage what you do to
create passive income flows on line with only a small
investment. Show me someone with £50,000 worth of
equity in their property and I can set them free for life, making sure
of a fabulously comfortable old age (and they wouldn't have to DO
anything themselves either). Being creative is not an excuse
for living in poverty or worrying about your old age, you know!
10. Spend some time each week reading the great business
building and creative development books - often a less daunting
prospect than you may think! Often written for short
attention span entrepreneurs, books like "E-Myth Revisited" by Michael
Gerber is a great story, while teaching you how to build a business to
last. "Rich Dad, Poor Dad" by Robert Kiyosaki will convince
you that you are on the right path and "The Artists Way" by Julia
Cameron is rapidly becoming a classic too.
These Top 10 Tips was created by Nicola Cairncross, ex-fashion designer
and music biz manager, co-owner of The Money Gym, helping bright,
creative people set themselves financially free by building a business
to love, investing in property and the stock market and profiting from
their passion on line.
The Money Gym
