Studio owners are forever looking for ways to increase profits without making massive changes in their business strategy. Yet, it’s not always easy with a minimal marketing budget. In fact, studio ownership in general isn’t easy. You may look around and see others who have “made it” while you’re struggling with the stress and headaches of a startup. Depending on where you are in the course of business ownership, you might be seeking any sort of light at the end of the tunnel. The following are a few tips to help grow your studio’s profits in unexpected ways:
1. Tax Planning Is Crucial
As a studio owner you have two ways to make money: make more or spend less. Spending less starts with minimizing your taxes each year. Taxes are a huge expense for many business owners, by tax planning and correctly organizing your company, you’ll see a huge savings.
2. Watch Your Spending
From the brand of coffee in the Keurig to the type of soap in the locker room, examining your expenses can be a great way to cut costs. This doesn’t mean you have to skimp, in fact, you may find discounts in premium products and services by opting for automatic renewal or advertising them in your studio. Taking a closer look at your income statement and going through your monthly expenses can help you save thousands of dollars each year.
3. Projections and Goals
Having goals gives you something to focus on and projections give something for you to work towards. Neither not need to be 100% accurate, but they are a great point of reference to give your business direction.
4. Focus On What You Do Best
Many studio owners think they can save money by doing all the bookkeeping themselves. But that’s like trying to bake your own wedding cake. Not a great idea. You are better off spending your time and effort in other aspects of growing your business and letting the experts handle your accounting. Spending a little to get a professional could mean you save more than you even knew possible.
5. Stay Accountable
While it’s tough being a studio owner, it is also extremely rewarding. Having a business partner or associate along for the business journey can help keep you accountable and keep you from feeling all alone when times get tough. Having a business coach is a great way to stay accountable too. Contact me for a consultation today.
Taking these tips into account can help you become a successful studio owner year after year. The journey is long but definitely rewarding when done right.