If you’ve been following along you’ll know this is now Day 6 of my experiment of following the 7 Day Startup book by successful startup founder Dan Norris. In today’s article I set targets.
(And if you haven’t been following along you can read some all the days you missed via the following links).
- Day 1: Choose an idea
- Day 1.5: Doubts about which idea is best
- Day 2: WTF is an MVP (minimum viable product)?
- Day 3: Choose a business name
- Day 4: Build a website in one day for under $100
- Day 5: 10 ways to market your business
- Day 6: Set targets
- Day 7: Launch
Day 6 Task – Create a spreadsheet that covers the first few months in business, the number of signups, revenue, estimated costs, and monthly growth.
Here Dan stresses the importance to focus only:
on the One Metric That Matters (OMTM) at different stages of your business.
Right now the OMTM is simply how many people are signing up for / paying for the service. Why?
- to prove that the idea has at least some merit
- to be able to talk to and learn from those early customers
To start with I’ve set a one month goal for each business and I’ll then revisit / set a new goal at the end of each month, as Dan suggests.
I’ve also set a slightly longer term financial goal, more on that in a moment. First the one month targets for each startup.
10 orders (of any value) in the first month.
WP Owner target
10 subscribers in the first month.
As I mentioned, I think it might also be useful to set an overall financial goal further down the line.
When thinking about what this might be, I remembered a friend of mine (who I respect a lot when it comes to business) set himself the target, at least as I remember it, of generating $8,000 / month in revenue from a new project by the end of 2015.
With that in mind as a ‘reasonable’ goal, I’ve decided to set the same goal for myself from any combination of new projects (with only half the year to achieve it!).
Ultimately this might be a laughable goal, I don’t know(!), but it’s seems like a goal that:
- could be hit;
- that will push me; but,
- even if I fall short, I’d probably still be pretty happy as long as each project is growing sustainability.
Which seems like a nice balance.
Just to underline that sustainability point, that doesn’t mean if either or both ideas take off and I start to get some customers I’ll run them with a short term mindset of trying to reach the financial goal above all else.
I’d rather miss the goal, see constant growth and have a (small) army of customers that love what I’m doing and telling everyone about it.
However by setting a financial goal it forces all of this to become a business and not a hobby.
Do people see enough value in what I’m doing to hand over money while at the same time creating something valuable for me?
Finally, it might sound glib, but the real goal is for me to learn (a lot) from this. That does’t mean I’m seeking out failure, but I think that there is no way I can fail to learn a lot.
Enough talk, I’ll be doing my ‘Day 7’ (launch) of ThemeValet next week when I’m back from holiday and have ‘proper’ Internet. The plan then is to launch WP Owner shortly afterwards, but one thing at a time (or maybe not?).
Thanks to everyone who has been following along so far.
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