Small businesses that make $100K or more

Interested in learning from small businesses that make $100k or more a year?

The exact definition of success varies for business owners, but a common mark that many strive to achieve is a small business that generates more than $100,000 in profits annually. While there are some businesses that have taken off and skyrocketed, there are far more examples of companies that took a lot of time to reach that amount and beyond.

So how does one achieve this goal and how long does it take to get there? The answers aren't tried and true for all entrepreneurs, but a number of Hello Alice small business owners have shared their real-life experiences, wisdom, and advice.

Many Hello Alice founders share that being profitable involves more than just hard work, but also having clear and focused goals and mission, respecting your time, paying yourself (and taxes), and involves making smart choices.

While it may seem obvious that if you want to make more than $100,000 in profit, you must map out a clear path to get there. It bears repeating that this is key to charting your income structure. You really need to know where your money is coming from, what you're converting, and your biggest growth opportunities. Also, who is paying you, when, how, and why, and what is your long-term ability to sustain and grow it?

Last minute gear

James Dong, owner of Last Minute Gear, a rental, borrow, or own outdoor gear supply company, suggests finding a product or service that your customers are looking for.

Don't be afraid of pivots

His company's $100K+ hit came in his third year, but that included a year where he had to pivot on the company's core mission.

I was trying to figure out if it could be a community solution/nonprofit. "There is, but there wasn't enough traction to sustain it, so I turned to a B2C business model," Dong said.

Before the pandemic, but even especially because of it – many companies are having to rethink their models and this can be a difficult, but necessary step if you want to be profitable. "It's hard to accept. Pivoting can make your child feel like giving up!" "My advice is to set yourself a hard deadline for when you need a pivot," Dong said.

Focus your efforts

Many small businesses that make $100K or more echo the sentiment that you also don't want to "spread yourself too thin" and that it's important to "trim the fat." It's common for owners to take the time to access which revenue streams serve their business and which ones don't.

Respect

Award-winning chef Russell Jackson is a renowned restaurateur and activist who currently operates his 7th food and beverage establishment in Harlem, the acclaimed fine dining restaurant Reverence. Almost two years after its launch, the $150K+ profit is a pandemic loss and falls short of its business plans. In some ways, the business model that was "designed to be a $2 million-plus operation" has been more like $150K and has come down to "grinding and making life choices and sacrifices on a daily basis." The business, the community, and his team, Jackson said.

Accept guidance and support

A key word of advice for business owners, he says, is to stay true to your mission, your truth, and your convictions, however, you must be "willing to ask for help and be willing to listen." He created a "board of advisors" so that "they would talk me out of bushes and patterns and old ways. I had to be willing to listen to people whose opinions I respected... I said 'yes' [people], I wanted brutally honest people.

His board of advisors reads like a star-studded who's who of famous Michelin-star chefs, Nobel Peace Prize judges, Supreme Court mooters, restaurateurs, top marketing directors — who are close friends, mentors, and so on. are and bring a diverse mix of businesses. , operations, creativity, and more on the table.

While your dream team might not resemble Jackson's, he suggests filling it with people you respect, who can provide challenging feedback when needed, helping you think outside the box. Provide support, while always giving you the space to stay true. Be who you are and stand by your beliefs.

Stay connected to your cause

"Make smart decisions, not dumb ones," says Jackson. "You have to think why am I doing this, what's the goal? Is this my passion? Am I willing to do whatever it takes to be successful?" And, in the process, how do I protect my family, and investments and see long-term generational wealth building?

He continued: "I heard this advice years ago and it's stuck with me forever, "'Think of your life like the days of the week, so if you live an average of 70 years, it's the days of the week. For every day there is a decade. Ask yourself: Where do you want to be on Saturday night?''