Like so many of my fellow bloggers — and human beings — I like to use this time of year to think about what I’ve accomplished in the last 12 months, as well as make a home business goal for what’s next.
Over time, my New Year’s resolutions have become fewer. I’ve learned that it’s more effective to work on two or three major goals, in different areas of my life, than it is to make a laundry list of things to do in the coming year. The result has been bigger accomplishments, as well as lasting changes to my habits and lifestyle.
This year, I’ve got a goal for my writing, a goal for my life, and a goal for my home business. Last year, my home business goal was to cut back on the time I spent working. I’m pleased to say that I accomplished this goal, and I work fewer hours than ever — but I make more money.
For the coming year, I’m changing up my home business goal. Now, I would like to focus on diversifying my revenue streams.
Increased Revenue Diversity for My Home Business
I’m a big believer in the importance of income diversity. Building income from different sources can help protect you against problems that arise when you lose one type of income. A side hustle can help you shore up your finances in the event of a job loss, or some other financial difficulty. Passive income can also be a big help.
As I reviewed my income sources from the past year, I realized that my income isn’t as diversified as it could be. One of my clients has added projects, and now this client accounts for about 1/4 of my income. I have another client that has also been providing me with a great deal of work recently. While it has been nice to have a measure of stability with these gigs, the reality is that both of these clients could cut back at any time.
Diversity amongst clients is an important concept, so my home business goal includes making sure that I have other clients to provide me with a little more diversity of gigs. I’m considering trying to look outside the personal finance niche as well. Not for a large percentage of gigs, but just for a little extra diversity.
I’m also concerned that so much of my income comes from providing content for others. Part of my home business goal to improve my revenue diversity will also include a renewed interest in additional projects that might bring in more money, but not be directly tied to my ability to write for others.
The Ability to Reach My Home Business Goal
I recognize that this goal of diversifying revenue streams is going to require some time and effort on my part, outside of the writing I normally do. I guess it’s a good thing I cut back the amount of time I work. Part of what makes all of this planning possible, however, is the fact that my husband has a great job. His income has increased greatly with this new job, he is paid on a regular schedule, and his contract has already been renewed for next year. This stability, which we didn’t have before, will (hopefully) allow me to make better progress in my efforts to work on new home business projects for revenue. It’s amazing what a little cash flow smoothing can accomplish.
My home business income is still our family’s main source of income. However, my husband’s larger paycheck, not to mention the benefits that come with his job, have provided a level of freedom that I underestimated before. I didn’t realize how significant it would be until we moved and got settled in. Now I can see more opportunities for my home business goal, and I’m ready to move forward — and hopefully create a stronger business with multiple revenue streams.
What’s your home business goal for the coming year?