You will need to invoice 10,000 euros so that you can finally take 1,000 to buy a house, you can pay your mortgage or go to the movies. Maybe you are reading this and you do not have physical products. You sell training, coaching services or even a product where you do not have the purchase price reference. What will your profit percentage then be? Well, when you have been "Shooting" for a while, you will have it more clearly. But I recommend that, at the beginning, when you still do not have any referrals, you assume that your profit percentage is 20%. But why 20%? Because this percentage will guarantee that your business remains healthy. And you who thought that everything you were earning was for you. I'm sorry to be the one to open your eyes and tell you these things. I know you're thinking right now, but what do I do with the other 80%? Expense amounts - how much do you need to invoice in your online business to live, instead of surviving? You must have several expense items, so as not to be scared in your online business.
What expenses should you take into account in your online business (so there are no surprises) as I have already told you, everything you invoice will not be for you. We have to start making small piles, or not so small depending on the case. Where does what you enter into your online business go? Well, from your monthly Latest Mailing Database billing we have to make several expense items: on the one hand, the first thing is to discount direct taxes, the famous vat . That is, a lot of 21% (in the case of spain). This means that of the 5,000 euros that we had assumed as a "Minimum" billing, we only have 3,950 euros left . Another very cool tax, the irpf , which according to debitoor the self-employed have to pay 15% of the total billing, that would be another 750 euros . We go down to 3,200.
Surely you also invest in online advertising (facebook ads, google ads, etc.) because at least you will invest about 10 euros a day, and maybe at key moments, give a push and invest more. Do we put an average of 15 euros a day? Isn't that too true? Well, the total is 450 euros per month. In other words, we only have 2,750 euros left . We also have typical expenses of an online business (hosting, domains, email marketing tool, any plugin you need, etc.). Do you see logic that we dedicate a minimum of 200 euros per month in this item that we will call tools? Now we have 2,550 euros left of what was invoiced. Do you remember the payment of your self-employed fee ? Let's include it here too, you pay about 300 euros right? Well, we already have 2,250 euros left . Surely you like to do some training, buy some books, etc.