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My Greatest Challenge as a Business Owner – Outsourcing

Keller Hawthorne | May 15, 2010 | 18 Comments
Growing Your Business
My Greatest Challenge as a Business Owner – Outsourcing

I had a revelation this year – my biggest downfall as a business owner is my inability to outsource and delegate. Did you know I run SIX businesses out of my home? Three are retail, which require customer service and inventory management; one is technical and product based, which requires support and updates; one is service based, which requires consultation time and work; and one is my blog, which requires networking and writing. All of them require marketing. Fortunately, they’re all online.

How well do you think I run each? I would like to think I do a pretty good job, but the truth is I can’t give 100% to any of them. And therein lays my brick wall. Each of my businesses may earn money and allow me to work from home, but as things stand right now, I will have to acquire help if I want to move from a full-time income to riches.

There is one major difference between myself and all those Internet Marketing Gurus…

I do it all and they do very little.

I create and design my websites, I handle customer service, I network, I write content, I perform SEO, I, I, I. Sound like you? The Gurus spend their time creating a product or idea and then outsource all of the work to other people – sounds like a lot more fun.

So, why don’t I outsource? I’m sure my reasons are the same as yours…

  1. I think it might be too expensive.
  2. I don’t have the time to train people.
  3. I don’t trust other people running my business.
  4. I don’t really want to “employ” people.
  5. I haven’t had a moment to stop and work on it.

All of those are pretty good reasons, until you find out the truth behind each. After doing a little research on the subject and reading about other business owners’ experience in this area, I’ve discovered that…

  1. You can hire someone to work 20 hours a week for you for around $200/mo.
  2. You can teach ONE person how to do everything and that one person can train the rest of your staff.
  3. You can find loyal, hard-working people to work for you.
  4. You can hire help without becoming an “Employer.”
  5. Until I stop and work on outsourcing my businesses, I will always be stuck in the daily grind.

I really do believe I will NEVER reach the next level of success income wise if I choose to continue to do it all, because I CAN’T DO IT ALL!

So, I’ve made a commitment to myself this year to learn more about outsourcing and hopefully begin delegating some of my work load to someone. In order to learn more about it, I’m considering purchasing a few different courses. Here are some awesome options I’ve found so far:

1. Outsource Force

This is not a cheap program, but the benefits of learning how to properly outsource your business activities literally separates the top dogs from the small fish in Internet marketing. John Reese is one of the most well known IM gurus, so he definitely knows a thing or two about running an online business. John is accepting new students in his Outsource Force Coaching Program until Sunday night (May 16th) MIDNIGHT EASTERN STANDARD TIME. The online class starts on Monday.

All students also get a 1-Year bonus membership to Opportunity.com to learn how to run a successful Affiliate Marketing business!

→ Learn More About Outsource Force

2. Mass Outsource

I know Tyrone Shum through his blog. We’ve communicated back and forth throughout the blogosphere and I can honestly say I love how he talks about outsourcing. He seems to be an expert on the subject and makes it sound so simple. His course periodically opens to new students, but he offers free videos year-round on the subject.

→ Learn More About Mass Outsource

3. Replace Myself

This is a program a friend alerted me to. She’s been learning from John Jonas for a few weeks now and plans on joining his program. The program costs $97/month and appears to be open to new students year-round. This definitely seems to be one of the more cost-effective courses.

→ Learn More About Replace Myself

So, I will be taking a closer look at each of these to determine if any are a good match for me. If you know of any other courses or books and you can offer your experience with them, please let me know! And if you have experience with any of these courses, please leave your thoughts on them below.

If I try to do everything, I can’t do anything really well. It’s time I faced my fears and learned to rely on others. How about you?

What’s Stopping You from Outsourcing? If You Already Outsource, How Has It Changed Your Business?

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  • http://website-in-a-weekend.net/ Dave Doolin

    My hunch is you're going to work your way through all of these.

    What the cynics don't get is that all the top people in this field regularly buy these products. Both to keep up with what's new… and to keep an eye on what the competition is doing.

    I don't have the cash flow to outsource anything right now, which will form the basis of a very long blog post at some point.

    But in the future… you better believe it.

  • http://www.pajamadeen.com/ pajamadeen

    You wrote:

    “You can hire someone to work 20 hours a week for you for around $200/mo.”

    I'm assuming you mean outsource to third-world countries. I've had people in the Philippines offer to work for me for $3.95/hr. and offers from India coming in at even less. The problems I have with this are:

    a) slavery was outlawed over a century ago. I just can't do this to my fellow human beings.

    b) the quality of the work can be spotty and

    c) (i'm actually left leaning, in case you wonder) outsourcing has cost many Americans their jobs: the auto industry, the medical industry, the computer industry. the list goes on. I kind of like Canada's approach to this (They have a very healthy economy.). If you outsource a Canadian job, you pay huge tax penalties such that outsourcing becomes a very unattractive option.

    I think quality of life is more important than how much money I make. I don't outsource anything overseas, and probably never will.

  • http://www.smittenbybritain.com/ SmittenbyBritain

    Keller, after I return from Europe this summer I had planned on starting my own free-lance business in blog design. Keep us posted and maybe you could keep me in mind?

  • http://www.ripplenet.co.uk Tim Read: Ripplenet web design

    I think you need to develop a certain level of stability in the business before outsourcing: unless there's a constant flow of cash in, then there's always the chance that the overhead from outsourcing will run you dry.

  • Rebe_CR

    Oh yeah…this issue resonates clearly, Keller. A person can only do so much effectively, tho I'm awed by what you accomplish and all so well.

    When I started to outsource I determined what aspect of my biz ate up too much of my time to complete. Then it was finding the right people, which took me 2 years to find, but they finally showed up. :) (via forums, referrals) Two are overseas and one in my area; all are very professional and timely in their work. They all are a great asset to my business and I value each of them; Our personalities gelled well, too, which helped.

    I've seen the recent flurry of programs for “how to outsource” but decided I didn't need to pay for such a course; it's really about finding the right and talented people and being clear on what you expect from their work. Maybe because in a past life I managed my own B&M biz with employees (catering/retail to IM what a stretch!) this wasn't as tough but as previously stated, it took lots of false starts to separate wheat from chafe.

    You're certainly going to need the help Keller…once the little one arrives. ;)

  • http://www.blogengage.com/story.php?id=54001 Vote on this article at blogengage.com

    My Greatest Challenge as a Business Owner – Outsourcing…

    I had a revelation this year – my biggest downfall as a business owner is my inability to outsource and delegate. Did you know I run SIX businesses out of my home? How well do you think I run each? I would like to think I do a pretty good job, but the …

  • http://www.fresheventure.com Keller Hawthorne

    Truth is cost has been one of my biggest challenges with Outsourcing, though I am surprised to learn how cheap it can be. But even $200/month is still too much for some, especially if your business income lacks consistency or your biz is still getting started. Of course, many would argue that an upfront investment in outsourcing could be the very thing that will take your biz to the next level. It's not an easy decision, that's for sure.

  • http://www.fresheventure.com Keller Hawthorne

    I believe there are some cost-effective ways to outsource within the US, like hiring a full-time mom to answer phones, etc. You mentioned you will never outsource overseas. Since many people only discuss outsourcing overseas, I would love to hear about your experience with outsourcing within the US – How much does it cost you and how do you find workers?

    I'm afraid I'm not sure why hiring someone from the Philippines would be considered slavery. The definition of slavery is “the state of being under the control of another person” or forced labor where you become someone else's property. Are you saying that if I hire a Filipino I'm actually purchasing them? Aren't there laws in place to prevent that? What am I missing?

    Thanks for sharing your thoughts pajamadeen. Please do share your tips with us on how to effectively outsource within the US. BTW – love your web design!

  • http://www.fresheventure.com Keller Hawthorne

    Of course Melissa! As Simply Fresh Themes grows, I will definitely need help from web savvy people. Keep me updated.

  • http://www.fresheventure.com Keller Hawthorne

    I absolutely agree Tim!

  • http://www.fresheventure.com Keller Hawthorne

    Thanks for your thoughts Rebe! Wow – 2 years?!? Sounds like it took a lot of patience.

    I have a feeling my biggest struggle will be letting go – even in my old retail management days, delegating was my greatest challenge. I figured I would start out small, like hiring someone to add new products to my stores each week. If they did a good job, I would increase the work load. If not, I would find someone else. Does this sound like how you did it?

  • http://www.drostdesigns.com Herman

    I tried outsourcing a few times but it took too much of my time communicating between my client and the outsourcer. It was faster to do it myself. I do outsource article writing twice a month for SEO clients but like you do all my own web development, marketing, link building, etc. Before jumping into outsourcing I'd like develop more consistent passive income streams (info products) so I can afford them.

  • Rebe_CR

    ooops..wrong button. ;)

    actually Keller, you must. delegate. doesn't mean you let go. As stated it took 2 years for the right people to show up. Prior, too much time spent on babysitting too many false starts, I let go of finding the right people…that's when they “showed up.” and by that I mean, on different forums, groups etc., i just kept mental note of certain people and when it felt right, asked if they had the time to commit to the work…long term. just keep your eyes peeled for the right people…they are out there.

    btw…your due date is when…August?

  • http://www.fresheventure.com Keller Hawthorne

    Yup – August 4th.

  • http://www.quickenwebsites.com Quicken Websites

    I just found and interesting post about Outsourcing here http://www.seopblog.com/?s=Outsourcing It looks like there is a big discussion about it on the internet. I stand against outsourcing especially to India, these guys don't know what they are doing, tried 2 times, no thank you!!!

  • http://financiallyeliteblog.com Dwight

    I would go with Tyrone's product any day of the week over the $2000 alternative. Truth is I had a friend that took that course and just barely knows how to post on crowdsourcing sites! I knew this just from reading a few free posts on the warrior forum.

    Keller sounds you've got quite the workload and could benefit from the 80/20 rule and outsource the most mundane and repeatable parts of your business freeing yourself up to market business more. Good post and finding a good VA i hear is priceless.

  • http://financiallyeliteblog.com Dwight

    I would go with Tyrone's product any day of the week over the $2000 alternative. Truth is I had a friend that took that course and just barely knows how to post on crowdsourcing sites! I knew this just from reading a few free posts on the warrior forum.

    Keller sounds you've got quite the workload and could benefit from the 80/20 rule and outsource the most mundane and repeatable parts of your business freeing yourself up to market business more. Good post and finding a good VA i hear is priceless.

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