Today, I want to continue on with our theme of helping you plan for this year to ensure it’s your best one yet. Now, I admit this topic is not a glamorous one – but it is important. And while it’s crucial to your business success, it’s often overlooked. We’re talking about the easiest (and best) course creator budget. 

I know it may sound boring, but trust me – I have a really simple process for creating a budget that will only take you five minutes to complete. Plus, it will help you gain clarity on your goals and make informed decisions as your business grows. 

Numbers around how much you can spend, and whether you’re spending too much or too little, are important guardrails that will support you as you take your business to new heights.

So, put aside five minutes, grab a pen and paper, and join me as I break down the simple process of creating a budget for your business.

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Course Creator Budget 101: Setting Your Owner’s Pay

The first item we look at when creating a budget is your owner’s pay. If you own a business, you deserve to take a fair share of the revenue. For businesses up to seven figures, we recommend allocating around 30% of your total revenue as your pay. This ensures that you’re compensating yourself adequately while leaving room for business growth and reinvestment. Keep in mind that this percentage can vary depending on your specific circumstances and goals.

Investing in Your Team

Next up, let’s talk about creating a budget for your team. As your business expands, it’s important to invest in building a reliable and capable team. Allocate approximately 25% of your revenue to cover team costs, but know the percentage may change based on how much you want or are able to work. Remember, the key is to balance your own income with the resources needed to support the growth of your business.

 Allocating Budget for Marketing 

Now, let’s focus on an often neglected yet critical aspect of creating a budget: marketing. A lot of people only consider marketing expenses when approaching a launch or specific campaign. However, consistent and strategic marketing is essential throughout the year, with around 25% of your revenue allocated towards your marketing being a good guidepost. By having this dedicated budget, you’ll be able to plan your marketing activities and bridge any gaps in achieving your promotional goals.

Course Creator Budgeting: Investing in Education and Coaching

Continuous learning and self-improvement should be high on your priority list as a business owner. In my opinion, investing 10% of your revenue on education, coaching or upleveling your and your team’s skills is a surefire way to continue seeing your business grow. This could include mentorship programs, training courses or personal development resources. Remember, as your business expands, so should you!

Covering Operations and Other Costs

The final item for creating a budget is operations and other costs. This includes expenses like your email system, software subscriptions and any other operational costs specific to your business. Set aside 10% of your revenue to cover these essential expenses and you can ensure smooth day-to-day operations, as well as avoid overspending.

So that’s it! Creating a budget doesn’t have to be overly complex or time-consuming. Use these key elements as a framework for your course creator budget, knowing you can customise or adjust percentages to suit your specific needs at any time. It’s time to whip out your calculator and get started on setting your business up for success!