For small businesses, time is precious. You need to consider its value carefully.
“Time is more valuable than money. You can get more money, but you cannot get more time”Jim Rohn
How do you spend your time? My bet is you spend it more recklessly than you do your money!
Your time to you may be worth £20, £30, £50 or even £100 per hour, that doesn’t mean to say you are getting paid that for every hour of the working day, but for you to position the value you are putting out there and the tasks you are doing, can you track their value and return in terms of your £100 per hour target? Walking to work or commuting are unlikely to be paid directly, but if that 30 minutes or hour each day is in effect costing you £100 per hour, how can you make it more productive or cheaper (shorter!) to complete?
My recent office move has saved me a fortune in time as it’s nearer my house, commuting time to the city centre has been removed and therefore I have more productive and focussed work time and more time at home. The time spent walking to the office is productive as it’s an opportunity to listen to personal and business development books, and it helps keep the step count up too!
Know your value – the ‘can you just’ conundrum
As a professional services provider like many reading this article, I have been prone to the ‘can you just’ question more times than I care to recall. The ‘it’ll only take you a few minutes, can you just tell me this’. The value is in my knowledge and experience around a topic that is going to help that person do things better to sell more of their stuff, yet nine times out of ten, the can you just crew expect the answer for free.
Where do you draw the line with ‘can you just’ requests? Of course, I’m more than happy to offer a helping hand if I know the answer to a question, but where does that become giving your trade away for free? What value you hold within your knowledge base and skill set is important to understand, and also important to set boundaries around how much you can offer up for free.
How to increase your value
What do you want to make & How much is that per hour?
Answer these 4 questions:
- How much do you want to make a year?
- How many weeks are you wanting to work to make that happen?
- How many days of those weeks do you want to work?
- And how many hours per working day do you want to be ‘on the clock’?
Now you need to list your various tasks or projects that take up time in your week. include commuting, walking to work or meetings, networking, planning, doing and so on. Do you have specific projects that take time? Add them as a task in your list. The next step is to monitor your use of each task across the week…
Tracking your time and making you more productive.
There’s a fantastic app I use called ATracker. It’s a great app for registering your time based on specific tasks. I started using it in the summer to help me measure where my working day was getting spent on. Where I am spending my time needs to be best focussed to help me get a positive return on investment of my time.
Remember, we are spending time each day. Imagine that time was money, would you be more observing about where you spend it if you could see your time wallet getting emptier as the day wore on?0114 Marketing.
What my time tracking tells me about my business and workweek.
The value of specific projects. So here for example, using my ratio, I can see that I spend 11 hours walking to work or meetings, which works out at a monetary equivalent of £550 per working week, assuming a £50 per hour value of my time. Is this a good use of time?
My client work takes up £1650 worth of time but as long as this is a positive ROI driver I am delighted with this amount of time getting spent on my client work: it is valuable to them, and valuable to me – a nice win-win!
I spend 7:18 time on promoting live and club music in this 30 day period, at an equivalent cost of around £375. Will the events return a greater amount than this? If the answer is yes, then great, it’s worth me spending my time on this project!
This is a powerful way of looking at your working week. I know I spent xx hours networking this month but did it bring in the work or opportunity off the back of it? IOS it producing leads that may be worth more than the value allocated to this task? Is so, then great. If not, I need to address my networking strategy and marketing planning around this.
Time management and productivity are key things to understand and get to grips with, especially for the smaller business who’s time constraints mean each hour and minute on the job need to be well spent. Where do you think you can be most productive?
Download the app and try committing for a week or a month to tracking your time and use the formula in this article to help you put a monetary value on that time in accordance to your financial goals. It’s quite an eye-opener!
“You don’t get paid for the hour, you get paid for the value you add within that hour”Jim Rohn