Michelle Villalobos

The Superstar Scoop: What Is A Business Model & Why Is It SO Important?


Your business model impacts almost everything about your business. Not just the money aspect, which, of course, is a huge part of it, but also – and even more importantly, if you ask me – how your model affects your lifestyle, how you spend your time, and how much of an impact you can make. 

What is a business model, exactly? By my definition, your business model is the mechanism by which you turn your magic into money.

(Watch this video for the more detailed content, or keep reading for the abridged version).

When I say your “magic,” I don't mean your time and energy. This is where I see a lot of businesses (including my own 14 years ago) limit their full true potential (and crash and burn). When your business model is structured around selling your time and energy, you are not only limiting your growth and your impact, it's also a recipe for burnout. 

Of course, it can be a fine way to get started, to learn the ropes, and to make some money quickly, but in the long run, there is always a limit on how much of your time you can actually sell and there's a point beyond which it becomes exhausting.

Here are some questions to help you as you evaluate your current model – or consider a new one.

1. Understand the relationship between your business model and your joy and fulfillment.

No other decision you make will impact your lifestyle more than your model. Your model determines how many hours you work, who you work with, what you're doing when you work, and how much of an impact you can make. If you dislike what you're doing, and/or if you have to do too much of it, eventually you will grow to resent your business, and even sabotage it subconsciously!

When I was at the point when I needed a new model, 8 years ago, I realized that much of the work I was doing I hated — I was behind a computer, sitting at a desk, working by myself or perhaps with one client at a time. This made me resist sales and marketing, and was keeping my business small. What I wanted was to be with PEOPLE, lots of people, and that spurred me to create an event-centric group coaching model, which completely transformed my life and my business. I not only enjoyed what I did (SO MUCH) more, I also made a lot more money.

A new model can breathe new life into your business. You can shift what you're actually working on and create more alignment between what you LOVE to do and what feeds your business.

2. Scaling by leveraging time, empowering others to replace you, or by using technology to replace yourself. 

If you have a business model where you're selling time for money, then you've probably figured out a system to generate results. That means you can SYSTEMIZE and SCALE! Here are 3 common ways to scale:

  1. Go from delivering 1:1 services to delivering your services in a group model, for example using seminars, retreats, or group coaching programs (that's the avenue I took). 
  2. Teach other people to execute what you do. Many experts and superstars have scaled BIG using various “train the trainer” models. 
  3. Create do-it-yourself info products like digital courses which are almost infinitely scalable – you create something one time and then you can sell it forever.

All of the above have their challenges, though!! Some require lots of traffic and new marketing strategies, and others may require entirely new skill sets.

3. Support can help you grow and scale. 

As long as you are the person delivering all the work yourself, you can only get so big. I've observed that most 1-person “expert” operations can get to about $300,000 revenues before they plateau and require support. 

To get past whatever your limit is, consider where support would add the most “bang for the buck.” I've found that it's wisest to invest in someone else doing the things you hate, or things that are “above your pay grade” so you can focus on high-value activities (like sales.)

By the way, Sales is often an area people want to outsource early on, and it usually doesn't go very well. IMHO: if ever there was a business skill worth mastering and getting good at yourself, it's sales! Just sayin'.


I hope this was helpful for you to spark some ideas for your growth. If you'd like to work with me personally to create a more aligned, joyful, and scalable business model, let's connect!

Book some time on my calendar at www.SuperstarDiscoveryCall.com

Ciao for now!!



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