When we speak with business owners about Work Better Now (WBN) virtual assistants (VAs), one of 3 things happen:
- They immediately understand the value of making an investment in a WBN VA and ask how they can get started.
- It is very clear that this person will never be interested in hiring a VA because to them everything is an expense. The same people also don’t delegate well because “no one does it as good as me.”
- They arevery intrigued and want to know how WBN works and if a WBN VA makes sense for them.
This post will make it very clear to most of those in the #3 bucket that they should hire a WBN VA.
I could talk about the importance of working on your business and not in your business. Or, I could remind you that you didn’t start a business to be an expert in scheduling calls and meetings (or other administrative work).Instead, I am going to break down the math for you.
To start, how much would you pay someone to do admin-related work such as scheduling/calendar management,updating your CRM, or researching prospective clients? $40/hour? $60/hour? $100/hour?
Do these numbers sound like a lot? Most would say yes. However, the CEO of a 10-person company could easily already be spending $60++/hour for admin-related work. You don’t believe me?
To demonstrate, let’s assume that as the CEO, you earn $200,000/year. This could be any combination of salary, draw, or profits that you take out of the company. If you work 2,000 hours/year (let’s say 50 weeks and 40 hours/week), your earnings are the equivalent of $100/hour.
Now, depending on who you ask, business owners spend between 12-40% of their time doing admin (aka low-value) work. Let’s go with 20%. If you are fortunate enough to just work 40 hours/week, you are spending 8 hours/week on admin work. Going back to our CEO who earns $200,000/year, this is $800/week (8 hours * $100/hour) or $40,000/year.
More importantly, this is 400 hours/year that you are not spending on:
- Generating revenue/business development
- Building your culture
- Recruiting your next superstar team member
Not everyone reading this is making $200,000 a year. So before you take out your calculator, I did the work for you.
* Assumes 8 hours/week spent on admin/low-value tasks.
But wait, there is more:
What is the right annual compensation?
When using an annual compensation dollar number, are you using the money that you are making this year or are you using the money that you want to make. The key to making more money is to focus on doing high-value activities.
How many hours is your VA working?
Some prospective WBN clients say that they might not have 40 hours/week of work for a VA. I said this when I hired a VA, and in the first week, my VA worked about 10 hours. In the second, she worked about 20 hours. After the first month, she was working 40 hours/week as I realized I could give her a wider range of tasks and responsibilities. (This is why WBN created an onboarding process that gets your VAs very productive very quickly.)
But even if you have 20 hours/week of work for your VA and we assume he is taking just 8 hours a week off of your plate, and you earn $200,000/year, the VA is freeing up $40,000 worth of your time each year.
What about personal time?
The numbers above don’t factor in your personal time. So to the extent your VA gives you more time with your family and friends, or just time not working, that is a bonus.
After almost 30 years of working with small businesses, I have found that business owners fall into one of two camps. Those who are focused on growing their business and look to make smart investments. And those who are just looking to maintain their business and see any expense as a cost. For those in the former camp, this quote sums it up:
“The best investment in your own productivity, bar none, is a direct assistant, who will handle your schedule and hundreds of other small but important details that clutter up your life and mind – and when added up, cost you hours of our time.”
Dan Sullivan, Strategic Coach
Work Better Now provides full-time, dedicated virtual assistants for $1,900 per month. Schedule a 15-minute consultation to find out what a Work Better Now virtual assistant can do for you.