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CHAPTER 8 MASTERING YOUR MONEY

1) Sales Revenue
The first item you have to focus on is ‘Sales Revenue.’ Also
known as just ‘Sales’ or ‘Turnover,’ it represents how much
money your company has brought in over the period. Sales
Revenue = Price per unit x Quantity of units sold.

So, if your company sold 10,000 garments and each garment
was priced at $100, your ‘Sales revenue’ would amount to
-- $1,000,000. In reality, your company may have multiple
products and services with multiple prices over various
geographic locations and business units.

To build a successful business, you have to aim to achieve
Revenue growth of at least 20% every year. At the beginning
of the year, you have to set a revenue target and constantly
measure how much sales you are achieving on a
weekly/monthly/quarterly basis to ensure that you are on
track to hit your target at the end of the year.

Set Revenue Targets and Measure Incoming
Sales Constantly

When I first started my company, we set the audacious goal
of hitting $1 million in sales within a year (works out to be
$83,000 of sales a month). Based on an average seminar
fee of $2,000 per person, we needed 500 students to achieve
this goal. This worked out to be about 41 students a month
or 10 students a week.

So, every week we would measure our incoming sales very
closely. The moment that sales came in below target, we would
improve our strategy and take massive action to bring it back
up. For example, we would change the headline of our ads,
create new marketing channels, test a new promotion, change
our presentation style, do additional follow-ups, motivate our

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