As we draw closer to the end of the client acquisition course and start to get ready for the next full Coach the Life Coach course on June 11th, I was reminded of an email exchange I had with a woman just after I started Coach the Life Coach.
I was running a competition for a free place on the course and asked people to email me and tell me why I should give them such a great opportunity.
I had some very cool emails from people who were obviously up for the challenge of being a coach, and a few from people who were never going to make it no matter what.
One guy simply said:
‘Well it’s free so I thought I may as well throw my hat into the ring’
Hardly inspiring, was it?
Becoming a Life Coach Isn’t Free
The email that really made me stop and think was from a woman who ended up by saying this:
‘Tim, if you said the course was $5 I literally couldn’t afford to do it’
In some respects you may think that would be compelling, that if this woman was so broke I could really help her.
But I couldn’t.
The fact that it’s technically possible to bootstrap a Life Coaching practice, is not necessarily a good thing.
The low bar to entry means people sometimes translate that as no bar to entry and they are far from the same thing.
The people who do it and succeed, seriously understand client acquisition.
Without that ability to market yourself like a pro, the odds are you’re going to fail (which is why we teach online marketing!).
And the situation is exacerbated because of so many training companies are telling half-truths and not explaining to people that being a successful coach isn’t easy.
I have no problem being honest with prospective coaches because both myself and Karl only want to work with coaches who are getting into the industry with their eyes open and prepared to work at it.
How Much Does It Cost To Be A Life Coach?
As of now in 2017, I’m going to share with you my average monthly expenditure for A Daring Adventure so you can get an idea of what lies ahead.
There are without doubt short-cuts that you can come up with such as starting a free newsletter account with a company like Mail Chimp.
However, once your list starts to grow they will start charging. But they work on the theory that once your list expands you can afford to pay them anyway.
I use Aweber because even though they are a tad more expensive than the likes of Mail Chimp, they have the best reputation with ISP’s and the highest delivery rate in the industry.
So let’s take a closer look and see how much does it cost to be a Life Coach. And remember none of this takes into consideration our most precious commodity, time:
- Aweber newsletter – $100
- Zoom – $15
- Web hosting (Siteground) – $25
- Pay Pal Pro – $30
- Transfer Big Files – $5
- E-junkie – $5
- Design and techie help – $250
- Vonage (worldwide) – $30
- Cell Phone – $100
- Internet – $95
- Amazon S3 (off site data storage) – $5
- Ongoing training, books etc – $100
You will probably notice two glaring omissions.
Firstly, coach training is not included and there is a good reason for that. I have no idea how much you will spend.
We charge considerably less than $2k and that is about what I spent on my initial training.
However, some training companies will want closer to $10k from you.
Do you get 5 times the value? Well I don’t think so, but then again I may be a tad biased.
Also, practice liability insurance is not on that list.
That’s because I let mine lapse a few years ago without realizing it and only noticed when somebody on the last trial course asked me who I used!
I think insurance is very much a personal call. If you are having people come into your home, then I think it’s sensible to be covered.
On the other hand, if your clients are dotted all over the country and world like mine are, then I’m doubtful of it’s value.
And the reason I’m not sure, is simply because Life Coaching isn’t regulated. Therefore, unless you do something flat out illegal then I think the likelihood of you needing legal counsel are very slim.
The monthly total above comes to $760 per month, or just over 9k per annum (and remember that doesn’t include Coach the Life Coach).
That’s not a lot by most business standards, but when you consider that 90% of Life Coaches earn less than $20k per annum it takes on a much bigger role.
And there are significant costs that I will incur that I haven’t included because they are sporadic.
Only this morning I spent $60 on UpWork having some design work and proofreading done.
And whereas you don’t have to use a professional designer when it comes to your website, I do, and that probably costs me $200 per month if I was to average it out.
I do think a new coach could start up needing about half that per month to begin with, but I’d be hesitant to budget any lower because there are always unexpected expenses and one off costs to take into consideration.
3 Crucial Questions To Ask Yourself
- How badly do I want it and am I prepared to put in the hard work at the front end?
- Can I survive a year or two on a very low level of income as I build the business?
- Can I afford the running costs needed to make sure I look like I’m a professional?
If the answers are, very, yes and yes, then cool, go for it because when you succeed it’s very rewarding and a lot of fun.