How Not To Sell Yourself Into Receivership

Posted by eLaunchers on May 24, 2022 8:00:00 AM


It is possible to build a marketing plan that sells so much of your product or service that you run out of cash and end up in receivership.

But with Business Kamasutra, you will have a systematized plan that lets your business grow in a way that is both predictable and sustainable.

The first step in building your marketing plan is to determine how much of your product or service can you provide. For example, a solo chiropractor is limited by the number of weekly hours they are willing to be present at their clinic multiplied by the maximum number of patients they can see per hour.

Secondly, you need to calculate the amount of churn - the number of customers / patients / clients that will not return - and add that number to the amount to the amount of business that you will need to replace each month. It's important to note that while some of the "churn" business will be lost due to past customers moving away, finding a new provider, dying, etc, a significant amount of your "churn" may come from seasonal patterns, finishing a treatment program, or budgeting issues. These "churn" clients could easily find their way back again in the future.

Last, once you have calculated the amount of business you need to acquire, you will need to determine the maximum amount you can invest to attract those new customers / patients / clients.  For example, if you need 100 new clients and each of those clients is worth $1000, you are looking to generate $100,000 of new business. Now you need to know "What is the maximum I can pay to acquire that $100,000 of new business and still be profitable?" Is it $5,000? %10,000? $30,000? 

But when your marketing is engineered to provide you with the number of clients that you can comfortably service and they are brought in at a price that your business can afford AND still be profitable, life is good. Your business's p[potential is maximized because now you can concentrate on another part of your business - maximizing the profit potential of each of your new customers! Not knowing is where businesses get into trouble. Overspending on marketing to acquire customers may not leave you the necessary profit needed to pay your bills and grow the business. In extreme cases, you may be losing money on each new customer that you acquire. Additionally, If you over-invest in your marketing, you may generate more clients than you can handle. Imagine the dilemma of the chiropractor that can comfortably handle 100 new patients but ends up generating 200... The result isn't pretty no matter how it's handled.


Setting this up can be confusing or even overwhelming. eLaunchers can help. All you need to do is book a complimentary call with me - Parthiv Shah – at  301.760.4940 or click the link below. We'll discuss your current business situation and you'll leave with several actionable ideas that you can implement immediately.

Request Your FREE Consultation

Topics: Business Kamasutra

 parthiv shah


Are you one of the 99% of small businesses who are spending money on marketing but unhappy with results & ROI?

I can help you establish controls and measurements so you can know, understand and MEASURE what is working and what is not working in real time. In one hour I will help you identify your KPI (Key Performance Indicators) and connect all your digital marketing assets (website, social media, finance) to a digital dashboard and a mobile app so you can track and measure everything going forward in real time.




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