More Than WE Know

This is my third post discussing Keith Cameron Smith’s insightful book, The Top 10 Distinctions Between Millionaires and the Middle Class.

Distinction #3

Millionaires have multiple sources of Income.

Middle-class have only one or two.

One lesson here for Women Entrepreneurs is not to become overly dependent on one customer for your income.  While it is important to cultivate your high value customers, it is also important to continue to cultivate new customers to provide you diversity of income. In these uncertain economic times, any customer could experience hardship which may reduce their need for your service.  If you are overly dependent on them as a source of income, their hardship can quickly become your hardship.

In the same vein, you don’t want to become too dependent on a single product for your income.  If the need for that product drops, or a competitor comes along with a knock-off at a lower price - you may find your revenue stream in jeopardy.

Action: Review your clients and your products - what percentage is coming from a single source?  How can you expand to reduce that dependence?

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