Outsourcing Can Actually MAKE You Money!

Cathy Kesslere

In the beginning, most small business owners are virtually forced to do everything themselves. (Or so they think.) There is little money and even less time. As they run around wishing they could afford some help, they are trapped by the mentality that it will "cost" them to get the assistance they need. The truth be known: outsourcing can actually make you money.

How so? Because your time is valuable!

Let me give you an example. Jennifer is one small business owner who thinks she is saving money by doing it all herself. She handles the research, the bookkeeping, the customer support, the emailing. everything. In addition, she searches for ways to develop joint ventures, drum up press coverage, and arrange for new services. On top of all that, she also handles all the sales, keeps track of Web site changes and additions, and makes sure her pay-per-click search engine rankings don't fall too low. Sound like you?

Jennifer works about 60 hours per week. Of those 60 hours, she spends about 25 hours per week on "money-taking" duties. These are things that take money from the company. They do not have a direct impact on bringing income into the business. The remainder of her time is spent on "money-making" duties.

Jennifer charges her clients $75.00 per hour for her services. If we subtract her admin time from the total time she works, that leaves 35 hours per week for Jennifer to actually bring money into her company. She averages $2625.00 per week.

Now, if Jennifer were to choose to delegate some of the "money-taking" responsibilities to others, this would free her up to pursue more "money-making" projects. Let's run a few quick figures just so you can fully understand the financial impact.

We'll say Jennifer delegates 15 hours per week to an assistant, freeing those hours up for her to make more money. The assistant charges $35.00 per hour.

BEFORE

35 money-making hours per week x $75.00/hour = $2625.00

AFTER

50 money-making hours per week x $75.00/hour = $3750.00
Less 15 hours x $35.00/hour for virtual assistant = $ 525.00

Income for Jennifer
$3225.00

That's $600.00 more per week, even when paying an assistant!

Jennifer actually increased her income by delegating the duties that did not have to have her personal and immediate attention to someone else.

Many small business owners don't understand this concept, but it is really quite simple. When you free yourself up to perform the tasks that bring funds into your business, you make more money than when you attempt to handle everything yourself.

So the next time you feel overwhelmed by all you have to do, and you think you can't afford help, think again!

Cathy Kessler is a Certified Professional Virtual Assistant and Proofreader who can free YOU up to make more money! Visit http://www.kesslerva.com today for additional information or contact Cathy directly at Cathy@KesslerVA.com