Great, if you have an idea then you are over the first hurdle. Perhaps you have spotted an opportunity to improve on a product you have worked with for years. Perhaps you have spotted a way of providing a service better than anyone else, either way – it is yours; keep it, guard it.
By using this website and the tools provided, I can show you how to review your idea and put some basic calculations together to help identify how much profit you can make. Profit is what is left over after you have deducted your Cost Of Sales and Direct Expenses from your Sales Revenue.
If you can make enough Profit to live, then you can be independent and that is key.
First things first however; how much do you need to live? For example, how much is your mortgage, how much are your monthly groceries, utilities and kids costing you? Add all this together to understand how much you need, now double it to take into account disposable income, i.e. money for a nice holiday and so on.
To help, I have put together a personal budget template listing most of the items and shown examples. Click here to download this template. Fill it out best you can to see how much income you need to earn to live as you have become accustomed.
This will be important, very important!