There are times when you look at where your income has come from in the last year and you wonder how you could ever have predicted it. Here’s a simple way to start developing a forecast.
Q1 – what would a small, medium or large invoice be for you? … put a figure to each of these
Q2 – looking at the last 12 months what mixture of S,M,L invoices or projects did you bill for?
Q3 – is this a good mixture for you? are there too many small bills? is too high a percentage of your income in a few large invoices/projects
Q4 – what would be a better mix (hint – the emphasis in the M with a few S development projects and a few L larger things)
Q5 – what would be a good goal for the next 12 months in terms of turnover?
Q6 – how would you like to split up this turnover goal into S,M,L
You should now have a turnover figure … lets say £200,00o for the sake of example … and a mix of projects … lets say 5S, 15M, 3L. Now sit down and think about which of your current clients you could target for each of these S,M & L. Once you’ve done that you then need to think about where new clients might come from to fill the gap between the predictable opportunities and the turnover goal. The answer to this question will help you plan your marketing activities … the trade fairs, conferences, magazines you need to target.