Getting More Than You Pay For 🏛️

How to get more than you pay for

We’ve all heard the phrase "you get what you pay for" but that's limiting... 

I’m more interested in getting more than I pay for when it comes to business.

The best way to get a high return on what you spend? Building better margins into your pricing.

Margins are a superpower that many fledgling businesses fail to understand, yet they are the #1 thing standing in between your business and higher profits. 

The math is actually pretty simple. For example, for every $1 you spend delivering your product or service, charge $4. 

When you succeed, you’ve got $3 leftover to operate your business, meaning you’ve achieved a 75% margin. Another way to put it is that you marked up your cost by 300% of what you paid.

Making sales with this margin baked in is precisely how you get more than you pay for your product or service! $3 more in this case, for every piece of revenue you create. 

The key to achieving this result is by thinking about the process instead of the person.

If you can use process to deliver the $1 worth of product or service by hiring someone new or delegating the work, you’re still making the same $3 in margin. 

If you do the work yourself, you might only be able to deliver the $4 service for $3 in costs. That’s a much weaker margin.

So using this math, the only way to get more than you pay for delivery is to build stronger margins in every product or service you sell. 

Master this skill and you will graduate from exchanging your time for money to exchanging money for time to create even higher margins.

Jeff

P.S. There is a calculator I give away as a bonus in my new book Service Stacking that shows you exactly how the math works and how you can use it for your business immediately.