It's been too long since writing. A lot has happened. We had the opening party, which everyone seems to agree was a success. The class was at absolute capacity. We were mat-to-mat and there was not even room for any teachers to take class. The party afterwards went well. Jennifer Meek danced (amazing), Sarah Jenness and her husband, David, fire danced (beautiful, ethereal) and Katie Colver's band Winnie Byrd played a set. They were great. I can't wait to have them back in the studio for another show.
Meanwhile, my bank account has dwindled to the triple digits. With no real estate clients anywhere near closing, much less in contract, there is no income in sight for me other than what square one can pay me.
Which isn't much. Square One has only recently even been able to pay me for the classes that I teach. I have never been compensated for running the place. The reality is that the money goes into, not out of, most businesses for at least the first year. It's doing better now. I was able to open the second location without incurring any more debt, and none of my personal money has gone into the studio for several months, which is obviously a good thing since I don't have any.
It's wonderful that so many people love square one and that we had a great party, but ultimately for it to work I've got to be able to pay my rent and the debit card has to go through when I buy the dog food. So I've been really busy. I need to do more thorough numbers-running, but at a glance, it seems that if we can get 50% more paying people through the door, square one can start paying me a living wage.
That feels doable. With the move, we've gotten rid of a lot of the problems that meant people didn't return. We have a good heater now. The studio is quiet and spacious. It's not on State Highway 123. The passers-by don't gawk at students through the window as though yoga were the most foreign and bizarre thing they'd ever seen. (It happened. A lot.) There were always good reasons to come back to square one, but there were also lots of reasons not to come back. I don't think that's the case anymore.
With all my heart and time and energy, I'm making sure that the experience for the students is ideal. I've bought new software that helps me keep track of the money a little better. We were losing money because our record keeping system wasn't accurate. That's not going to happen anymore. The software also makes it easier for people to spend money online, and we're seeing more revenue come from the website now. The software is expensive, but I think using it is one of the best decisions I've made about the business. Second, of course, to the move.
And I'm marketing. Like crazy. Along with getting the website professionally done, I'm putting postcards out like I did in the early days. I'm giving away lots of free class cards for new students. I'm urging my teachers to help me with this. We've got to get them in the door. I'm pretty sure once we do our retention rates will be really good. For the first time ever, all of the elements are in place.
50% more? It's happening. Our numbers are up slightly and people are investing in class cards and memberships. But will it happen quickly enough that I can pay all my personal bills on time and easily? I don't know, but it's definitely possible.
I often wonder why everyone doesn't quit their day jobs and start businesses. Then everyone can be like me and bring their dogs to work and roll in at ten and report to no one. But I realize today that it's not for everyone. The biggest question I would ask someone considering self-employment is: how comfortable are you with financial insecurity? One day you'll be like me, looking at an very low bank balance knowing that it's only you and your hard work and good intentions and good luck that are going make it comfortable again. Jobs = security. Sort of. The reality is that life is uncertain, but we all have different tolerances for how much we can take. I don't want a job, but I can see why one might.
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Cheers to that. I certainly don't want one either....
ReplyDeleteyesterday:
everyday-sometimes.blogspot.com/2010/03/wednesday-march-10th-2010.html
Hang in there Katy. Its going to get better financially :) There's nothing to go but UP! What software did you end up buying? CONGRATULATIONS on the new studio - sorry I couldn't make it.
ReplyDeleteSending you waves of prosperity, K.B.
thanks, y'all
ReplyDeletemindbody online. it's really great. works for all kinds of fitness centers and spas.