Rate Your Business Success With an Annual Review
How well is your health coaching business performing overall? The best way to really know is to put your business through an annual review.
Just like when working with clients, you know that when you regularly set health coaching practice goals, and periodically review your accomplishments, you are more likely to reach those milestones.
Looking at your successes will give you great insight into what’s working well in your health coaching business. The lessons that you learn from your mistakes will help you see what you need to avoid or do differently going forward.
Setting aside at least 1-2 hours to go deep into this exercise will allow you to see how healthy your coaching business is and whether you need to course correct if you find shortcomings.
Start your business report card by counting up all the wins.
Recognize your health coaching successes
What did you accomplish through the year? List out all of the things that you did in your health coaching practice this year — which could be things like:
- Supported 20 new clients
- Launched a new group program
- Created an online summit series
- Participated in several health fairs
- Grew your email list subscriptions
- Regularly emailed newsletters and promotions to your list
- Wrote guest blog posts on other websites
- Added more content and blogs to your website
- Expanded your following social media
- Appeared on podcasts
- Interviewed in the media
Write down anything and everything that you are proud of accomplishing throughout the year.
Once you have everything down on paper, circle the successes that helped move your business forward most significantly.
Now, it’s time to look at what could have been better.
Learn from your mistakes
What lessons have you learned from actions that didn’t work as well as you hoped?
Maybe you spent weeks building a new website that didn’t attract all the clients you thought it would. Or you spent too many hours writing blog posts that few people read.
Did you have a program launch that you were sure would sell out, but only a handful of people signed up?
What do you think could have made it work better?
It might be that you didn’t focus enough on revenue-generating activities, such as networking, sales conversations, or advertising.
It could also be an issue of time management.
The more specific you can get about your mistakes, the easier it will be to learn from them and not make them again.
Then, it’s helpful to get more granular by looking at your numbers.
Review your pricing strategy
Is your health coaching business earning the money that you want it to make? And are you pricing your services appropriately to earn a fair living?
For example, say you charge $100 per session for one-on-one coaching.
Before you see your client, you spend an hour reviewing their health history and doing research on their listed conditions. Your online session is scheduled for 45 minutes, but you end up spending an hour talking.
Then, you spend another 30 minutes writing up recommendations to send after their appointment. And you answer text messages and emails in between sessions.
With all the extra time you added into helping that one client, you’re effectively making $25 per hour — not the $100 per session hour that you priced out in your head.
You can find ways of being more efficient with your time. You might also need to raise your session rates. If you are only offering single sessions, you may want to eliminate them in favor of multi-session packages or group programs.
Offering longer-term packages makes it easier for you to support clients and keep them accountable, while also providing your health coaching practice with predictable income. Group programs allow you to serve more clients in fewer hours, effectively raising your hourly rate.
Set your revenue goal for next year
Let’s say that you want to make $75,000 in your health coaching practice.
So how do you reach that revenue goal?
Break it down, and you will need to earn $6250 each month.
If you have private coaching packages that sell for $1000 per month, and a group program that is $250, you will need to enroll 5 group program participants per month, and sign up 5 private coaching clients per month.
And if you know that you need to speak to 10 people to enroll 3 in your private coaching packages, you will need to get 20 sales conversations going per month in order to fill your 5 private coaching spots.
Do the 20 percent activities that move the needle
To reach your revenue goal in the next year, you need to focus on the activities that attract more clients into your health coaching practice.
Where do your best clients come from?
It could be direct referrals from past clients, networking referrals, cold traffic from ads, specific social channels, public speaking, or other ways that you connect with prospective clients.
Focus your time and attention on those sources to build your practice to where you want it to be. Use the 80/20 Rule: which 2-3 sources of new clients bring the biggest return on investment? Do those FIRST.
Release the 80 percent activities that hold you back
Do you try to fix your own technology or computer when you should outsource these fixes?
Are you doing administrative tasks that should be done by an assistant?
Do you spend hours putting together custom plans when you could spend 5 minutes assigning one of the done-for-you plans in the MBODY360 app?
Stop doing things that don’t move your business forward.
Automating and delegating tasks that don’t directly bring in more clients can instantly boost your earnings while saving you hours of time.
When you regularly look at the progress of your health coaching practice, it becomes easier to see if it is progress in the ways that you want. Breaking down the numbers of your practice gives you clarity on which next steps you need to take to reach your financial goals.
Even though it’s easy to put it off, don’t procrastinate on doing this analysis. The more clarity you have on what works, the easier it is to follow through on actions that help you reach your business goals.
Take the time to do this objective review in the last quarter of each year, and you can plan to succeed in each following year and beyond.