Do You Prospect for Sales 50% of Your Working Time?
If you are CEO of your own company, your most important role is to drive revenue to your bottom line. To succeed in this role, you must understand that if you work an eight hour day, then you must spend half of each and every day prospecting for sales.
If you don’t like this activity, then you’ll learn how to attract successful salespeople to your team who will prospect, prospect and prospect.
Prospecting is the most pivotal part of your business success.
Managing Your Time
Without question, the single greatest challenge all entrepreneurs have is managing their time appropriately. You are pulled in all directions, all of the time.
The bottom line is that as an entrepreneur, we do everything and wear every hat, so how we spend our time is absolutely the most important part of our business.
My friend and mentor Brian Tracy is a big fan of prospecting first thing in the morning.
One time when we both spoke at the same seminar, on the car there, he gave me the following advice about prospecting and getting rejected.
“If you want to make a million dollars per year, then do everything you can to get 10 smack down, in your face rejections by 9 a.m. each business day.”
I agree with Brian; if you are continually prospecting, then you will make more money that you will know what to do with. Ten rejections are worth it if you get one “Yes”. Even if you get 50 rejections in a day, one”Yes” may be all you need.
With all the roles of your business tugging at you, the challenge becomes: How can you find time to prospect if you are stuck in your office doing administrative busy work all day?
The 50% Rule
Several years ago, one of my friends, Dennis Sutter, shared the 50% rule with me that he used to coach his clients. I have applied it to my business because it flat-out works! I also share it with all my clients to help them grow their revenues.
Before he retired, Dennis was a real estate coach who helped real estate agents to double their income. He saw the problem that almost all business owners have – the more sales we make, the busier we get servicing our clients’ ever demanding needs, and in doing so, we inhibit our ability to continue prospecting for new clients.
Therefore, Dennis taught me to apply the 50% rule to my business. What this rule means is that no matter what you do, no matter what your time constraints are, no matter what deadlines you have, you must spend a minimum of 50% of your time prospecting.
For example, if you are in the direct selling business and only have two hours per day to build you business because you have a full time job, then you need to spend at least one of those two hours prospecting.
Conversely, if you are full time in your business and average working 10 hours per day, then you need to spend 5 hours per day prospecting for more clients.
Bottom line as the CEO of your company, if you are committed to become an Affluent Entrepreneur, you need to focus 50% of your working hours wearing your VP of Sales hat and driving new revenues to your business.
If you don’t like selling or prospecting, then you need to hire a sales force to do it for you and accept that no one is going to be able to market your business as well as you can.
What is the solution if you can’t apply the 50% rule to your business? You either need to accept the fact that you are going to become a struggling entrepreneur, or you need to delegate or outsource all the work you don’t want to do.
This topic from my newest book “The Affluent Entrepreneur”, is one of the topics that I speak on.
Please contact me the next time you need an Opening Speaker.