Day 2: Cash Flow Clarity

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Welcome to Day 2!

How are you feeling? You juiced up seeing the vision for your lifestyle and empire? I hope so. Now Day 2 is about getting down and dirty with your finances for the empire you’re building. 

One of the most important pieces of building your company is having a handle on the financial projections. In Unbreakable I will teach you how to create a solid financial picture every year for your company whether you are a service or product based business. But for today, let’s just focus on you. 

Today’s LEVEL UP Coaching  

So let’s talk REAL and IDEAL expenses. No matter where you are in the growth of your company you have expenses. I know you know this. However, as a boss you want to have a handle on what you know you’re currently spending and what you will spend in the future…that way you know what to do with the revenue you receive when you increase it or you get a cash injection. 

Let’s start personally since that will be a little easier to handle during this challenge. But I would encourage you to do this part of the challenge again for your business expenses too. 

IDEAL 

What would you like to do with your income eventually? 

Pay yourself more? 

Purchase a home? 

Hire childcare? 

Travel more frequently? 

Regularly spend on self-care? 

I want you to think intentionally about what kinds of expenses you could foresee down the line. These are your “Ideal Expenses.” 

REAL 

Now this is where it’s about to get real. No pun intended. I will also tell you, this is the area most people want to avoid. You cannot build an Empire in vagueness. You need to know exactly what you’re bringing in and where it’s going. However, this isn’t a budget. 

This is more like a picture. You need to determine what you’re spending now so you can compare the two and know what you need to generate revenue wise within the next 1-3 years to live your desired lifestyle. 

Your LEVEL UP Homework

Use the worksheet attached to this email and fill out your real expenses. This includes your rent/mortgage, insurances, estimate of groceries, etc. Then calculate the total at the top of the worksheet. 

Then write out what you’d ideally like to have as expenses in the next 1-3 years. Add in things like your self-care, learning, travel, property, luxury, childcare, or anything else that you could think of that may feel juicy to you. 

Remember, this is YOUR ideal lifestyle. I don’t want you to think about what you SHOULD want AT ALL.. You’re crafting your own unique vision and we will build or refine your business structure to support that. Don’t worry if it feels uncomfortable or out of reach. Imagine what feels expansive and exciting.

Once you know your ideal number, subtract your REAL number from your IDEAL. That’s your revenue target number. Your Goal.

IRL Example: I did this homework 10 years ago sitting in my tiny studio 200 square foot Brooklyn apartment. At the time I’d just broken up with my girlfriend and moved into this place to focus on healing and building my empire. My real expenses included things like rent, utilities, a business coach, metro pass, groceries (no eating out), and not much else. 

However, I had a vision. My Ideal expenses included the rent for a Manhattan luxury apartment, a new car, the ability to go out to dinner and buy what I wanted without thinking about it, regular trips, and ample savings for a new home.

I had to do a little bit of research to get an estimate on what those things would cost and once I did, I had a target for my revenue. This was 2013. By 2014, I was moving into a high-rise luxury building in Chelsea Manhattan, had a brand new car, and I was planning my first trip to Paris. I know this isn’t everyone’s dream…however, at the time, this was what I wanted for myself and I got it. Partially strategy, partially internal work.

It started with mapping out the numbers and knowing my target. You can do this too. You just have to be committed to the process. You may be surprised your desired lifestyle might be less than what you think.

Use the worksheet attach this email and get to it. 

IG CHALLENGE: To win the spot! 

• Post a portion of your homework or your realizations about REAL and IDEAL expenses to your Stories with caption “Day 2”  
• Tag me (@jwilliamsesq) in your homework story and use the hashtag: #levelupchallenge. 

If you complete the entire challenge you will be entered to win a spot in my brand NEW Business Program “Unbreakable” Check out all the details here. 

OKAY. Now tomorrow we talk about working with your team and how to effectively lead the communication. 

Look at you! You’re in this. I am so proud of your progress so far. Celebrate yourself tonight for being in this process. Around here, we don’t wait to celebrate at the completion. You must acknowledge yourself throughout the process. 

I’ll see you tomorrow for day 3. 

Cheers to your Empire, 

Jo-Ná 

Day 2 Worksheet