Bunny Young explains why growing revenue isn't the same as scaling. Real scaling means building systems and offers like courses or products so you make more money without doing proportionally more work. A furniture company example shows how this protects profit margins and your time.
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You can grow your revenue and not actually grow your business. It's not a business that everybody wants. But I want you to just know the difference between scaling and just working more. That is not scaling your company, that is just doing more and having a bigger job. This is life saving, time saving, energy savings. I'm here to help you build a business. Welcome back to another episode of the yes and Podcast. I am your host, stuntwoman turned serial entrepreneur, Bunny Young, and I am here for all things supportive of you being able to want it all, have it all and enjoy it all in your life. That is just one of the many pieces of the yes and lifestyle. The biggest part of that that we're focused on is how to have a very successful business while being able to live a lifestyle that you enjoy with your family, travel, freedom, whatever that means to you. Just not finding that work life balance, but finding that work life alignment where in every moment of every day you feel like you are operating in that yes and mentality. So without further ado, I'm going to bring something to you guys today about scaling and I am bringing you right into a voice memo conversation that I was having with another colleague of mine that has scaled from doing 20k months to almost 100k months just in the past year. And we were talking about this idea of scaling and how a lot of business coaches talk about scaling your business and you hear it a lot on social media about scaling your business. And I'm going to share with you kind of my perspective on scaling and it's going to be pretty unpopular with a lot of people who won't necessarily agree with me. What I've learned though, is that you can grow your revenue and not actually grow your business. And this is why profit margins are so important. Scaling is building a business where you have the team and you have the resources and you have the systems that you can make more money with, not without actually having to adjust your expenses and your overhead to that amount of money, if that makes sense. And so a lot of businesses talk about, oh, we had, you know, this year over year growth and revenue, which is great, but what did your expenses do? And what I like to try to do with my businesses is to get it to a really solid, lean point with my core team as well as a core marketing funnel and all of the core systems that are going in so that whether there's 10 people or whether there's a thousand people, my expenses stay relatively flatlined and the same. And that's how I know that month over month Year over year, I'm improving on my profitability. It doesn't mean that I'm not necessarily going to have to add some expenses, but it should be minimal in relation to what my revenue growth is. So for example, if I'm working with a coach and they're talking about growing their company from 100,000 to 300,000 and the only offer that they have is individual coaching, unless they raise their rates, that means that they're going to have to do three times the amount of work in order to grow that revenue. That is not scaling your company, that is just doing more and having a bigger job. And we've talked before on the podcast about whether or not you're building a job or you're building a business. And I'm here to help you build a business. And so in that same example, if you're a coach that is, you know, has a really healthy individual practice and you're doing a hundred thousand dollars and you want to do 300,000, if you're working 10 hours a week, then what we would do in a session is figure out how at that 10 hours a week, you can serve more people in the same amount of time. And that could mean making a course, doing a book, going to group coaching. I mean, there's a million different ways that you can scale your business without doing more and being able to do those methods. You can look at your expenses and see what you actually have the bandwidth to do. And sometimes it means it's gonna. If you're just showing up and doing the work over and over again, you can save yourself a lot of time by creating those systems. And yes. Are you gonna have to like create a CRM or create an email marketing system in order to remain high touch? Yes. But you can remain high touch for thousands, tens of thousands, hundreds of thousands, rather than remaining high touch for 10 people. And it's not a business that everybody wants, but I want you to just know the difference between scaling and just working more and not get confused when you think that you're scaling your company and doubling your revenue, but you're also doubling your expenses. You haven't grown at all, really. And I know business owners that got to a million dollars and have the same amount of take home as they did when they were doing $100,000, but so many more headaches because they weren't focused on scaling, they were just focused on growth. And I remember a furniture company that I worked with probably over a decade ago, they grew their revenue so much, but they did not pay attention to the marketing expenses and they did not pay attention to the client acquisition costs. And so actually for every dollar that they were bringing in, they were spending a dollar and 40 cents on the marketing and they were losing money. And while they had made money for years and years and years prior to that, so they can compensate for it, they convinced themselves that oh no, this is just, this is a growth phase and we've got to invest back into the company. There are ways that you can invest into the company while maintaining healthy profit margins. And in fact I would highly encourage you to do it unless you. It's day one. I don't think that many business owners, you can disagree with me, need to spend more than they're making. There are startup costs and you know, building a startup with coaches, HQ right now and the coaching platform that we're building and I can put that link in the show notes for anybody who is interested in that. I do know over the past like year and eight months we've sunk a lot of money into it, but that's, we're building a platform at this point in my life and in my business journey that is going to be able to run without me for years. And so it's kind of backwards. This wasn't the company that I would have started with because I didn't have any idea. But we have the projections and we have really tight budgets on how much money we're expecting to put in and are sticking to that. And then when we're going to break even and when we're going to, you know, be pulling a profit, when we're going to pull money out of the business and then when we're going to sell it. And so if you are just a multiple six figure business owner, this is life savings, time saving, energy saving information for you because there's a lot of people who are going to talk about how you can bring in more revenue. And it's not just about revenue, it's also about margins. So if your client acquisition cost, if you're spending five grand on ads every single month and you're closing one deal for one, one to one client that's paying you five grand, you've got nothing, nothing left. And there's a lot of ads right now about just starting at like pushing out ads and pushing out this marketing and paying for this marketing. But I want to make sure that you're really clear on your offer, you're really clear on your audience and you're really clear on being able to scale versus just grow. Because otherwise it's like setting giant piles of cash on fire. And this was a huge realization for me in our companies on the difference between just growing your revenue versus scaling and there are so many ways to scale. If you are stuck and you don't know which way to scale, I'm going to post a link at the bottom of this podcast in the show notes. And it's just for a quick chat. I will personally put out that link that has output 10 spots and in 15 minutes we'll blow through how you can scale your company. But don't come to this call. Don't click on that link unless you're serious about scaling and you have the knowledge around where you want to be, how many hours a week you want to be working, what your offer is and what your audience is. Right? This is not a sales call. This is just me giving back to you because it's something that I wish somebody had a conversation with me when I was growing my companies and I'm happy to do it, but only click on that link if you really are clear on. Here's my offer, here's my audience, here's how many hours a week I have, and here's the revenue that I desire. So that link will be below this podcast in the show notes. The best thing that you guys can always do for this podcast is to rate review. And the thing that means the most to me is when you share it with other entrepreneurs that are quality individuals that want to be able to have a successful business and serve their communities as well as be present for their families. And so it just means the world to me when I see you guys sharing and tagging on social media. So if you're on Instagram, evonnyoung, love to hear you, see you there. And wherever you have listened to this today, I hope you took one nugget away. I cannot wait to see you in next week's episode and be able to share some more knowledge, be able to accelerate your results and get you to that infinite income lifestyle where it doesn't take more of you to make more money. Thank you again. I am looking forward to seeing those tags, comments and posts on social media. And thank you again for sharing and reviewing. This is the yes and podcast where you can definitely have your cake and eat it too. I'm Bunny Young and I'll see you in the next episode.
