There are many ways to create recurring revenue in your coaching business, but I will focus on two:
- Provide payment plans
- Create continuity programs
I’ll talk about each in detail, but before I do, I want to make sure that you’ve built a solid foundation.
If your reason for starting a coaching business is to pursue your passion to help others, be of service, and be a force for improvement in the world, then your foundation is firm. But if you built a business focused on making money, your foundation is flimsy.
In a firm foundation, the energy is attractive, where in the flimsy foundation, the energy is repulsive. Which one do you think will create greater income opportunities for you?
When you venture into creating recurring revenue, the same energy dynamic is true. If the offering is about what you can provide and the value you have to offer, it will be more successful than a program concerned about what you will get.
Why Recurring Revenue?
What you will get with recurring revenue is a bit of freedom. In order for your business to be successful, you must make money. When you create a consistent cashflow model that generates recurring income, it can help ease your mind and reduce financial pressure, which frees you up to do what inspires you. Now let’s get into the two options.
1 – Payment Plans Provide a Positive Push
Offering payment plan options is a great way to generate recurring revenue. Providing payment plan options is especially easy when you’re selling services such as coaching that don’t have many costs associated with them.
Payment plan options can also increase your reach among buyers, as some people may be interested in working with you but don’t have the cash or credit available to invest a full payment for your services.
For example, if you provide a coaching program for $1250, you can offer the option of paying monthly for the duration of the program. If it’s a 6 month program, you can charge $250 per month for 6 months. The total investment with the payment plan is $1500, which brings in 20% more because you charge interest on this option.
Another approach is to price the program at $1500 and pitch the payment plan at what appears to be no interest, then offer a discount for those paying in full at $1250.
2 – Continuity Programs Create Consistent Cashflow
A second way to create recurring income is to offer a continuously ongoing program for a monthly fee, such as training videos, online audios, physical products, group coaching, etc.
When it comes to continuity programs, consumption is the critical key. Will they use it? You can have something that has a great value, but if they’re not consuming, they won’t get the value and they won’t stay in the program.
There’s also the question of how to sell it. There are several options:
- offer as a one-click up-sell = when they buy something, you offer this in addition
- stand-alone program = sell it all by itself
- built-in = free trial with the option to continue or cancel
When you create a continuity program, there are big benefits beyond the financial for you, too:
- It keeps you in the game.
- It keeps you creating on a regular basis.
- It helps you stay engaged with your crowd.
- Gives you content and information to use in other ways – blogs, articles, audio clips, video clips, etc.
Now you know a couple options to create recurring cashflow and the benefits to you as a coach. Whether you are already a coach or aspiring to be a coach, we can help you with all aspects of your business. Book a personal one-on-one call with a certified coach to find out how we can help you best. Visit https://calendly.com/ecu/elitecoachinguniversity-eccp/ to schedule your complimentary session now, or call 805-552-4423 or email info@CoachSeanSmith.com.