In 2009, after I got laid off from my job during the Great Recession, I started a music blog as a side hustle. I knew nothing about business.
Today, I've built two seven-figure online businesses — a music education company and a business coaching brand. Combined, they bring in about $160,000 a month in passive income.
I've learned a lot about what it takes to create a highly profitable business. I always tell people that if they want to start a side hustle or full-time company, there are three complete lies they need to stop believing:
Lie #1: You have to work a lot of hours to make a great income.
When I started my first business, people would stress to me the importance of the "hustle and grind." They bragged about 80-hour workweeks and how they'd take their laptops with them everywhere they went.
But as a husband and father, I didn't crave that kind of lifestyle. I wanted to be present for my family. So I made a pivotal decision to never work more than 40 hours a week, including no nights or weekends, and have since shaved that down to only five hours a week.
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That's all thanks to a principle I learned called "Parkinson's Law," which says that work expands to fill the amount of time allotted for its completion.
So if you really put your mind to it and give yourself 40 hours a week to get something done, it will take 40 hours. If you give yourself 80, it will take 80. Creating a time constraint will force you to get creative and focused.
Lie #2: You need a large team.
I'm not against having a team (I currently work with a small team of part-time contractors myself), but you don't need one to scale your business.
I ran my first side hustle on my own for four years before I hired my first employee. And I was making around $250,000 a year. When I branched out as a business coach, I hit six figures in my first year without a single contractor.
My secret is automation. I'm a fan of tools that can handle email marketing, webinars, product delivery and content creation. Kajabi is one that I've used before and recommend.
Lie #3: Your happiness will increase as your income increases.
I've found that at a certain point, your happiness stops climbing alongside your income. In fact, when it comes to money, happiness isn't actually the result of getting money, but of giving it.
Research shows that when we give money to others, our brain releases endorphins like dopamine and oxytocin. Experts call it the "Givers Glow."
As your business grows, you need to realize that the end game can't simply be to keep making more money. It won't be satisfying in the long run.
Instead, begin to dream about how you can give back to your community. This, in my opinion, is the most beautiful and motivational reason to build a highly profitable business.
Graham Cochrane is the author of "How to Get Paid for What You Know" and is a business coach to over 2,800 customers worldwide. Follow him on Instagram and Twitter.
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