11 Mindset Shifts You Need to Scale Past 7 Figures
When I meet six-figure entrepreneurs, they tend to have all the tactics, strategies and information they need to scale to seven figures and beyond.
What holds them back (and the vital piece they miss) centers around mindset.
Almost every single time, they are their biggest obstacle. Their mindset (or lack of) stops them from making the leap, and for a long time this held me back. I've slipped into huge debt, suffered entrepreneurial depression and blown up successful businesses because they weren't "right" for me.
I've learned through trial and error how important mindset is, and after helping dozens of six-figure entrepreneurs scale to seven figures, I've uncovered 11 vital mindset shifts that every entrepreneur needs.
Here they are:
1. There are three types of cash.
There are three types of cash and revenue that you need to track if you want to level up and scale:
- Cash generated (how much you sold)
- Cash collected (how much you brought in)
- Liability (how much it costs to deliver your product/service)
Cash generated + cash collected - liability = gross revenue.
It's a simple equation, but it's one most entrepreneurs get wrong. They tend to focus only on cash generated, but you need to stop this and realize what your gross revenue is.
2. You must determine your profit vs. growth ratio.
This may sound simple, but you need to know what type of business you're growing, a profit-center that grows slowly or one that's growth-oriented that doesn't make much profit, but grows quickly.
These are two different types of businesses that require different strategies and approaches -- and more importantly, a different kind of mindset.
3. There are three types of leverage (for momentum).
There are three types of leverage you can use as an entrepreneur:
- Leverage of time (hiring someone and delegating)
- Leverage of money (spending money to reduce friction of problems)
- Leverage of energy (spending time or money so you don't have to think or act)
When used properly, this allows you to create and build momentum without having to apply all your own time and energy. This is a huge mindset shift for entrepreneurs, as it finally gets you off the six-figure hamster wheel so you can scale to seven figures without killing yourself.
4. There are three types of assets you need.
Entrepreneurs get so caught up in money, but there are three assets you need to develop at all times: your financial assets (profit), your relationships (personal and professional) and your audience (not just your customers, but potential ones).
Once you take care of these three types of assets, you can ride any storm.
5. Perfection happens when you finally let go.
Perfection does not happen when you obsess over control -- it happens when you finally let go.
The perfectionist and control reak that helped you hustle to six figures will not help you scale to seven figures and beyond. You need to shift gears and become the person who lets go of control, and instead empowers those around you to create the outcomes you desire and need.
6. You cannot be loved by everyone.
Not everyone will love you.
Actually, if you're doing your job right, most people won't.
If you want to scale and have a true tribe, you need to resonate with 10 percent of your potential market and go deep -- so deep that 80 percent of people won't care, with the final 10 percent becoming your haters and trolls.
Is this fun? No! But, if you want to make a real difference, you cannot try to please everyone.
7. Money isn't evil (but it also isn't freedom).
Money can be scary, whether you have it or not. What happens when there's no gun to my head? What happens when I don't have to worry anymore? What happens when I have enough to finally be myself?
Money is the ultimate multiplier: Those who aren't nice, become worse to be around; whereas those who are, become even better.
Money does not set you free. But, having it doesn't mean you'll become an egotistical a-hole. You get to choose who you are, with or without money.
8. You never run out of problems (they just change).
People think they will run out of problems when they reach the top; that they will reach a level where problems become a thing of the past.
Each time you grow and scale to the next level, you'll find new (bigger) problems. You will never escape them, so it's important you adopt a problem-solving mindset so you can handle anything with a logical and clear head.
9. Your job is risk mitigation (every single day).
If any one thing within your business -- where it's finances, operations, marketing, sales, delivery or mindset -- relies on "hope," you're screwed. Your job is to calculate the risk and create systems and processes to manage this risk, in all these areas, so that you are ready for any obstacle or situation.
In my experience, the best entrepreneurs are not always the smartest or most talented -- they are the best risk mitigators.
10. Business is a long-term game.
Get past the next 12 months. It doesn't matter if you're selling the business or not. Those who succeed are thinking five years from now.
Successful entrepreneurs don't think reactive or proactive -- they are in strategic mode every day.
11. Your job is to think, not do.
The period where you spend most of your time doing is over. The job of a seven-figure entrepreneur is to think, not do.
The fact is, you need to be the person who does very little work so you can empower those around you (your team, customers and peers) in a way nobody else can. You cannot do this if you're the person doing the task. Instead, you need to be the person working "on" your business (not stuck inside it).