Incentive-Based Pay
Posted by: asnvirtualservices on: January 4, 2010
I have always been a fan of production-based pay. I work hard and my time is valuable. As Virtual Assistants we frequently find that our earning potential is “capped” at some point. There are only so many hours in the day and more than likely your clients have a budget they need you to work within. There are also the unbillable hours you require each day working on your own business. How do you increase your earning potential with all these limitations? The answer: Incentive-Based Compensation.
Incentive-Based Compensation is not to be confused with Commission Only. I have had client’s approach me on a commission-only basis. This is a no-go in my book. Sometimes these are businesses in their start up phase and aren’t yet making a profit. If your potential client is not in a position to pay your hourly rate, they aren’t quite ready for a Virtual Assistant. The remaining few potential clients, either don’t believe your time is as valuable as theirs or they aren’t seeing results from their own marketing attempts and expect a miracle when you take over. Your time is valuable and these projects might take quite a bit of time to find out what is not working, unpaid time if you are working on commission only.
Incentive-Based Compensation includes a set hourly or base pay with added bonuses for milestones you and your client reach. You may be paid a percentage of revenue or a bonus for each customer you help your client obtain or product they sell.
Benefits of Incentive-Base Compensation:
1. Make more money working less time.
2. Your earnings are unlimited.
3. Being paid an incentive ensures that your client’s success is your top priority. Happy clients bring more clients.
4. Great satisfaction comes with sharing in your client’s success.
5. You get to know your clients on a much deeper level which tends to lead to a more long-term relationship. You get to share ideas and struggles and work together to find solutions. You get the opportunity to become part of your client’s business, as opposed to never knowing what is going on behind the scenes.
Many Virtual Assistants are uncomfortable with this model and that is perfectly fine. We each need to run our businesses within our comfort zone and in a way that ensures our businesses run profitably. For those of us that find the Incentive-Based model an option, there are certain things to consider with each client that is open to this plan:
1. Is this a product or service you feel confident about? If not, your heart will not be in your efforts. Is your client passionate about what they are offering? Passion from both parties equals pay day for both parties.
2. Is your client willing to be open to changes to make their product/service more successful, or do they feel there is only one way and they aren’t willing to budge? If the current plan isn’t working and they aren’t willing to make changes, no one will profit from this endeavor and you may both walk away blaming the other party.
3. Is your incentive pay outlined in a specific and straight-forward manner? Do you both have a clear understanding of what you will be paid and when? Make sure everyone is on the same page regarding your incentive structure in the beginning.
4. Do you feel comfortable the client will follow through on their end to make their business successful? If they are looking to hand it all over and not be involved, this relationship will most likely be unsuccessful.
5. Do they have clearly defined goals? You both need to know what you are working towards and how you plan to get there.
It is almost always best to work with your client on a per-project basis or a trial run before implementing this pay structure. Give yourselves time to get to know each other’s businesses and work ethic before jumping in with both feet.
Remember, Incentive-Based pay should always be in addition to a base rate. Working for nothing while waiting for your efforts to pay off will take a toll on any relationship. There are always outside variables that you can’t control. Make sure you are being paid what your time is worth while you are striving to make your client’s business successful.
Angie Nelson
Your Nebraska Virtual Assistant
Work at Home Wife Kitchen Tips
Posted by: asnvirtualservices on: December 21, 2009
When I first started my business and began working from home, one of the things I was most excited about was finally having the time to cook from scratch every night. I no longer wanted to be held hostage to boxed meals, frozen pizza and take out. I wanted healthy meals made with love on a daily basis. Like many work at home wives and moms, at the end of the day I’m still trying to squeeze in “a few more minutes” before calling it a day and starting supper.
These are the kitchen tips I’ve used over the past 2 years to ensure we are eating healthy and homemade regardless of the time constraints:
1. Freeze it. My freezer is my friend and my house has two refrigerators and a deep freeze that are always put to good use. Any leftovers from my homemade meals are packaged into individual servings, labeled and frozen for later use. If I’m home alone, I can take one out and still eat well. My husband can take them with him to pop in the microwave instead of resorting to fast food. If you have children, what’s more fun than everyone getting their favorite dish at the same time without having to cook something different for them all?
2. The Soup Bucket. I almost always have a “Soup Bucket” started in the freezer. When you have a little leftover roast, pork chops, vegetables, etc. that are not enough for another meal, chop them up and put them in your Soup Bucket for later. When you have little time on your hands this leftover meat and vegetables can quickly be made into soup, a Shepherd’s Pie, or a pot pie with little effort.
3. Crockpot. My next best friend behind my freezer is my Crockpot. Someday when I get around to self-publishing my cookbook, the Crockpot will most certainly get its own section if not its own book. I have found almost any recipe can be adapted to Crockpot cooking with great results. When you are in your kitchen getting your breakfast or grabbing some lunch, take two extra minutes to throw your ingredients in and you’re ready to hit the table come quitting time. It will even take care of that Soup Bucket while you are in your office working away.
4. Once a Month Cooking. With my love of freezing things, it’s no stretch to think I’d be a big fan of Once a Month Cooking. While I am a huge fan and try to set aside a day for mass cooking, I find I can’t get too ambitious or I tend to lose steam about half way through. My version of Once a Month Cooking is what I call Make More, Freeze for Later. Next time you’re cooking that made with love lasagna, homemade bread or pizzas, take the 5 extra minutes to double the recipe and freeze one for later. The homemade pizzas can go straight into the oven, the other meals and bread dough put in the fridge the night before to thaw and cook accordingly. You will find your family eating those timely meals a lot more often when you don’t have to find two hours at the end of your day for prep time.
Better yet, and something I plan to do when my husband gives me my second kitchen, start your own Freezer Cooking Club (for some reason my Bucket List involves a lot of cooking-related things). Get your best girls together, decide on your menus, grab some wine and get cooking. Making several meals at once is a lot less overwhelming when every lady has a station and a duty. With an assembly line you can easily cook up half a dozen meals for later use. Everyone will also be saving money when you are able to buy your ingredients in bulk. You can also expand your gardens when you all get together for an End of the Season canning party.
Many women start working from home so they are able to spend more time with their families. I’m a big believer in the phrase “The kitchen is the heart of the home.” We all want strong, healthy hearts and families. Next time you’re cooking, take a few minutes to plan ahead for the next meal. Your family will thank you. Sorry, Pizza Guy.
Avoiding the Online Backup
Posted by: asnvirtualservices on: December 14, 2009
We’ve all seen the advertisements for online backup companies. Even though I own a PC-based business, I have to admit I have procrastinated going to online backup. My husband, who knows very little about computers, has been telling me for months I need to backup my files, yet I still stalled.
Frankly, I didn’t think I had an urgent need for this type of service. I have fairly new computers, I run all my virus software, I don’t have many client files saved on my computer, I don’t have hundreds of photos or music downloads to worry about, etc. As I did my quarterly purge of files I’ve saved and downloaded, I noticed all of my business and personal-related financial files, emails, client addresses and correspondence, etc. These are things that would take a considerable amount of time and energy to replace should something happen. Needless to say, I started to rethink my hesitation.
I’ve heard a lot of people argue that an eternal drive is in order or to just save files to CD. I have made no attempt to fool myself with this line of thinking. Honestly, I know I’d never to get around to doing either. On another note if there is a fire or natural disaster, most likely these things will be in my home office along with my PC and laptop. What good is that going to do me?
Most of my procrastination came from the thought that backing up my files to an online location would be a grueling, mind-blowing task that I just didn’t have the time or patience to endure. How much more wrong could I have been? After spending some time digging through colleague recommendations and reviews, I chose one to best suit my needs and got started. I gave myself 30 minutes at the end of my day to wade through the process, but it literally took less than 10 minutes. I let it back everything up overnight and this morning I had a little message letting me know it was successful. What a relief!
Everything important is now backed up and will be automatically every night. I no longer have to worry about a catastrophic event taking me weeks to recover from. Once again, a few moments of time can save you a severe headache in the end. I still hope I never have to use it, but I know I’m protected just in case.
Ensuring Goal Setting Success
Posted by: asnvirtualservices on: December 8, 2009
As the year comes to a close, many of us take the time to reflect on the goals we set for this year. Many of us find we fell a little short. No matter our occupations or stations in life, we all have goals. They may be business-related, budgetary or self-improvement goals, but we all have something we are striving for. How do we ensure our future goals are met?
We all have big goals and good intentions. We tell ourselves what we are going to accomplish and we somehow think it will just happen. We fall short because we fail to make a plan of how we will reach what we are striving for. We have long term goals, but never put into place the short term goals that will make them happen. We have no way to gauge our success until the day of reckoning comes and we find out whether we hit or miss.
A lot of times, our goals are big and long-term. They may seem overwhelming in the big picture, so we just give up. If we break them down into smaller goals over a shorter period of time, they become more reachable. Instead of thinking about what you will have done by the end of next year, think about what you are going to do today, this week, this month to help you reach that big goal.
Now that you have a plan, write it down. Put it on your calendar, make yourself a list and hold yourself accountable. If you fall short on your small goals, revise your plan. It’s a lot easier to keep on track if you adjust your plan along the way rather than letting it spiral out of control and giving up until a later date.
We can all accomplish big things if we give ourselves a road map to success. Getting from Point A to Point B is much easier if we have turn-by-turn directions, as opposed to driving around in circles then calling for directions when we’re lost.
Preparing To Be “Virtually” Immobile
Posted by: asnvirtualservices on: July 27, 2009
As some of you have noticed, I have been out of blogging commission for about a month. My re-entry to the blogging world is going to be a little colorful today, but I’m going to try to keep it at least a little “working from home” oriented.
First, my absence has been the result of a broken foot. My husband would tell you this is the direct result of being impatient and trying to do everything myself (I tend to spin this into the good qualities of motivation and multi-talent). Needless to say, flip-flops and heavy falling objects lead to 3 broken metatarsals and a yet to be given timeline for recovery (we’re already at 4 weeks, I’m starting to think maybe the avoidance of this topic is not a good sign). Luckily, my multiple talents and Virtual Assistant career had me for the most part prepared for my ongoing limited mobility. So, this week:
Things You Need to Prepare Before Asking for a Broken Foot:
1. Have a paper and pen placed strategically throughout the house. You are going to be making several lists (i.e. groceries, honey-do’s, etc). It’s a lot easier if these are within reach when needed.
2. Multi-tasking and strategic planning are blessings. Every time you need to move anywhere else in the house you are going to need to take several moments to round up the things you need to take back to that place and make a mental note of all the things you need to bring back with you. One trip is better than several.
3. Ditch the crutches and stay in your computer chair. Buy one now with a nice cushy seat. As stated in 2, one trip is better than several and you can’t carry much with crutches (if you are like me, you have a hard enough time walking with them). It’s also better to get rid of all your carpet now if you want a broken foot. Computer chairs roll better on hardwood floors.
4. If you don’t have a bedroom downstairs like me, make sure you have a hide-a-bed or a small bed that can easily be repositioned to keep you on one floor. No matter how good your planning is, as soon as you make that long trek of scooting up the stairs on your behind you’re going to remember something else, have to go to the restroom, etc. Keep it simple.
5. Even if you are as lucky as I am and can work from home, there are only so many hours you can sit at your desk with your foot on a stool before your back is going to hurt more than your foot (it’s always something). Have your laptop, cell phone, headset and more paper and pens set up by the uncomfortable bed you are now sleeping on in your dining room.
6. Have your www.myhours.com and www.logmein.com accounts already set up. With these you can track your work hours and access your desktop without have to leave your laptop and trek back into the office to access files.
7. Be very nice to your sister-in-law. This is the woman that is going to take time out of her own busy schedule to take you to your weekly doctor appointments and then out for ice cream! What a gem. The neighbors too, they will check on you and take out your trash while your husband is away.
8. Have plenty of leftover meals already prepared and in your freezer or learn to like TV dinners (you can write on your lists which ones you like for your husband’s trip to the grocery store). Trying to cook anything that goes beyond microwaving or a simple in and out of the oven is going to be a painful and drawn-out ordeal. Don’t bother. It won’t taste any good anyway when you are now mad, tired and crying because you can’t even cook for yourself.
9. I’ve heard a lot of “what a time of year to break your foot.” To each his own, but I tend to disagree. Shorts are much more manageable than pants with a cast. And speaking of clothing, don’t be too concerned with your wardrobe while you’re stuck in the house especially if your closet is on another floor. Have your significant other grabs a week’s worth of clothes with a couple decent outfits for the doctor/ice cream days. When you finally get to pick out your own clothing again, everything is going to seem new. The few people that you will see over the coming weeks (family, in-laws and neighbors) have probably all seen you in your jammies anyway.
Now that everyone is prepared, I still don’t recommend breaking anything. It’s a pain every which way you can imagine. With the right tools, a lot of patience and even more support this will all be a distant memory soon I’m sure. If you’re lucky enough to be able to work from home while recovering, do it. Even if you are calling on help from co-workers or your own Virtual Assistant, it occupies your mind and makes you feel at least a little productive despite all the things you are incapable of at the moment. If you can’t, enjoy your time catching up on movies and starting your own blogs.
Finally take my advice, ditch the flip-flops and leave the heavy lifting to the husbands.
Angie Nelson
Your Nebraska Virtual Assistant
Goal Setting
Posted by: asnvirtualservices on: May 18, 2009
As business owners, we sometimes have so much going on NOW that we don’t stop to think about THEN. We all know it’s a lot easier to keep up on things a little at a time, rather than waiting until they’ve grown to crisis status. This is why monthly business goals are so important. Goals allow us to be proactive, instead of constantly being reactive. We always need to have a plan in action to grow our business and be more profitable.
Every month, write down half a dozen goals that are relevant, motivating and attainable. Are there things you’ve been putting off for some time, that really need to get done? Is there something that would make your business more efficient or profitable, but you haven’t had the time to implement it? Be specific in the course of action you will take. “I will acquire 2 new clients this month” isn’t specific. Instead your goal should be “I will acquire 2 new clients by following up with past leads and attending two networking events this month.”
Once you have your list, honestly look at each item and ask yourself “Is this something ONLY I can do?” Chances are there are some items that have been delayed that could easily be delegated to another member of your team or your Virtual Assistant. The more items you can hand off to someone else, the more you can truly focus on those items that only you can do.
This month take 20 or 30 minutes to write down a few goals and think about your plan of action to achieve them. The more items you get checked off your list, the more you’ll be motivated to set more goals. Setting goals is the first step to achievement and success, how far can you go this month?
