How Much Do You Spend on the Biz?

[rennea]

I don't know if this question has been asked recently, but how much does everyone spend monthly on there business?

Has anybody sat down and figured out how much they spend on there host packets, host gifts, postage, office supplies, etc.?

Do you have a budget that you stick to?

I do this on the side, you could call me a hobby consultant and I find that I have to watch myself or I end up spending too much money on the "little" stuff.

 

[DessertDivaFL]

I never sat down and figured that out. I guess it would be interesting. My 90 days will be over soon so I guess I better find out if I REALLY made any money during that time.

Good question!

 

[stefani2]

Rennea - I TOTALLY changed my biz this Jan. I bought a lot of catalogues all at once from one SO - I knew I would use them. When I realized HOW MANY SO I placed last year - the $5.00 shipping (or sometimes more) REALLY added up.

I don't do anything special as far as host packages, door prize (at least most of the time I don't), guest folders, etc. I WANT to make money at this - not lose lots by reinvesting too much.

I have never sat down to figure it out. But I usually try NOT to buy any new products - unless I can use part of the unused Host Benefits or wait for KE or a new season.

Just sitting here figuring it out in my head - I think I only reinvest about $50.00 - $75.00 (ink cartridge - which is the most expensive because I have a crappy printer- , envelopes, mailing, catalogues, extras). I have definately been keeping most of my paycheck since I simplified my biz.

 

[byrd1956]

I have never tried to figure it out. Thank goodness this is an extra job. This year our tax lady told me I was in a hole $5000 w/PC for 2007!
My DH didn't react nor did he make any comments later (thank goodness) I have cut back on buying products just so I would have them to show customers. There are so many I do not use at home because I want to keep them nice for my kit and then there are so many I just have never used because I got them for my kit for display. A consultant friend of mine says she probably is in the hole for a large amount, too. She says she is a PC hobbiest and has been doing it for about 15 years.
After the tax lady's comment I thought about quiting, but I am still having fun...just not making $$

 

[allisonserna]

I did direct sales (4 of them) before PC and I swore I would never spend my pay check on the products. So if it didn't come in my kit, or I didn't earn I don't have it. Every now and then my director will give me something if i come on time to a meeting or something, but i didn't pay for it so it's all good.

I've been doing PC for about 2.5 years now and I used to go through 50 catalogs a season, 1 package of 25 with my C/O kit and then I would buy the other 25, now I'm up to 100 catalogs a season, but my sales are over $500 a month, and i easily do 4 show a month, usually 3 cooking and 1 cattie.

I do spend some money on postage, but I would say about $30 a season, if I don't go over board with an incentive, like call me on this day and you'll get a free gift day. I usually get 12 or so responses from my 100+ contacts, and so I have to buy and mail the gift (which is something like a twixt-it clip or this past incentive was the bamboo spoons (3 set of 2 for $5.50 is it?) So I spent $30 on the spoons and $30 on mailing them, but I had people contact me whom I haven't heard from since their original order 2 years ago - so it was nice to touch base with those people.

Other than the gas to drive to people's homes, gas to drive to boutique's etc. That's about it for my expenses.

You can really "go cheap" i don't mail out a lot of catalogs, I have the website - so i guess that is an expense - so I'm able to save a lot of money there. I get occasional requests for me to mail out the newest catalog. I also spend money at vistaprint.com on business cards, postcards, and now a car magnet - but they are ALWAYS having specials... so I haven't had to pay full price on anything but the shipping

I used to give out hostess packets, but I really toned back, i want the hostess to feel like it is a party, and not HER job, so i ditched the packets (plus they were like $5 to mail and in the past 6 months i gave out or mailed 25 packets and only got 3-4 in return) so instead of creating more, I just well - let's make it a PAR-TA and not give out packets, let them give me the list of people I'll invite (after I email over the invitation and get the okay to mail it out) I'll call and remind them, and give it a theme. In one call we pick a recipe, I email over the ingredients, I mail out the kit coupon, and that's it! Most of the time my hosts are from previous show so they still have their catalog from the show they attended.

PM me for money saving ideas



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My vista print link: http://www.vistaprint.com/frf?frf=423748379286

 

[KellyTheChef]

10% of my commission is tithe
10% is set aside for "taxes" but I have never had to pay so I have my own little refund at tax time!
30% can go back into my business
50% goes into the family account

So...basically, whatever I have in my PC account is mine to spend on PC or any way I want! 30% may sound like a lot (and it probably is) but it is WAY better than what I was doing before moving $$ OUT of my account for specific things and spending ALL of my money!!

I am trying very hard not to have to mail out catty's to hosts who book. I give them 2-3 cattys right there at the party, and the guest list (2 sheets of the triple copies from HO) along with a SASE and "mini-host coach" them to return it to me in 2-3 days...and tell how a $1,000 = FREE POSTAGE. Then, I just have to follow up with a business sized envelope with their show planner, monthly special flyers, and OOF's.... .42 is way better postage than almost $5!!

I use a laser printer. The carts are more expensive up front....but last sooooooo much longer than ink jets that it's probably 1/3 or 1/4 of the cost. (My guess here, not sure.)

I agree about consolidating your supply orders so you are not making one each month....unless you are VERY busy with your business and monthly is how you do it so you aren't overwhelmed with TOO much supplies!

I don't buy any samples or products unless *I* want them. If I won't use them in my own house a lot, I am not gonna spend $ on them.

OK...that's all I can think of right now!