222 3 Types of Businesses You Can Start (And Why The Service Industry Rocks)
In this episode, we’re going to chat about THREE different businesses that you can start ASAP.
Have you been wanting to start your own business, but aren’t exactly sure what to sell?
Here are 3 options for you…
Tune into the episode…
When you think about starting a business, the first thing that comes to mind is probably a product-based venture.
But service businesses can be just as successful – and they have a lot of advantages over product businesses. In this article, we'll take a look at three different types of service businesses you can start.
So if you're thinking about starting your own business, listen on! You may just find the perfect opportunity in one of these categories.
Listen on Spotify, Apple Podcast, or YouTube
Let’s connect on Instagram or find out more about Private Business Coaching on my Website
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The Visionary Method™ 90-Day Accelerator https://www.kelseyreidl.com/tvm-group
I’m putting together a small group of coaches (health, wellbeing, parenting, mindset, etc.) who want to grow their business to $50,000 in annual revenue.
https://www.kelseyreidl.com/tvm-group
Here are the highlights:
2:00 The greatest adventure I have ever embarked on
2:18 The Justin Bieber Song that inspired everything
3:04 Product businesses aren't the ONLY business!
3:27 The knowledge economy (what it is and what opportunity exists)
4:15 Things you DON'T need to start a knowledge business
4:55 The business I started in order to self-employ
5:20 The first monthly retainer I offered and how many clients I balanced
7:40 The business I moved into when I realized I was MAXED OUT for time!
9:25 How to start a coaching business, where you are the guide!
10:15 The final business type you can start where you are more of a RESOURCE
12:07 Is anything truly 'PASSIVE INCOME' ?
12:45 The power of ONE
13:00 The way to get to $50,000 in revenue in your service business & how to reverse engineer a $50k salary
14:15 What % of your audience is going to convert when you launch? Here's a simple formula...
Search 'Visionary Life' on your podcast app of choice!
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Hey, visionary. Welcome back to the show. You may have noticed I've been doing a lot more solo episodes right now, and that's just because I have a lot on my mind, a lot on my heart, and I am just so keen to share tools and resources and strategies and just conversations in general that are going to nudge you to stop putting your business dreams on the back burner.
And I really do believe that embarking on starting a business, this journey of entrepreneurship or self-employment is truly the greatest adventure that you can ever experience. And if you guys know me, I'm an adventure queen. I'm obsessed with paddling down the river. I am obsessed with mountain biking.
I am obsessed with going on hikes in, uh, the forest behind. Where I live, I'm obsessed with traveling. There's just so much that lights me up. And a lot of it has to do with adventure. And the other adventure that lights me up on a daily basis is really the greatest adventure I've ever embarked on, which was starting the visionary brand.
Um, seven years ago is when I was hiking in Machu Pichu. And the idea came to me. Because of the Justin Bieber song, you guys know that story already and then five years ago I actually started building the community. And then just over four years ago is when the visionary method actually came to life.
And honestly it kind of has evolved. Um, and so in today's episode, I wanna share the three types of businesses you might wanna consider starting. If you have a service to offer, if you wanna turn your credentials into cash, because there's not just one way to do it. And I feel like I've kind of gone through all three of these levels of business.
And so I really want to share them with you. So when you think about starting a business, the first thing that often comes to people's mind is starting a product based venture. So maybe doing a prototype for a new hair scrunchy and bringing that to life. Or maybe you want to create a software that will build out people's marketing plans, but I want to then bring you to the other side of this, which is being part of the knowledge economy or the service economy.
So the knowledge economy is basically where you're packaging up your knowledge, your intellectual property, and selling it for money and services can take many shapes and forms. Too. Services can be like coaching consulting, freelancing done for you done with you and these businesses have a lot of advantages over product business.
Businesses. Uh, oftentimes they require a lot less startup cash in order to get going. And you can actually start using the skills you have right now because you, as the provider simply need to start helping people and getting others results. And from there. You kind of have a business, which is pretty neat.
You don't have to go through manufacturing. You don't have to go through design and modeling and minimum order quantities. So having a service business or a knowledge business is actually a really, really cool way to get into entrepreneurship. So. In this podcast episode, I just wanna kind of take a look at three of the different types of service businesses that you can start.
So if you are thinking of starting your own business or you've already kind of dabbled, and now you're just rejigging your offer, uh, you may just land on your next perfect opportunity. Uh, as I share these three categories. So let's start with the way that I actually became self-employed. Which was having a done for you business, where you are the service provider.
For example, when I decided to quit my last full-time job as a marketing manager. I decided to start a social media marketing agency so people could pay me on a monthly retainer to do their social media marketing for them. So I had four clients, uh, for the majority of the year and a half that I, uh, did this marketing agency.
And I was actually the one that was meeting. With the founders of the business, prepping a social media plan and strategy, preparing the monthly content, scheduling the monthly content into a platform like buffer, making sure it was executed on, I was doing the engagement and I was doing all the reporting.
So I was the service provider, right. I was the person they hired to do it all done for you. A lot of small businesses are looking for people like this. Contractors who can do the copywriting, do the social media. Um, this is also kind of similar to somebody who has a skill, like a plumber or a painter. You are actually the one going into people's homes and doing it.
It's not like you're teaching them how to plum their own home or standing alongside them saying, Hey, let me teach you how to plum. Your toilet here. So that next time it breaks down, you can do it. um, same with a painter. Like these are done for you businesses, really great option because generally you have the ability to have monthly retainer clients.
And if you do a great job month over month, these people are just gonna keep coming back and back and back, right? Because once you start doing their social media strategy, they may never. To actually do it themselves. Um, they don't have time. They just want someone to take it over. So that it's one less thing on their plate.
Now this is such a great. Way to start your business, to refine your skill sets, uh, and to make sure that you are able to follow through on your promises, right? Because like, in order to get into one of the other two business models that I'm gonna share, you have to have a proven process. You have to know your stuff inside and out.
So starting as the service provider, the one who does it, kind of like a freelancer is a great starting. So that's the first business model that I wanted to. The second one is actually what I moved into when I realized that I was maxed out for time. So as a small marketing agency, I had myself and I had my assistant who was supporting me, but essentially I, with four clients was pretty much swamped with work every single day.
And so this is when I decided to move into the. Co-creation so instead of done for you. I will be the guide and I will create the systems and create the learnings with you, but there's more of a symbiotic relationship happening. So I didn't wanna be the one actually scheduling the social media, actually writing the captions anymore.
I wanted to teach these small business owners. How to create a social media strategy, how to write their own content, how to engage with potential customers, how to do their reporting. And after a series of about 10 sessions, they would know exactly how to do it, and whether they wanted to maintain it or pass it off to say one of their part-time employees, they could do that.
So I call this coaching essentially. Again, there's that symbiotic relationship where as a business and marketing coach, what I do is I step into the business and I work alongside you for a short period of time. I charge a higher price point because I'm giving over every single one of my tools. Um, and there really is like this collaborative back and forth relationship.
So. The second business model I wanna share is where you are, the guide. You are acting as a coach, whether that is a parenting coach, right? Like if you're a parenting coach, you're not gonna be a parenting service provider necessarily where you're on retainer every single month. And you're actually coming in and working with the kids four hours a day.
Like that's more like a babysitter. When you are the guide, it's the symbiotic relationship. The parent working with the parenting coach, the business and marketing coach, working with the small business, setting up all the processes, getting things in place, and then saying goodbye. Like our journey has come to an end together.
And like I said, it's not like people will necessarily have you on a monthly retainer forever because eventually you've given them all the tools, but you can charge a premium price point when you are the guide. And the third business model that I want to share is where you are a resource. So if you picture you are the service provider as like the most labor intensive, you're actually doing the social media for people.
You are the guide, you are teaching them how to build out a social media strategy and you're working with them to implement it. They can ask you questions when you are the. There's not as much collaboration. It's like you wrote the book on social media marketing, but you expect them to be self-sufficient generally when you are the resource, uh, lower price point is, uh, commanded because there's no actual access to you or very little.
Or less, um, if you are the resource, maybe you have a very large group coaching program, but you're not sitting down one on one with people you're kind of delivering the lesson and then shutting your laptop down and maybe they can, um, DM you on Instagram or so. Speak with one of your program coaches, but again, you are acting more as the resource, so they are expected to go through your materials themselves, whether it's an online course or whether it's a book or an ebook, and to actually figure it out themselves.
So this is more of the, I'm doing it alongside you, but I'm not there to co-create with you. And I'm not there to actually implement it for you. So those are your three different options. So I wanna ask you and put it back to you. What type of business are you starting? Are you the service provider? Are you the guide or are you simply a resource?
If you are great with people, you have a lot of energy. Consider becoming the service provider or the guide. Again, these are very lucrative paths and although they require you to be present, so it's not necessarily passive income, but again, nothing is truly passive. At least not for many years until you set something like a, a very, very effective funnel up, but that takes years to get to.
But if you have energy, you will absolutely make a great living as a service provider or as a guide. And you guys have heard me talk before about solving one problem for one person using one marketing plan for one year. Dive in as the service provider, dive in as the guide and start doing that, solve one problem for one person with one marketing plan for one year, and you can scale this up to a 50 K in annual revenue business.
So there's so, so, so much potential here and. The way you're gonna get to a 50 K in annual revenue business is simply by first asking, okay, well, what do I think I'm going to start selling? Like, what am I putting together that I want to offer to the world? How am I going to help? So write that down then you're gonna ask yourself, how much can I sell this for?
So if you put together a parenting coaching package or a mindset coaching package, and you're selling it at a thousand dollars, you believe the value in it is a thousand dollars. And that people will pay that. Then you're gonna ask yourself how many of those do I need to sell in order to make $50,000?
That means you need to sell 50. So maybe if you have an annual revenue goal of 50 K and you only sell your mindset coaching for a thousand, you're looking to work with 50 people throughout the year. And you can ask yourself if that's possible through one-on-one coaching or if that needs to happen in a group, um, and kind of work backwards that way.
And then if that feels like a lot, or maybe it feels like not even that much, uh, you can actually look at your network, like, see, do you have 300 people on your Facebook? 100 people on your email list, 200 people on your Instagram. That's 600 people right there, and you can bet that about 1% of your current audience will convert.
Within the next 12 months into your course. So with what? 600 people. Oh my gosh, this is embarrassing. I'm gonna have to pull out my phone. So 600 people times, 1% you can expect six people to convert out of that current audience. That's a very general number, but that means if you want 50 people, you're going to have to increase your audience size right away.
And I share all the time marketing practices, marketing principles. This is something we cover in depth inside of the visionary method group 90 day accelerator and in private coaching. Uh, so of course, increasing your platform, growing your audience is super, super important, but that is how we're gonna reverse engineer a 50 K in annual revenue business.
Now, I know you guys wanna go bigger. You wanna grow. Um, you can expect to add on about 30,000 in annual revenue to your, uh, salary each year. And I can teach you ways to do that, but starting at that 50 K mark, that's where I like you to work backwards from. So that's it. I hope you found that helpful. Um, just remember that no matter what service business you choose, the most important thing is that you're passionate about what you are doing, that you're inspired to wake up every day and serve your clients, whether it's through an ebook, whether it's through a 12 week coaching program or whether it's through a done for you service, like, um, a marketing agency.
So. Your passion, your joy, your enthusiasm, your energy, that shines through more than anything. People buy our services, partly because of our expertise and our authority, but partly because of our attitude and our authenticity. So good luck. Uh, if you have any questions, just find me over on Instagram and I hope to see you inside of the visionary method group 90 day accelerator.
Starts July 12th. I cannot wait to work with you. We only have eight spots available. So at the time of this recording, uh, we have a few spots left. I don't know what's gonna remain by the time this goes live. So head to Kelsey re.com. If you're listening to this before July 12th, 2022, head to that top banner, click it or, um, Head to Kelsey, ride.com/tvm.
Submit your application. I'll see you inside. If you're not a good fit for the program, I will tell you honestly, but honestly we have $11,000 in bonus material and this program is only gonna cost you a few thousand dollars. So it's pretty epic. Go check it out. And I cannot wait to begin working with you on July 12th.
So hope you enjoyed the episode, have a visionary day and I'll catch you guys soon.
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