The Golden Cycle is The Money Cycle
The Basic Money Cycle
The cycle of money and earning starts with two things something to offer and a way to offer it. When you make your offering you do so in such a way as to achieve a successful sale. The money from this sale is not profit but the fuel to power the primary or basic money cycle.
What many people do not realise (or if they do they do not tell you) is that once you have sold a few things (services or products) you can invest the money obtained into attracting more people and making more sales.
The money cycle is simply this - you invest in attracting leads, you convert those leads into sales and the resultant money can be used to attract leads. This monetary cycle is the foundation upon which all businesses are built.
The secondary money cycle - the real power house
It is the secondary cycle that really makes you the money and yet it is the least well described of the money making process. In our diagrammatic representation of the money cycle (also known as the "cycle of investment" for obvious reasons) we see that there is a second process at work.
This second cycle is all about supporting the primary golden/money/investment cycle. In this cycle we use the data we gathered through observation and record keeping to see how we can improve the attraction process of the money cycle.
For example - if we start selling our product to a general audience but, say, discover that the largest group that purchases our product are men aged 30 to 40 then we know to target this group more extensively for a more efficient and therefore more profitable money making cycle. We target this demographic because experience says they are likely to be interested in our product.
If we are right then in the next iteration of our money making cycle we should see a better yield from our attraction process. We might go from using $500 to create six sales to using $450 to create twelve or more sales. We spend less on the cycle and earn more from it.
It should not take a genius to work out that this money making cycle we all the golden cycle is nothing without the research and development cycle to back it up.