A business coach can be described as a professional mentor and consultant who guides and supports business owners to help them grow themselves and take their businesses to the next level. Business coaching, a process that costs between $250-$300 per hour, is more like a collaborative relationship between a business coach and a CEO or business owner, which enables the owner to see where they’re currently standing and how they can move forward from there. There are several agents that contribute to determining the hourly and monthly retainer rates and consequently affect the monthly income of a business coach.
The average per annum income for a business coach in the United States is $81, 773 a year. However, there are various important factors that influence the salary of a business coach due to which the income of business coaches varies across a wide range, such as experience, certification, educational background, etc.
A business coach is important for your business because they’re always worth the investment you do to get their services because they bring a lot of value with them. Such as they help leaders to polish their leadership skills and develop themselves personally and professionally, act as an accountability partner, and help the business owner to remain motivated and stay focused on their goals, they give very particular advice to help them deal with their day-to-day management issues, and they are even able to help build a business from scratch or save one from crashing down by their strategies.
The average per annum income for a business coach in the United States is $81, 773 a year. The number indicates that on average, business coaches earn $39.31 per hour which is equal to $1,572/week or $6,814/month. While this is the standard income, it goes as high as $178, 000 a year or even as low as $18, 500 for some coaches. But mind that usually, it does not go this low. The lowest (25th percentile) is $53, 500 with the top earners (90th percentile) making as high as $152,000 a year.
It is obvious by the salary range given in the last paragraph that the highest and lowest income varies by almost $51, 500 which is a huge difference. This difference indicates that the salary of a business coach depends upon several factors; such as the location of the business coach and that of their clients, the skills and expertise of the coach, years of experience, and more.
There are various important factors that influence the salary of a business coach due to which the income of business coaches varies across a wide range. Four of these factors are listed below.
Certification is important for several reasons for business coaches. It shows a business coach’s dedication and commitment to personal and professional growth. It shows that they are ready to work hard and spend their time improving their skills. A business coach has to undergo rigorous training and work under the supervision of a mentor and they’re awarded the certificate only if they successfully demonstrate what they’ve learned through the training, the certificate becomes proof of their seriousness and devotion as a professional.
The credentials earned by a business coach through certification guarantee the client that they will bring value to the job assigned to them and provide quality work. Therefore, business coaching clients often don’t hesitate in paying high rates to such business coaches. Thus, certification plays an important role to increase the salary of a business coach.
There is no particular education or area of education which is a must for a business coach to master. However, it does help when you have a related degree such as one in business, entrepreneurship, or even human resources. It shows the client that you have got relevant knowledge and therefore understand their problems and are able to find solutions in a better way. When they are able to relate with you and put their trust in you, they’ll pay you higher than the business coaches without a relevant degree or proper college education.
The professional experience of a business coach shows that they have spent a considerable amount of time improving their craft as a business coach and thus are in a position to offer more valuable and practical advice to their clients. Some clients also come looking for success stories when they’re hiring a business coach. With more experience, you will offer more stories that portray you as a trustworthy partner.
The more experience you have got under your belt as a business coach, the more you’re entitled to charge in the coaching industry for your services. So, professional experience plays a crucial role when you’re considering a raise in your charges.
You need to possess several important skills to become a good coach; such as effective communication, emotional intelligence, the ability to listen actively to your coachees, the ability to give and receive feedback, decision-making, and problem-solving, etc.
The more of these skills you have as a business coach along with relevant education and credentials and vast experience, the more you are able to charge your clients since being skilled is valued and guarantees that you can perform your job in a professional and effective way.
A business coach is described as a professional mentor and consultant who guides and supports business owners to help them grow themselves and take their businesses to the next level. A business coach acts as an educator and an accountability partner as well who, by their constant feedback, helps the business owner to remain focused on their goals.
Business coaches perform several other tasks. For example, they offer personalized growth plans and strategies tailored according to what your business needs at the time. They bring with them tools, expertise, and industry knowledge that gives you clarity and helps you craft a path to achieve your goals and turn your vision into reality. They even assist you as a young entrepreneur who’s just starting out, in establishing your business from scratch.
Business coaches help in closing your knowledge gaps and offer an outsider’s perspective. A business coach will also enable you to break the shackles of self-imposed limits and redefine what’s achievable. Thus, from a business coach, you are able to expect a clear picture of what should be given priority in terms of importance, what works for you and generates outcomes and what does not, and expert advice to help you reach where you envision it to be.
Business coaching is a process, which is more like a collaborative relationship between a business coach and a CEO or business owner that enables the owner to see where they’re currently standing and how they can move forward from there. It provides growth strategies for a business and gives the owner an accountability partner that helps them to stay motivated and keep focused on their goals. As a result, you as a business owner are able to make your time more productive and use your strengths to take your business to where you want it to be.
There are several factors that contribute to determining the hourly and monthly retainer rate and consequently, affect the monthly income of a business coach. The coach, who’s just starting out, for example, will charge you $150-$250 dollars per hour while business coaches with adequate experience, e.g., 7-10 years, will charge you anywhere between $450-$600 per hour or even more.
Similarly, small business coaches charge comparatively less than the coaches who coach leaders and executives in a company which can lie between $150-$300 per hour. When it comes to executive coaches though, the higher the leader is on the corporate ladder, the higher the rate will be charged by the business coach.
The monthly retainer rate for business coaching is often charged in the form of packages. For example, a business coach will have a package of 12 calls in three months and would charge anywhere from $2000 to $4000 for them if they’re just starting out. The rate is different when it comes to executives and leadership coaches and business coaches with more experience. Such coaches will charge you anywhere between $8000 to $20,000 a month, depending upon the number of calls and your preferred service delivery model.
Yes, business coaches make money and there are several ways to do it. They provide one-on-one business coaching sessions or group coaching services and generate revenue from them. Business coaches offer online coaching services as well which enable them to get clients from anywhere in the world and grow their coaching business. Experienced business coaches make money from training and live sessions as well which they provide to business teams of a certain company or group. Some of the experienced ones earn from training other business coaches too who are just starting out.
Yes, you can make a living as a coach. All you need for that is to gain some experience and credentials; such as relevant certificates through a professional training institute for coaching. After some time, you’ll be able to get more credibility by authoring books and offering courses related to your area of coaching. Keep on improving yourself by constantly learning new strategies and by bettering your approaches as you acquire more experience, and you will be making a good living as a coach.
Yes, there is an increasing demand for business coaches in the modern era. Constant growth is observed in the field of coaching, especially business coaching and most businesses now prefer to hire a qualified and experienced business coach so that they are able to effectively compete in the market with their rivals and train their executives for leadership roles. More and more people are becoming aware of the benefits of business coaching due to which demand for them is increasing rapidly, which makes business coaching quite a lucrative profession in modern times.
Yes, business coaching is a good career considering that the business coach has adequate experience in the field and is ready to constantly work on themselves to remain aware of current trends in the market. When a business coach goes one step ahead and shows more dedication by attending relevant training sessions and acquiring certifications, they are able to charge clients higher rates than those coaches with less experience and no certification.
No, it’s not that hard to become a business coach. So, if you’re wondering how to be a business coach, but are hesitant to give it a try since you think it is too difficult to become one, you must know that there are not a lot of requirements you need to fulfill to become a certified and professional business coach. In fact, according to the criteria established by the International Coaching Federation (ICF), there are just a few steps that you need to follow to become a business coach. The steps to become a business coach include completing 125 hours of coaching training, undergoing 10 hours of mentoring, and gaining the required experience which is an experience of 500 hours in providing business coaching services. When you successfully meet the criteria of coaching training and mentoring, you are required to pass a test after which you will be awarded your professional business coaching certificate.
No, a life and a business coach do not have the same salary. The average hourly income of a life coach starts from $50 to $150 per hour while that of a business coach who’s just starting out may range from $150 to $250 per hour. As these coaches grow in their respective fields and gain more experience, the average hourly income of a life coach increases up to $300 per hour whereas the average hourly income of a business coach rises up to $500 or more. The given salary range enables us to say that an average business or executive coach earns a bit more hourly as well as annually compared to an average life coach.