McMahon’s company has been profitable from the start. Last year’s revenues reached $250,000, and 2012 revenues are projected to total $300,000. McMahon has drawn a salary of $100,000 each year she’s been in business. “I reinvest [the rest of the] profits back into the company by purchasing new equipment and bringing in others to train so that the company can grow and take on more projects.â€
McMahon practices responsible money management by saving 15% to 20% of her salary. She also walks to and from work and eats lunch at home. She and her husband, Liam, work with a financial planner to assist them with retirement planning and disability and life insurance policies.
Although annual revenues for women-owned businesses typically stall at the $250,000 to $499,000 mark, McMahon expects the company to be around for the long haul. “In five years, I hope to have the resources to take on more clients and to one day become a million-dollar company.â€
McMAHON’S TIPS:
Hire a financial team. McMahon advises hiring professionals to oversee both your business and personal finances. Her team comprises an accountant, attorney, and financial planner.
Keep operating costs low.
McMahon kept costs low the first three years by working out of her apartment.
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