Ep #335: 3 Types of 200k Businesses & Scaling Time

Welcome to the Make Money as a Life Coach® podcast where sales expert and Master Coach Stacey Boehman teaches you how to make your first $2K, $20K, and $200K using her proven formula.

Hey coaches, welcome to episode 335. So today is the third episode of our three-part series, launching in one week based on the three most popular revenue groups that we come in. It’s not all of the revenue groups. We have students who come in at $50k and $60k and $150k and all the revenues, but typically I boil it down to my $25k earners, my $100k earners, my $200k earners. And then of course, people fall in between.

So today we’re going to be talking about my $200k earners, people making $200k for the first time, people at $200k, and what the data study revealed about this income group that I feel like I’ve been preaching to the choir for many years, but the numbers really, I think, show it. And so I want to break it down and talk you through it. And so we’re going to talk about three types of $200k businesses and the different levels of value that each one of them have.

And how you might want to transition your $200k business. So, the first things first, when one of the things that the numbers showed us is that we have created or had 86 brand new $200k earners created in the $200k room. Like from scratch, 86 people made $200k for the first time, and then 28 made more than a $200k return coming into the room.

So that’s 114 students in a five-year period creating $200k or more. So some of them might have created $300k, some of them might have created $400k. And then their median growth was 14% in one round and 28% annualized.

Now, this was not shocking to me at all. And I’m here on this episode to educate you and prepare you on why. But first, it’s important to know that growth is the people making $200k is not the people making $200k for the first time, it’s the group coming in already at $200k. So between $200k and $300k.

This is a part where I’ve been teaching this for quite a while. This is a time in your business where things start to slow down. For good reasons, and only in the perspective of revenue, there’s a lot happening underneath the surface, but this is a time where once your growth starts getting in the multiple six figures, strategy matters, being strategic, having your back end cleaned up, and really preparing to scale is where you want to be focused.

I’m going to break this down for you because if you don’t understand the three types of $200k businesses and why growth could start slowing down around this revenue period between $200k and $300k, it could cost you a lot of confidence. It could create a lot of heartache. It could keep you out of being in the current, out of the miracle, and out of growing fast.

And this is median growth. So it doesn’t mean this is everyone’s growth. There are also people who come in and they explode at $200k, and they go from $200k to $400k. You know, for me, I went from $325,000 to $860,000 in a calendar year. But I leveraged everything I’m going to tell you on this episode. And I stayed in the miracle of it all.

But what I think is really like amazing about these numbers is I think there’s so much, you know, information marketing in the industry that’s very focused on, you know, quantum leaps and it’s like constantly like double and triple your revenue, like all of the time, year after year. And what I’ve found is a lot of people end up coming to me very exhausted and with a perspective on their business that doesn’t quite align with real-world businesses.

And remember, 40% annualized growth is hypergrowth. Right? For even like venture startups that have millions of dollars of venture capital running through them, like tech startups, like that 40% is considered hypergrowth. So 28% is still a lot of growth. But we’re getting a lot of messages in the industry that’s like, you know, you should be doubling your revenue, 100% growth, 200% growth. And yes, I’ve had a podcast where I said, like my the median growth of my $25k earners is 248%. That’s just the fact.

And also, they have room to grow. When you get to a business that’s $200,000 and $300,000, you don’t always have that room to grow. Sometimes you do. There are so many factors that go into it. But we’re going to break it down today, and I’m going to give you a real-world perspective so that you maybe don’t have to feel so alone or like you’ve done it wrong or something has gone terrible.

Like sometimes just what we make our numbers mean causes us to completely spin out, step out of our self-concept, lose our minds, hate our businesses, think we’re failing, and destroy everything we’ve created, but only because we made our numbers mean that something has gone wrong. And then you like have an outside perspective of outside of the industry of maybe what people have been marketing to you and you’re like, oh wait, actually, tech companies in Silicon Valley are growing 40% annually and that’s considered hypergrowth. Maybe I’m doing great if I’m growing 30% every year.

So I want to bring this conversation as we make more and more money back to a little bit more of like reality without also telling you what’s not possible because I went from $325,000 to $860,000. But I will say I was highly mentored during that time. I had a lot of the things we’re going to talk about on this episode. I had a lot of the skills developed already. I developed them between $150,000 and $325,000. I also didn’t have kids at the time. I worked like my business was my baby. It got 100% of my focus during this time, every ounce of me. And I really just, like there were so many things working.

There was also things that were not working, but there were so many things that were working during this time period where 100%, like these types of quantum leaps absolutely can happen. And if they’re not, it’s also okay. Like nothing has gone wrong. Okay.

So let’s break it down. Let’s talk about the three types of $200k businesses. The first type of $200k business is a 200… And this is not inclusive of everything. There are also $200k businesses that are memberships and courses, and things like that. I’m going to be speaking to typically the businesses that I coach on and what I see, but I do have outliers come in. I have people who come in who have memberships and things like that. Memberships, courses, programs. But typically, at the $200k level, what I see coming in is $200k in one-on-one coaching.

So you have maybe 20 clients a week, maybe you’re charging, you know, $10k for that coaching package or $5k for that coaching package, depending on, you know, what your package length is. But the first type of business is having a one-on-one coaching business making $200k.

And then the second one is a hybrid $200k business of one-on-one coaching and group coaching. And typically that’s small group coaching. But again, it could also be like a membership or a program.

And then the third type is a $200k business in group only. So you make $200,000, and maybe you have one or two groups that you run either annually or at the same time. You’re making money purely off of group coaching.

So here’s the first thing you need to know. These are not the same businesses. There are pros and cons to all of them and specific work for each business to create the business and to drive the business forward. And when I say specific work, I mean like skills you have to develop, self-coaching, you know, personal development work, business development work for each business to create the first $200k and then drive the business forward.

So let’s break them down. So $200k in a one-on-one coaching business is the simplest of the businesses. And that is really the pro of that. I remember having a $150,000 and a $325,000 business that was mostly one-on-one. I had started to also, at $325,000, I also already had groups as well. But this was a time in my life where it felt the easiest to sell, the easiest to deliver, the least amount of responsibility as far as like business demands. I was just immersed in coaching all of the time.

So I wasn’t spending a ton of time marketing, the things I and selling, like the things I was doing, were kind of selling themselves. I didn’t have to have a huge audience to do this, so it wasn’t, I just wasn’t having to think really big. I was mostly working off of referrals and networking.

And I just got to spend an immense amount of time in my craft with very little responsibilities. I didn’t have a VA because I didn’t need one. And it was really a beautiful time in my career. And I always tell people, the longer you can stay in this beautiful time of your career without holding yourself back, but like there doesn’t need to be a rush. Like this is a I can’t say it enough, a beautiful time in your business. And you can actually take a one-on-one coaching business to $300k or $400k. Like really as far as you want to go, the business work for this type of business is to grow your identity and therefore your demand so that you can keep raising your prices and keep filling ideal clients at that price point and keep delivering results at that price point so that you could, if you wanted to have a really simple business, grow it up to $300k, $400k.

So you have to find buyers at the new price point, and then you’ve got to overdeliver for what you’re charging. And that’s my value. You don’t have to do that. It’s just my value is I always want to overdeliver for everything I charge for.

So there’s not a lot of like work that you have to be doing. There’s not a lot of like skills you have to develop, tools you have to develop. It’s identity work. It’s believing in demand work. It’s finding buyers at your price point that you want to be at. It’s over delivering to the clients that you have, and then enjoying the crap out of your business. Super fun.

And then the next business is a $200k hybrid business of one-on-one and group. And for this business, the work is really being clear with the purpose and the value of each of these offers that you’re selling. If you’re selling one-on-one and group, you got to be clear and know the purpose of the value of each one of them without them being in competition with each other. So one-on-one cannot be in competition with group.

You can’t be selling them against each other. Group can’t be I tell this to my students all the time, group cannot be the cheaper version of your one-on-one. If you sell it that way, it’s not going to sell. It can’t be the discount. It can’t be for the people who can’t afford the one-on-one. The group has to be standalone value and purpose on its own. And then you have to create audiences to support both of those offers. You want to be constantly having your one-on-one spots filled, and you want to constantly be filling up your groups. And those aren’t always the same people.

So to give you an idea, when I did this business model, my one-on-one clients were also buying my group. Not for a discount, not for free, but because my self-concept and the value of my offer were aligned.

So, and I wasn’t pitting them against each other. It was just like, I have this one-on-one offer, and here’s what we do here with one-on-one, and here’s the value, here’s the purpose. Here’s this group. Here’s what we do in group, and here’s the value, and here’s the purpose here. And they’re both so amazing and they’re both so great and, you know, different people are going to buy each one, and also the same person might want to buy both.

And that’s great too. They both are worth it. They both have lots of value. That’s the work when you have a hybrid business. The work is also to create demand for both without dropping one and forgetting about one.

And this is I think the thing I coach on the most when people have a hybrid business is how am, I how do I market both? How do I make content for both of them? How does it all fit into place when you’re doing it for the first time?

And the work really is to not be confused about how to do this, but to get clarity quickly and then move forward powerfully in bringing these two offers to life. Like you want to just understand how you’re selling them, the purpose, the value, if you’re in my Mastermind, you want to be able to know what your PSPR is for each of them, who your client is for each of them. And then have that self-concept of I have two offers that are both in demand, and I sell them in that way.

I will tell you one thought I’ve given my Mastermind students that has been really helpful for them has been that I believe every time I show up to sell any of the offers that I have, I am selling for my entire brand. I’m selling all of my offers at the same time. So if I’m selling the Entrepreneur Series, I’m also selling 2k and 200k and 2 Million Dollar Group.

I get people asking me about each of them every time I do an Entrepreneur Series. And then when I sell 2k, the Entrepreneur Series always comes up. Someone’s always asking me about, well, when can I get into 200k? When I sell 200k, people are always asking me about 2 Million Dollar Group, and people will typically buy 2k while I’m selling 200k because it’s so inspiring to them. So I just believe that every time I show up, I’m selling for my entire brand. I’m selling all of my offers. I’m constantly showing the success of my offers and growing demand for all of them as I sell each of them.

So for you, if you have this hybrid business or you want to, you’ve got to know that you want to be growing demand for both as you sell one or the other. You’ll always have one-on-one people that will come in when you launch group. And then you’ll always have people that do consults for one-on-one, and you think they’re a better fit for group. And not because they don’t have the money to afford one-on-one. There’s a lot of other reasons someone could be a better fit for group.

But being super clear on this, that’s really the work of having two offers that are happening at the same time is they can’t compete with each other and you have to be really clear and you have to have audiences for both, demand for both and really understand your marketing plan for both.

And then the third offer is the $200k in making $200,000 a year all in group. And this offer, I’ve said that they’re not they don’t all have the same value, these businesses. And what I mean by that is a business who is making $200,000 all in group, or even if it’s $150,000 all in group. That business is going to be the most valuable business. Like if you thought of businesses being sold. Now, these are still businesses that are too small probably to be sold. But if you thought about like a business’s value meaning like what could it be sold for, what someone could buy into, the value of a business that is all in group making $200,000, it’s the highest value of the three. It’s also the hardest.

It’s the most valuable because it has the most time that is leveraged. If you think about it, if you have 20 clients and you’re you’re making $200k and you have 20 clients, then you are on the phone 20 hours a week delivering. So the one-on-one energy of you required to deliver that offer is very great.

But if you have one group and you’re making $200,000 from that one group, and maybe you launch it once or twice or three times a year, and it’s an hour or 90 minutes a week that you spend coaching in that group, that’s a very different thing. You know, it takes me 20 hours to deliver this offer and make this money, versus it takes me one hour to deliver this offer and make this money. So one entrepreneur has a lot more time. One entrepreneur has the ability to grow a lot more. And one probably has a much bigger audience because if you’re selling group and you’re making all $200,000 in that group, likely your audience is much bigger. So all of those things equal, you know, cha-ching, way more value. It’s more scalable.

But again, it’s also the hardest business to build. I am often baffled when entrepreneurs make the shift from $200k in one-on-one coaching, and again, 20 something hours on the phone, to $200k in one to two hours on calls, again, making the exact same money, but 18 less hours, 19 less hours on delivery. And they will think there’s no growth.

And this is what I mean by like the revenue might show that there’s no growth, or like say you went from $200k in one-on-one and then you made $230,000 in group. The revenue is going to show a smaller percent of growth. And if you just looked at that, you would think, oh, well, that’s not successful.

And this leaves me so stumped. Like I always imagine like eyes blinking, crickets chirping. Like the if you’ve seen the meme of the little blonde girl and she’s got buck teeth and she’s like looking at you side eye. It’s like a hugely famous meme. It’s how I feel inside when I hear people make this jump from one-on-one to group and they maintain $200k in revenue and they’re like, I haven’t had any growth.

And I’m like, what? First, in results alone, you gave yourself 18, 19 hours of your life back and leverage to build something else even bigger and make even more money. You just opened up the ability to maybe make $400k or $600k, or you opened up the ability to live.

Like you scaled your time. Right? There’s two things you can actually grow and scale. You can scale your money, but you can also scale your time. And time, you can’t get more of. You can create endless amounts of money, but you cannot create endless amounts of time. You have an exact amount.

And you will see the richest people in the world will tell you that time is the most valuable resource, not money. You don’t get the time back. So the more you can scale and give yourself time, then the more you open up yourself to be able to create more money. So you need the time first. It’s what I tell people when they want to have major growth jumps in revenue, no matter what it is. I talked about this on the 100k episode. If you get to $100k and you want to go from $100k to $200k or $100k to $300k, what’s required is energy. What’s required is, I have the capacity mentally, emotionally, and physically. I have the time to then do more, add more, add a marketing strategy, add a revenue stream. Like I have time and energy to give to this to grow.

So scaling your time is massive growth. It just doesn’t show up that way on the profit and loss statement. Right? Your tax person is going to be like, oh, there wasn’t that much growth this year. And you’re going to respond and say, actually, I scaled my time this year and leveraged my time, and now I’m prepared for even bigger growth. Like I just did the hardest part.

And the $200k business in group also requires new skill sets. Right? This is also why it’s more valuable is it requires new skill sets that a $200k one-on-one business doesn’t require. So there’s also skill growth that has to happen to create that $200k business in group. So you actually become a more valuable CEO to yourself.

So typically, in order to make $200,000 in group, you have to be proficient in launching, possibly webinars, possibly email marketing, closing groups of people all at once, which is a very different skill set than closing someone one person at a time as you get the consults at a pace of people signing up for consults. A group starts and ends at the same time. So you got to have people buying at the same time.

You also are coaching, teaching and holding space for an entire group of people all at once, which is different than, you know, if someone brings up something really challenging on a one-on-one call, it’s very different than if you have 20 or 30 other people looking at you coaching a person who’s brought something up on a group. So the skill set has to grow.

Creating demand to fill launches in between. Like, in between launches to create demand so that your next launch is filled up. That’s a skill that has to be developed that isn’t quite the same when it comes to one-on-one. You also have to develop the skill of nurturing and what I call overselling, and it’s all about filling the group so that you’re hitting your goals.

And then you also have to grow the skill of getting results at the scale of people that you have. So, you know, when you’re selling one-on-one, then you’re thinking about my one client, I’ve got to get this person results in this hour, versus I have 20 or 30 people in this one hour, and I need to get them all results at the same time. So launching webinars, email marketing, closing groups of people at the same time, coaching, teaching, holding space, creating demand in between launches to fill those launches, nurturing and overselling, getting results, all of that, all of that is required.

That’s the skill set, the value that the CEO who has a $200,000 business in just group will possess. So that’s why that business is the most valuable. So when I started this episode, I said at the beginning, like, you know, 28% growth may not blow your mind when you think about a $200k business, you might be thinking, well, but shouldn’t they have money-making skills and capabilities to grow really quickly?

And they can, and some do, and some people want to grow their business in a way that is strategic and grounded and calm, and they are growing. They’re growing massively, but some of it is like the roots, it’s under the surface. Because once you have all these skills, then there’s no reason you can’t go to $400k or $600k or even a million. The way I teach my students, whether you come in at $25k, $100k, or $200k. My goal is to set you up to where you have a multiple six-figure business, whether it’s $200k, $300k, $400k, you have a multiple six-figure business that is prepared to scale to a million, to two million and you have room to grow and you have the skill sets necessary to make that next jump.

And there’s actually a next level to a $200k business from here, from the $200k business in only group, there’s another level to this as well, which is in the beginning, you might be selling group using consults. That’s typically, if you were selling one-on-one coaching, and then maybe you went to hybrid, and then maybe you went to group, you’re probably still selling on consults.

But then there’s a point where you create enough demand and you create enough skill sets with especially with launching webinars and email marketing and learning sales pages, online conversions, there’s a point where you could have a $200,000 or a multiple six-figure business, $200k is just the example I give, but it could be $300k or $400k. But you have a multiple six-figure business that converts directly from a launch and a webinar, email marketing to a sales page, and doesn’t require consults.

And when you can sell beyond consults, when you start selling directly to the masses through sales pages, like they’re just paying through the sales page, now you’re in the 2 million dollar skill territory. Now you’re in the place where like this is what I teach in my 2 Million Dollar Group. Like it’s next level. And I have a few clients that have like started to do that in the $200k room, where they’re at six figures, multiple six figures and they’ve leveraged their time when it comes from to delivery, but now they want to leverage their time when it comes to selling and their consults are like, you know, I have one client that was like so many consults. She’s like, I can’t do them all. I’m like, okay, I think we need to like see like, can we get people to buy without them?

And that is a next level skill set. And those things won’t show up again on your P&L. They won’t show up in the revenue, but they will, they will shortly, they will in your next phase of your business, but they’re creating the next phase. They’re creating the scalable business. And that’s what I’m interested in is helping people not just get to $200k, but to get to a $200k or $300k business that allows you to take the next leap and go to a million or two million and become a millionaire.

Like that’s for me, like it was never about making $200k, it was always about getting like once I made $100k, I started thinking about getting to a million. And I wasn’t in a hurry in a way that I was trying to go from $100k to a million. I wasn’t trying to do that. But I remember at $100k, I was like, okay, the next growth for me is I’d like to get to $500k. Like that’s my next big goal. And then I got to $325,000, and I was like, okay, I’m pretty close to $500k. The next big goal is a million. I want to get there. And then when I got to $860,000, I was like, okay, let’s just like solidify the million. Like, we can do kind of a non-growth year, let’s just make that million. I ended up doing $2.5 million because I had all of these skill sets in place. Like, sometimes once you get to the multiple six-figure level, the revenue doesn’t tell the whole story.

Only you know as the CEO and the entrepreneur, but there are times where your revenue will not have caught up to your skill sets and the value you’ve created. But just know when that happens, if you don’t lose your mind about it, if you don’t go down a rabbit hole of I’m supposed to be quantum leaping and growing 100% or 200% every year. If you don’t buy into that mentality and you’re like just really looking at zoning out beyond the coaching industry and what’s being promised and you look at the whole world of businesses and you realize that you’re on track, you’ve listened to this episode, you have a good mindset about it, you could be highly prepared to grow massively very quickly because you’ve created this foundation.

And so it’s all about how you’re thinking about this moment. It’s all about how you respond to this moment. It’s all about what you know about this moment. And, you know, it’s not that you even have to, like I don’t want you to think it takes time to even go through these different types of businesses where, you know, you have a $200k one-on-one coaching business for a year and then a hybrid business for a year, and then a group business for a year. It’s not like that. You could go through all three of these phases in one year.

Like that can happen. You could go through all three of these phases in one year and grow your revenue. Like I’ve seen that lots of times. But just know it’s a lot on the nervous system. It requires a lot of capacity and a laser sharp brain to grow the skill sets and the business model and the revenue all at the same time.

I don’t even always do that anymore. I tell my students when I just restructured my business, and we did one offer at a time, and I was not in a growth phase during any of the time where I restructured. So I wasn’t expecting myself to grow. My goal was to just maintain revenue. And for some of my offers, like my 200k offer, when I dropped the price from $25k to $10k to make it more accessible for more people, I knew that I was going to drop in revenue there, right? I expected that. I wasn’t surprised by that. But I’m also leveraging myself.

Now I have a lot more time, I have a lot more energy because I don’t do the live events anymore for 200k, we do something different. Now I’m able to create the Entrepreneur Series and give back that same value to my 200k students. They get it included with their Mastermind. And now I see like the foundation that I’m growing now is going to be to really catapult to a place that I wouldn’t have been able to get to prior with the business model that I had.

So there’s something really important to see here and to know here about there are times for massive growth. There are definitely and I love, you know, if you’ve been in my revenue challenge, like I love like getting people to massive growth. All of my core offers are about making money and specific income goals. And I also believe in doing it in the anti-hustle approach, with essentialism, not losing your mind, loving your life, having work-life balance. I work three days a week. There are other things that factor into it. And I believe that you growing your business with a calmer nervous system, a nervous system that is not frazzled is also making you a better coach and fueling the health of your business in the long term.

So, if you are at $200k coming into the room, these are things to consider. And if you are thinking what’s the difference between 200k and 2 Million Dollar Group, one of the things I require to be going into the 2 Million Dollar Group room that will enroll sometime at the end of this year or early next year. What I require is that you have the skill set of selling at least six figures in a group offer, so that I can see that you have some of these skill sets under your belt. That would be like considered the underdog of that room is someone that’s at $200k, and $100,000 of that is in group, you would be an underdog.

Which is fine. I was an underdog. I love a good underdog. But the more group you can sell and the higher your revenue can be at six figures, that’s where we want to get to. So that when you come into 2 Million Dollar Group, the thing that you’re really focused on is not selling on consults and then being able to scale up a scalable offer.

So for each business, it’s a little bit different as far as, you know, when you’re ready and you can always email in at support@staceyboehman.com if you have questions and you’re like, my business falls somewhere in the middle of all of this. That’s not a problem. But typically you’re going to come in and do, I always recommend doing at least one round, one, you know, get all the 200k principles under your belt. And then you can either upgrade into or transition into the 2 Million Dollar Group room when we see that your business is really ready, your time, your energy, everything is leveraged and you are selling group, you’ve made six figures in group or more, and you’re like really ready to scale it up and grow, then that’s what we do next.

All right. So those are the three types of $200k businesses. If you want to join me in the $200k Mastermind, you can join the waitlist at staceyboehman.com/200kMastermind. We are opening enrollment for our 12-month cohort, spend a year with me learning these principles.

June 2nd through June 6th of 2024, if you’re listening live, and you can get all of the information on requirements and opening, and what you need for application, and all of those things when you join the waitlist. Again at staceyboehman.com/200kMastermind. All right, I’ll see you there.

Hey, if you’re ready to make money as a life coach, I want to invite you to join my 2K for 2K program; where you’re going to make your first $2,000 the hardest part using my simple five-step formula for getting consults and closing new clients. Just head over to StaceyBoehman.com/2Kfor2K. We’ll see you inside.