“I’m going to help you grow your business 6% per year!”
Okay, honestly, how many of us can do the math on that one? And what does it really mean in the end?
If your business is bringing in $100,000 a year it’s relatively easy math for the next two or three cycles. $106K, then $113K or so, maybe $120K after that … whatever, I don’t know.
If your business is bringing in $67,434 a year the math suddenly involves a calculator. And if you’re the one offering to grow somebody’s business by 6% every year, those numbers aren’t going to look incredibly impressive on paper because you’re only talking about percentage growth.
Here’s a hint for you. A way to get people’s attention far easier. Talk about exponential growth.
The secret is the number 70. Well, the number is actually 69.3, which is arrived at as a natural logarithm of 2 times 100. Don’t worry about this. Just memorize the number 70.
Now, take the magic number of 70 and divide it by your growth percentage.
70 divided by 6 = 11.66.
That’s the number of years it will take to double the business. And that sounds much better.
“Let’s aim for an 8% growth rate in your territory per year.”
“If we hit the goal numbers, you’ll double your income in 8.75 years, then double it again after that.”
Which sounds better to you?
Just remember the magic number to quickly figure a doubling of business based on a percentage of growth: 70.