You know when you have had a draining week running your practice and it gets to Friday and decide to run your numbers to see if it’ll make you feel better..
How do you know what good actually looks like? What are you measuring yourself against? How much money can a one person practice generate? How much money can an employee generate for me? How much money can my firm as a whole generate?
Lots of us trained at firms where we had very little insight into the expected margins of our roles or our teams.. we were trained to be an accountant, not necessarily to build the economics of an accounting firm. When it came to opening striveX, there was no blueprint ready to be handed to you to say “What should each team member generate? When should you make the next hire? When does hiring admin actually make financial sense?”.
How much $$ should I be able to generate is one of the most commonly asked questions inside the substack community and so I thought I’d share our deep dive episode “How much $$ should I be able to generate?!” where James and I strip striveX back to the very start, we cover:
Our revenue and margins as a one person band, how this has grown and evolved into a larger team
How one accountant billed £18k in one month and said it was one of their easiest months (whilst discussing how we’d previously had team members billing £5k in one month and stressed)
How much you should realistically be able to generate as a one man band
Why a smaller portfolio could actually feel harder than a £110k one
How to tell whether you have a capacity problem or a pricing problem
When an admin hire actually becomes financially worthwhile
How many accountants a manager can manage before structure needs to change
If you and I were sat down right now across from each other, cuppa in hand, could you tell me what you and each member of your team should comfortably generate?
Could you tell me whether your current portfolio is profitable, underpriced or overloaded?
If not then this is the episode you need to watch..
Rachel 🤍
