Listen "Summer 2019 Tip #4: "Managing Your Business Based on Profit/Value per Hour"
Episode Synopsis
What is value/profit per hour? This is a concept that I have been preaching for the last couple of years. It helps answers a lot of questions for agents at all production levels.
So, Value/profit per Hour = Your Gross Commission Earned over a period of time / hours worked = Your Value/Profit Per hour.
The average agent who has a mature business works at least 2600 hours per year. The average salaried employee works about 2200 hours.
Where I have to really push this concept is when an agent starts verbalizing that they just don’t have enough time to live their life.
So, I will have that agent take an inventory on all of the things that they are doing that can be outsourced for less than that agent’s value/profit per hour.
So, Value/profit per Hour = Your Gross Commission Earned over a period of time / hours worked = Your Value/Profit Per hour.
The average agent who has a mature business works at least 2600 hours per year. The average salaried employee works about 2200 hours.
Where I have to really push this concept is when an agent starts verbalizing that they just don’t have enough time to live their life.
So, I will have that agent take an inventory on all of the things that they are doing that can be outsourced for less than that agent’s value/profit per hour.