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There is a hidden cast to all the decisions that you are making and not making in your jewelry business. And I'm diving into that today because so many business owners forget to look at the opportunity cast for all of their decisions and they forget to look at the crucial elements when it comes to decision making and not looking at what would best support your past self but what best supports your future self and the version of you and the version of your business that you are working towards. So I'm diving into that today.

You'll definitely want to take notes and get ready to journal a little bit afterwards as well. My name is Robin Clark and I'm a jewelry designer turned jewelry business coach and podcaster. I'm the founder and CEO of the jewelry business academy, the host of the jewelry business academy podcast and I help women around the world scale their jewelry business to six figures and beyond without burning out.

If you're a jewelry business owner looking to break through to the next level, then my coaching program and podcast are for you. You will get lots of optional tips to level up your business, your mindset and your life. So grab your notebooks and let's dive in.

Hello, hello and welcome back to the podcast. It's so good to have you here with me today and I am talking about something that a lot of business owners forget to look at when they are scaling their business and when they're making decisions in their business today. So if you are even just starting out in your jewelry business, this is really, really going to help you make decisions that are in the best interest of yourself and your business in the long run.

And if you're already established and you're looking to scale your jewelry business even further, this is really going to help you make the right decisions, which sometimes decisions feel uncomfortable, but they're actually the ones that are going to help your business and you grow. And so I'm going to dive into that with you today on this episode. So let's dive right into it.

You know, there is a hidden cost to the decisions that you're making in your business every single day and there's also a cost to the decisions that you are not making and this is known as the opportunity cost. So the opportunity cost in your business is what are you losing out by making this decision? What opportunities are you missing out when you decide to invest in this piece of equipment rather than something else? What opportunities are you losing out on when you decide to invest in new materials from this supply instead of this supplier? What opportunities are you missing out on when you choose to spend your whatever $5,000 of money that you're wanting to put back into your business? Where you choose to spend that you are going to have opportunities that you're missing out on no matter what decision that you make in your business. So it's really important to take the time to not just look at what is the cost of this decision that I'm making in my business.

But what is the opportunity cost? What could this have been spent in other ways in my business and what is going to bring me in the long run the greatest return on my investment? So it's something that you really want to take time to look at when you are making decisions in your business, when you are choosing to hire someone, when you are choosing to outsource, when you are choosing to do things on your own as well. You know, there's the monetary cost to any decisions that you're making in your business. How much is this actually going to cost you financially? If you're buying new tools, if you're investing in coaching supports, if you are hiring an employee and paying them for whatever work they're doing in your business, what is the monetary cost to that? And where could that money have been spent elsewhere? And what is going to bring the highest return of investment on that money? But then also, what is the time cost? Because this is what a lot of business owners forget is that we have three different types of resources.

We have time, energy and money. And people generally hold on really, really tightly to their money and really struggle to invest in themselves and their business or make decisions that require financial output in their business. But they will happily do anything or say yes to things that are going to require a lot of time and energy from them.

And the one thing to keep in mind is that time is the one resources you will never get back. You will never get that back. So every time you say yes to something that's requiring your time, especially in your business, be really mindful as to, you know, is this really how I want to be spending my time? Is this really the best use of my time? Am I willing to spend five years doing trial and error, working things out, working crazy, crazy hours in my business? Or would that be better outsourced? Should I hire a team member so that they can help and take some of that away and I can have more of my time back? Or do I get support in terms of like, help getting somebody who knows how to implement these strategies for me? Do I get that support? So I know what I need to be doing every day so that I can optimize the way I am spending my time in my business and then spend less time in my business and more time with my friends and families.

So you want to look at, you know, what is the monetary cost to this decision? What is the time cost? How much time does this require? And where could that time otherwise have been spent? So if you're making a decision like, oh, should I hire an employee to help me in my jewelry business? And you're wondering if that's a good investment or not? Well, look at how much time they are going to be saving you and what could you be doing that is of better value to you in your business or in your life with that extra time? If a new employee is going to give you back 10 hours a week or 30 hours a week extra for you. Well, you could spend five of those working on your business on actually really upleveling your business and you could spend the rest of it, you know, filling up your own cup, doing things that give you energy, going to the gym, going hiking, spending time with your family. So really looking at every decision, not just from a financial perspective, but from a time perspective as well.

What is the time investment this is going to take from me and how much energy is this going to take from me as well and how much energy is this going to give me in the short term and in the long term? So you know, looking at the opportunity cost, what you're going to be missing out on when you make a decision in your business is really important and a lot of people really forget to look at this and they make decisions from a bit of an emotional standpoint in their business. People like to think that they're making decisions from a logical point, but I see this all the time with jewelry business owners that I'm talking to and it's not logical if you actually look at the right facts in your business. A lot of the time people are making decisions based on sunken costs, which is something that you actually don't want to look at when you're making a decision in your business.

There are three different costs which are irrelevant when it comes to decision making. So the first cost that is irrelevant when it comes to making decisions in your business is what are your sunken costs? Now sunken costs are costs that you've already spent or invested in your business that you can't get back. It is what it is.

This can be, you know, sunken costs is, oh, you bought all this inventory and it's got your logo on it, it's all the packaging and you've decided to change your packaging design or whatever and you have all this like thousands of dollars of branded packaging. Well that is the sunken cost. You can't get that back so you may as well make the most of what you have there or accept that you've lost that amount.

So if you're thinking, if your decision that you're trying to make is should I rebrand and come up with new packaging and new orders for my business but you've already got $2,000 of branded packaging for your business, that's the sunken cost. So you know, if you're going to move forward with new packaging, you have to accept that's a loss if that's something that really doesn't support your brand. Now this was maybe not the best example because honestly I never really recommend just throwing away packaging.

There are always ways to utilize it and phase in new packaging but the principle is going to be the same in any areas of your business and I often see this when somebody started their jewelry business and wasn't clear on what it was that they were wanting to do in the first place when they started scaling and so they built a business and designs and all of this that isn't actually what they are wanting to do moving forward but they've already invested all this time, energy and money into building this business as it is now that they feel like it would be a waste to pivot and move in a slightly different direction because they've already done all those investments and those are sunken costs. The more you hold on and keep trying to make something work that isn't actually in alignment with what you're wanting, the higher those sunken costs are going to get until you finally are forced to make a decision to pivot or make changes in your business. So there's going to be some loss in business.

There's going to be some sunken costs. You have to accept that and move forward quickly and the faster you learn to be able to do that and make decisions that aren't based on what you've already spent or what you've already invested on or tools you've already invested in and now you've decided you're not going to go that way with your designs. Don't just go and make those designs because you bought the tools.

If optimally it's not the best decision for your business or for you to keep making those designs even though you've invested in the tools, you need to accept the lost sunken costs and move forward, make decisions that are best for you and best for your business. So that's the first cost that you don't want to consider when it comes to making decisions in your business. And the next cost that is irrelevant when it comes to making decisions in your business is costs that you've already committed to.

Now in a jewelry business, this can look like costs you've already committed to, I don't know, a space that you've rented, a store that you've rented. If you're in a contract and there's nothing you can do, well, you can't take that into consideration at this stage in your business. If you've already committed to inventory that's on its way, well, you know, there's not much you can do unless there's a return policy there.

If you've already committed to hiring an employee for three months and you've already committed to that and made that commitment, well, you can't really make decisions there unless you're going to fire them, which is a whole other story. So that shouldn't be impacting your decisions. And then your overhead costs are another form of irrelevant costs in some ways because your decisions that you're making in your business are unlikely to affect the overhead significantly unless you're making big, big, big changes in your business.

So it's really important when you are making decisions and evaluating all the different options for you in your business to really take the time to look at what are the opportunity costs here? What am I gaining by making this decision? And what am I losing by making this decision? Because there is a cost to every decision that you make in your business and there is a cost to every single decision that you do not make in your business. And as human beings, we are wired to seek comfort over everything. So honestly, what I see and I see this play out all the time with business owners is they'll make a decision that feels comfortable in the moment because their nervous system can't handle the processing, making a decision that just doesn't feel comfortable in the moment.

Even though that decision in the moment isn't supporting them getting to their long term goals in their business, isn't supporting them growing and expanding as a person and a business, isn't supporting them actually getting to where they're wanting to go. So they're just delaying needing to make that choice or decision to a later date, which is also just going to make it harder to make. The more you delay things, the more time you spend overthinking things, the harder it is to actually make that decision.

So what I've seen as I work with and talk to really successful entrepreneurs every single week and the one thing they all have in common is that they are really good decision makers. They make decisions quickly and efficiently and they know what to look at. They know when it's time to analyze a decision a little bit more if it's a higher investment.

They know what they're looking for from a decision. They know very clearly where they're going in their business and that clarity helps them make those decisions really quickly. They also have an inner confidence that they are going to make it no matter what and they know that if they made a decision that maybe wasn't the best decision, they are going to be able to pivot that and they are going to make the most of that and actually make it into the best decision for them and for their business.

And so having that inner confidence which comes from taking action is rarely game changing and it's something I see all these top entrepreneurs all have in common. And so if you're somebody who struggles to make decisions, it's generally because you don't have that inner trust and inner knowing that you know what you're doing and that you are capable. So you have to build that self-worth within yourself so that you can start making decisions quicker, start trusting yourself, start trusting your abilities to make the best of the decisions that you are making.

So a really good example of this is somebody who's looking to join the Jory Business Academy let's say for example. They are wanting to get support. They are wanting to expand.

They are needing support with strategy and implementation. They've plateaued in their business and they're struggling to drive more sales and they know that they need support and they know that they don't know how to get to where they're wanting in their business. They know the benefits of getting outside eyes on their business but they are scared of making the investment.

So I can give you a real life example because I literally have seen this play out both ways. I've seen business owners who are nervous, who've never really invested in themselves or their business before take the leap because they know where it is they're going. They know what it is they're needing and they are not willing to waste time and energy and money trying to figure it out on their own.

So they are ready just to feel supported, to feel held, to get all the strategies that they need and frameworks that they need to really effectively scale their business and it comes at a cost. There is an investment to joining the Jory Business Academy but when you look at it with perspective, the cost of investing in coaching is minimal compared to number one, the cost of mistakes that you're avoiding in your business. Especially if you're in the first three years of business, people do not realize how quickly your expenditure adds up because of mistakes that you're making.

I see this with people who've bought the wrong inventory, who haven't got clear on their collection, who haven't got clear on their niche, who haven't got clear on what it is they're building and they have all this inventory like 30, 40, 50 thousand dollars of inventory lying in their lounge in boxes that they then aren't able to sell because they didn't have a plan for selling. And so they have all this expenditure and there's also another big waste of money I see business owners doing is investing in ads and investing in social media management before they've developed their voice, before they have solid sales funnels in process and implemented in their business before their content is actually going to organically convert customers and drive online sales. And people easily spend 20 to 30 thousand dollars in ads in six to eight months.

And if you think I am exaggerating, I can tell you I'm not. I've been there. I've spent 15 thousand on ads and not seen results in the past because I invested too early before I had the sales funnels in place in my business.

And this is something I help my clients work through as well and process is like, okay, well, you're wanting to scale when you're at 40 to 50 thousand dollar months every month, then yes, let's expand. Let's go into ads. Let's do that, make that decision.

But you know, if you're just starting out and you're not making consistent sales, working, investing in ads is not going to be the thing that does that. So if I go back now, you know, if we're looking at the investment of like joining the Jury Business Academy, for example, there's that cost of the initial investment, which is actually minimal compared to the lost expenses that you would be spending through mistakes and time and trial and error and all of that. And then there is the money that you would be generating so much quicker because we drive sales through four different streams of revenue within the Jury Business Academy to help get you kickstarted immediately upon joining.

And then we continually scale and refine your messaging and refine the way you're showing up and refine your content. So you really connect to your community and you really build a community obsessed with your brand and excited to buy from you. And that drives sales and that drives revenue in your business.

So you know, the cost of not making a decision to like invest in your business, for example, joining the Jury Business Academy, it's a small investment compared to the thousands and thousands you potentially could be losing through making the wrong decisions, not having support and guidance and processing decisions correctly. And then also the sales that you're losing out on and so have time to come and they're scared and they're nervous because they've never done something like this before. And some of them take the leap, a lot of them take the leap and they are like, yes, I'm all in, sign me up, let me join and feel supported.

And it feels a little uncomfortable in the moment making that decision because maybe they haven't ever felt worthy of investing in themselves or their business in that way before. But you know, I've seen within a few hours, they're just like messaging me and they're saying how relieved they feel and how at peace they feel and how much more confident they already feel without even getting started within the program. And then once they get started, they start seeing the value immediately.

And I actually recently, I'd like to send out feedback emails to my clients to see how they're at, what they're loving, where they're needing support. And one of the questions I have for them actually is about the investment and knowing what they know now going, having gone through the program, having received that support and the strategies and seen results in their business. What is the investment that they would have been willing to put down for the program? And most of them are saying more than two to three times what the actual investment is, which is really incredible.

And that is just proof that, you know, there is definitely a cost to different decisions in your business, but there's a cost to not making them. And you really recognize that. And I actually really like when jewelry business owners come to me and they're two to three years into their business, because often people who are just starting out have not been hit by the reality of business and what it takes to really make it in business.

And they think they're just going to build this really cute collection, have a nice social media presence and drive sales. And that's not how it works. And anyone listening to this who's been in business for more than a year knows that's just not the reality.

It takes a lot more to actually drive sales, to actually build a community, to actually make an income that you can live off in your jewelry business. And so I often see that it's easier for business owners to first spend two years struggling, to spend two years going into debt, to spend two years like trying all the things, doing all the trial and error, heading into burnout. And then they come and they're like, okay, I'm ready for support now.

Help me get out of this hole that I've dug and you know, I'm always more than welcoming to people who are ready for support within the jewelry business academy. But it is unfortunate that people often feel that they have to first do that trial and error and they have to waste all that time and that energy and that money and then they come and get support. And the reality is when you come to get support at that stage in your business, we have to focus on making sure you're not going to burn out.

We have to work with limited resources that you now have because now you've wasted a lot of money, you've lost a lot of potential income, you have lost a lot of your energy and motivation to show up in your business. And so we're really dealing with then scaling your business very sustainably and taking really small steps, which we can do and I do do with clients. But it's so much easier if you know, right at the beginning, they're like, okay, I'm going to do this and I'm going to do this properly and I'm going to get the support that I know I'm going to need in this business.

I'm going to get experts in who I know are going to help me make the best decisions in my business. I'm going to not try and be a hero and do this on my own because I don't have anything to prove. I don't feel the need to prove to people that I can do this on my own and I'm willing to feel supported on this journey because I'm here for the long run and I'm here to succeed and I'm here to build a profitable business.

So that's just an example. You know, there's so many examples in this. If you're hiring a team member and you're hesitant because of the cost of a team member, well, you know, there's different stages of your business and at some point, if you're scaling, you are going to need team members within your jewelry business and it's number one knowing which role to hire for and I have a whole podcast talking about this if you want to learn more about that, but it's knowing what role am I going to hire for and then, you know, it could be uncomfortable if you're at a point in your business where maybe you're making 200,000 a year, but you're needing to hire this person for 40,000 a year full time.

Well, that's a really uncomfortable thing because that doesn't feel like you have much leeway, but actually making that hire of 40,000 a year for that employee could change the trajectory of your business. It could literally free up so much time and energy for you. You can up level so that you're making four, five, six hundred thousand over the next year.

So it's really, there's that cost of like the 40,000 for hiring an employee full time, but the cost to not spending that money is staying at the same place where you're at, burning out, not having time to spend with friends and family, missing out on family occasions, always feeling stressed and not present when you are with your family. You know, there's a lot of hidden costs to every decision that you're making. Obviously, if you make the wrong decision in the wrong hiring choice, that's, there's also a cost to that.

So you do want to look at all the options, but there's always going to be an element of risk to business. And as I said, the successful entrepreneurs I speak to all have that inner confidence and inner knowing that they are going to make it and that they are going to be okay. And so if you ever find yourself feeling really anxious over a decision that you're making in your business, I want you just to like take a moment and stop and breathe and remind yourself that I am safe and my body is safe because our minds are just biologically wired to think that we're under threat when we have to do things that make us feel uncomfortable.

And so you have to remind yourself like, look, I'm okay. This is okay. This is just a decision.

And then look at the cost of making that decision and look at the cost of not making that look at where you're wanting to be one year from today and look at which option is most likely to actually get you there. You know, not just financially, where are you wanting to be? But how do you want to be feeling like how much energy do you want to have? How many memories do you want to have made over the past year? How much of a community do you want to have built? Look at that and, and then make a decision and move forward confidently with whichever decision you make. You know, and make it work.

Make the best of it. And it's honestly one of the best things that you can do for yourself. Confidence in business is learn to take action quickly all the time.

So practice decision making. If you're somebody who goes to a restaurant and needs 10 minutes to read the menu, use that as practice. Just say to yourself, when I go to a restaurant, I'm going to make a decision within three minutes and just go and always do that.

Start training yourself to make decisions really quickly and really effectively and don't go back track. Don't doubt yourself. Make decisions and move forward.

Because that's how you build self confidence. That's how you learn to trust yourself. And if you can't trust yourself, it's really hard to trust other people as well.

So I'm going to leave it there because I feel like this, this was a pretty in-depth one. And I know a lot of people struggle when it comes to like looking at the costs of things. It's all funny and games when you're looking at like all the good sides of business and it can feel a little nerve wracking to actually face the reality of maybe some decisions you've made in the past that weren't financially good decisions or weren't good decisions for your family or for your health or for your time and energy in your business.

So it can feel a little nerve wracking to stop and look at that. But moving forward, definitely look at the opportunity cost to every decision that you're making and make decisions that are supporting the future version of yourself and not the past version of yourself who's made other decisions. Always focus on your future self.

So if you enjoyed this episode, screenshot the episode and tag me on Instagram. It is Robin Clark Coaching. I really love hearing from you and hearing your feedback on the episodes and connecting with you on your entrepreneurial journey over there.

And if you are ready for a season of growth and expansion in your jewelry business and you are ready to invest in yourself and invest in your jewelry business and actually implement growth strategies that are proven to drive brand awareness, to build communities that are connected to you, that are proven to drive sales and introduce multiple streams of revenue into your business and feel supported along the way, along your journey of scaling your business by me and by other jewelry businesses around the world. Then the jewelry business academy is the place to do it. You'll get my eyes on your business every single week and I'll be there to help and support and guide you as you scale your business.

So that sounds like something that is exciting to you and you are ready to embrace that season of expansion and growth. Then head to jewelrybusinessacademy.ca and you can go ahead and book in a connection call with me and we'll see if you and your business are a good fit for the program.

So I hope you have a wonderful rest of your day and I'm looking forward to connecting with you on Instagram.