Are you self-employed and feeling like you’re not quite cutting it? Do you find that things aren’t where you’d like them to be in your business? As a self-employed woman and founder of the Financial Wellness Academy, I’ve experienced many of the challenges that come with running your own business. Today, I want to share with you three simple yet critical mistakes that I see time and time again when speaking with clients who are struggling with the “money stuff” in their self-employment journey.
Mistake #1: No Clear Plan
The first and perhaps most crucial mistake is having no plan. Many self-employed individuals, especially those who fell into self-employment, operate on a hope-and-pray basis, wishing things will somehow work out. But hope is not a strategy.
Without a clear plan, you have no idea:
- What your offerings are
- How they’re linked together
- If there’s an upsell or downsell opportunity
- Whether you’re focusing on products or services
- What your long-term vision is
Having a plan serves you in multiple ways. It gives you clarity on your offerings and how they fit together. More importantly, it provides a roadmap for your financial future. When you have a plan for your money, it becomes much easier to make decisions and take those crucial early steps.
Action Step: Set aside time, perhaps once a month, to review your numbers. Look at what’s coming in, what’s going out, and what your annual expenses are. Use tools like a passion planner or any diary system that prompts you to reflect on the past month and plan for the next. This structure will help you create and maintain your plan.
Mistake #2: Ignoring Your Instincts
As women, our superpower is our intuition. Yet, the second mistake I often see is ignoring these instincts. We often have a feeling about whether something (or someone) is right or wrong for our business, even if we can’t point to concrete evidence.
For instance, you might meet a potential client and sense they’re not quite the right fit. But because of the potential income, you decide to work with them anyway. More often than not, they turn out to be a nightmare client.
Action Step: Trust your instinct. If something feels off, it’s okay to walk away. If it feels like a green light, go for it. The more you trust and lean into your intuition, the more you’ll find your business flowing with ease.
If you’re struggling to trust yourself, consider getting support from a coach who aligns with your values. This doesn’t have to break the bank – there are affordable options out there. For example, I’m part of Catherine Watkin’s “Business from the Heart” group, which offers incredible support and community for a reasonable monthly fee.
Mistake #3: Being Overly Influenced by Others
In the age of social media, it’s easy to get caught up in what others are doing. We see glimpses of other self-employed individuals who seem to have it all together – a steady flow of clients, glowing testimonials, and seemingly effortless success.
But remember, social media often shows only a snapshot, not the full picture. What looks like overnight success might be the result of years of hard work and struggles that aren’t visible on the surface.
This constant comparison can lead to feelings of inadequacy and failure. The truth is, everyone’s journey is different, and what works for one person may not work for another.
Action Step: Try to minimize the influence of others on your business decisions. Stay in your own lane and focus on what you want to achieve. Don’t get caught up in the “six-figure income” hype – for most of us, we don’t need that much to have an amazing quality of life.
The Path Forward
Remember, it’s absolutely possible to have a fulfilling self-employment experience doing something you love in a way that truly satisfies you. Here are the key takeaways:
- Make a plan: Get clear on your offerings, your financials, and your long-term vision.
- Trust your instincts: Your intuition is a powerful tool – use it to guide your business decisions.
- Stay in your own lane: Focus on what you want, not what others seem to be doing.
If you’re struggling with income variability, which is a common challenge for self-employed individuals, consider exploring strategies to stabilize your income. This might include diversifying your offerings, creating passive income streams, or implementing retainer agreements with clients.
Self-employment can be a challenging but rewarding journey. By avoiding these common mistakes and staying true to your vision, you can create a business that not only supports you financially but also brings you joy and fulfillment.
Remember, your path is unique. Embrace it, trust yourself, and keep moving forward. You’ve got this!
To Your Financial Wellness,
Caitriona
