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When you're just starting out in business, it's a safe bet that you need more clients. But what if you have been up and running for a while, and you're still not production as much money as you would like? You may be in the habit of reasoning that attracting new clients is the answer, but this isn't all the time the case.

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There are many reasons why a pro services business might not be earning enough, but they typically fall into four categories: not enough revenue, not enough profit, not enough customers, or not enough time.

Start by looking at your gross wage -- the total whole your customers pay you over the procedure of a year. How does it correlate to others in the same line of business? Ask some trusted colleagues or check with your pro association for any statistics they may have.

What ration of your gross wage remains after you cover cost of sales? This is your gross profit. As a aid business, you may have no cost of sales. If, however, you are selling books, tapes or software, or accepting credit cards, your list cost and credit card fees need to be deducted from your wage before production other calculations.

Now deduct your business expenses from your gross profit. What ration of gross profit remains? Is this a typical ration for your industry? If you can't accumulate comparable data from colleagues, your pro association, or a published source like Dun & Bradstreet's "Industry Norms & Key business Ratios," correlate your profit margin (net wage divided by gross profit) to a desired goal of 70%.

Low wage - If your gross wage seems low for your industry, your profit margin is at least 70%, and you have about as many customers as you can favorably serve, couple on increasing your revenue, rather than trying to heighten your profit margin or bring in new customers.

Consider raising your rates, which may mean looking a market that is willing to pay more. Look for customers who will give you higher dollar volume contracts or place larger orders. Think about hiring more menagerial help, which would free up more of your time to payment out at pro rates. You should also work to growth your passive wage by selling products created by you or others, reselling some of your existing work, or licensing a process you have developed.

Low Profits - If you are spending more than 30% of your gross profit on overhead and marketing, work on enhancing your profits. Look for ways to cut expenses by reducing your overhead, or focusing on your most profitable line of business.

In addition, if more than 15% of your gross profit is spent on marketing alone (assuming you are not a start-up business), consider cutting back on advertising or mailings, and using more referral-based marketing strategies. Seek out customers who will give you repeat business or long-term contracts.

Too Few Customers - Low wage combined with not enough billable work to keep you busy means you actually don't have enough customers. If you don't have a marketing plan, it's time to generate one. Focus your plan on the most spellbinding aid you have to offer and the most lucrative market, rather than diffusing your power by marketing some separate aid lines to more than one type of customer.

If you already have a marketing plan, but it's not paying off, you may need to break into a new market, look for a more spellbinding way to package your services, or form an alliance with person who can send a steady stream of business your way.

Too dinky Time - It's potential that you plainly don't have enough time to earn more money. When you are consistently spending over 25 hours per week serving clients, with more potential customers in the pipeline than you can realistically serve, it's time to hire an laborer or bring in a junior partner. If you're not ready to take that step, think about subcontracting work to a trusted associate, and keeping a ration of their billings.

In reading the suggestions above, you may have discovered that you don't have enough facts to diagnose your wage problem. There are six statistics every aid business owner should know: revenue, expenses, profit margin, whole of customers, median sale amount, and billable time. If you don't have the answers, start tracking these measurements today.

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