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Delimma.... I'm not really making much money

lesliec

Veteran Member
Mar 31, 2010
1,001
6
I have a bit of a delimma... I just got out of my 90 days I've closed 12 shows, a couple of which were right at $150 (catalog and no one showing up), and have just over $4,000 in sales. All of that said, I haven't really made much money. My comissions were a little over $800, but a couple of times I have personally placed that last order to get the show to the $150 mark, I have also taken the food to a few of the shows, as well as paid for babysitting when DH is working and I have a show. I have paid for other stuff out of pocket.... can't remember exactly right now, but I only have about $300 sitting in my bank account and I am using that to go to conference.
DH and I have talked about it, and he is completly ok with it. He keeps telling me that it takes a new business 5 years to turn a profit. I sure hope it doesn't take me that long. I will probably quit long before that point. I know that if nothing else, I have earned myself a kitchen full of great cooking tools. I really enjoy doing this, and definitely see the potential and will continue, but I am just a little frustrated. I have done a ton of work, have spent countless hours on the phone and preparing for shows. I know it gets easier in time, but I need a little encouragement.
 

kayleigh

Member
Mar 26, 2010
129
1
My opinion may not end up meaning much but I can tell you I know where you are coming from. My first year was my hardest. I was trying to build mu business, find myself in this business along with going through some of the hardest times in my life personally. I can tell you I muddled along and kept trying knowing there was light at the end of the tunnel. I have done so far in sales this year what I have done the last two. It sometimes takes time but once you find your success you wont look back. I kept asking everyone I knew to help me out. I focused only on bookings at shows. I felt there was no need to recruit when I myself had no clue, so taking babysteps worked for me. I focuses on my show, I changed things until I found a show I was comfortable with and just kept asking people.

Keep your head up, You will eventually get out of the woods. I am sure you can do it. If I did, I know anyone can. And btw- I am so glad I have stuck with it, because on more times then one this has been my back up plan that has come into action and I think those circumstances helped getting my business off because instead of enjoying what I did, I needed the income too.
 

lesliec

Veteran Member
Mar 31, 2010
1,001
6
  • Thread starter
  • #3
Thanks Kayleigh. I think what frustrates me is that when I started this we said that I had to bring in $500 a month. DH is making a little more right now, but some things with our finances are about to change and We will have less, so we will really need the money. I haven't ever made a deposit to our personal checking account, but I really feel like I need to. I have never looked at this as a side business. I want a career with PC. I want to move to the top, but I am also trying to be a stay at home mom at the same time. I don't want to put my kids in school, but I am not sure if I can homeschool them and make this work.
I think I am just having a bit of an emotional explosion right now and needed to get a lot off my chest. Thanks for listening.
 

esavvymom

Legend Member
Staff member
Sep 8, 2008
7,895
146
Another tip (that I am trying to work on myself)- is keep on top of tracking your expenses and entering them in P3. Not only will it save you time at tax time, I think MORE importantly (at least for ME), is you can see how much you are spending exactly! And if you aren't keeping track...do it! It's vital. I discovered how much I spent on postage, on 'gifts' or for food for hte shows...and I knew how little or how much it yielded me- so I was making changes. It definitely helps give you an overall picture.

Just like keeping good financial records for your household budget allows you to see where you need to control spending, etc, the same is true for a business.

ANd yes, you'll likely spend much more the first year as you are getting going, and building it up.
 

wadesgirl

Legend Member
Gold Member
Jul 25, 2007
11,412
31
As mean as it sounds you DO NOT have to help your hosts out! Do not place orders to get their shows over the next level. That is just money out of your pocket. Encourage them to find more orders or to place an order themself to get above the next level. Or throw two shows together as co-hosts.

You sound like you are off to a great start! Don't stop now!
 

lesliec

Veteran Member
Mar 31, 2010
1,001
6
  • Thread starter
  • #6
Wadesgirl,
I'm not that kind. When I place that last order, I take the hostess benefits and have the order shipped to me. If they aren't willing to get it to $150 I don't order for them to get the freebies. The two times I have done it, it has been to get myself something too (ie- last night to get the second show in for the free fall product).
 

kayleigh

Member
Mar 26, 2010
129
1
I think we all have been through a "rough" spot in our business where we were emotionally drained. I can tell you that my first year it was tough and it was month to month. I sat down and had to decide what I wanted from my business. Once I had a goal in mind, I just worked towards it until I reached it. I have a very supportive husband who has always been there for me when it comes to Pampered Chef. He was laid off several times and saw firsthand how this business really helps us and that was when he started to help me out too. I carry catalogs or at least business cards with me everywhere. I have logo wear. When we got out to eat and I leave a tip, I also leave a business card with a 10% offer on the back. I just keep trying. I have also been as low as to go in to Wal-Mart with no intention of shopping and spent several hours there "looking for clothes for my trip with Pampered Chef". I would ask women who were in the area what they tought about this together, I was buying it for my trip I just earned with PC.... LOL... it worked, I booked a show.... and that show has turned into many! Keep your head up and be creative. :)
 

loreo

Banned
Nov 24, 2008
476
3
Leslie,
It will get better. The best thing you are doing right now is going to conference. I cannot stress how important this s to seeing the big picture and helping you business grow. I went from around $400/mthand no team member to now making around $1000/mth and a team of 8 with 4 more who are signing soon. Being at conference was my turning point. Hang in there, do some teleclasses and be ready for things to soar once you get home :)

Lori
 

NooraK

Legend Member
Gold Member
Feb 6, 2008
5,871
26
I had a really slow year in 2009, and I made a decision that for 2010 I would not spend money unless it was absolutely necessary. I haven't stuck to it quite as well as I could have, but it has helped in keeping money in my pocket.

I've gone to generic host packets so that I don't have to re-print specials flyers. I can always email the information to the host. I limit other flyers that I print, and only go with what I feel is necessary (one copy of the HS & GS in my binder for the show etc.)

I don't give much to hosts as a thank you beyond the host benefits, except a SBRC.

I eliminate anything off my supply order that I don't absolutely need. This means I've only ordered catalogs and spices so far (I have stacks of older 3-part order forms and haven't had to replenish recently).

I set my show dates so that I know DH will be at home to watch DS. Recently, when there was a miscommunication in schedules and he had to work, I had a friend watch DS that I swap babysitting with. I don't have to pay out-of-pocket, I'll just watch her daughter at some point when she needs me to.

I don't provide ingredients for hosts, they understand that's what the Hospitality Bonus is for. I try to stick to inexpensive recipes to minimize their costs, and I'll often even let them know if I know a particular item is on sale somewhere.

As for the time spent, phone calls are inevitable, they're just a part of the business. Preparing for your shows gets easier as you get more experience under your belt. I've tried to minimize the product I take, and I often make the same recipe show after show, so I always know what I'll take with me. Once you accumulate more tools, you can even leave your kit constantly packed, just wash the dishes after the show and put them back in your bag. I haven't gotten there yet, but I will.

I have a bag in which my host packets sit, made up and ready to go, I just replenish them when necessary. I make several of them at a time so I'm not constantly creating new ones. I have a basket in which I have my non-product show supplies: Catalogs and order forms, tickets, recipe cards, spices (I got some just to take to shows), magnets, business cards etc. Both of these are ready to go at any time for me to go do a show, so I don't have to re-pack them. I just replenish what I need after I close a show.

It will get better, and especially once you start building a team you'll see your income go up with a minimal increase in expenses.
 

Sheila

Legend Member
Gold Member
Mar 26, 2008
5,375
75
  • #10
I'm a stay-at-home Mom & a bit distracted with my 2.5 year old trying to bounce a ball on her 15 month old brother's head ... so I didn't get to read all the responses. I just wanted to say that it sounds like you don't have an issue with booking shows, just with the sales level. I recommend that you do all the online training that you can with host coaching. Learning to do good host coaching will really make a difference in how productive each show is. My average show is in the upper $800. I've done my $15,000 in career sales & normally do at least $2,500 per month so that's 25% commission before the 3% Director override. So that's usually at least $200 every time I walk out the door to do a show. Sometimes more. Occasionally less too. You can do all the right things & still have hosts who want to do it their way. Just know that once you get better at host coaching and start having some really good shows, that you will average out in the end! I did 2 shows this month. One was over $1,424.55 in Commissionable Sales & $356.15 in Commissionable Sales. I don't get discouraged over the smaller shows because it all averages out in the end! ;) Those two came out to $890 average or $222.50 pay check per show. So it's all good. ;)
 

Intrepid_Chef

Legend Member
Silver Member
Nov 6, 2007
5,161
20
  • #11
Wow, you had a PHENOMENAL first 90 days! Sounds like your business is getting off to a great start.

That said, I understand where you are coming from. When my 1st director once said, "this business has replaced jobs" I didn't understand it either. When I told her what I would need to replace my job, she said that's what she used to make before her life changed.

I think it would be fabulous to make more money, but I never have. To me, this is a side-job thing and that's fine with me. My job is my career, this is just something I do for fun and profit.

Take the class on goal setting ... it will help you chart what you need to make the money you want to. And remember, it gets better from here.
 

raebates

Legend Member
Staff member
Dec 6, 2005
18,357
437
  • #12
You've gotten some great advice here. Basically it takes a while to build your business. And, it can also take a while to decide where to spend money on your business. Keep strict track so you can take full advantage of the tax deductions.
 

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