The Life Goal Framework: A Guide to Calculating Your Prospect’s Motivating Magic Number

Plus+ Bonus Worksheet: The Life Goal & Magic Number Worksheet

By: Taylor Treese

Date: 11/20/25

Introduction: The Coaching Blind Spot

Most business coaching relationships concentrate on the company's financials, KPIs, and sales targets. Coaches often ask, "What's your revenue goal?" and stop there.

Here is the key coaching blind spot: Most coaches never attempt to understand the business owner's ultimate personal life goal.

This guide provides a framework to go beyond being just an expensive consultant and become a life architect. By uncovering the deep, personal "why" behind their business, you don't just help them hit a target; you help them realize a dream. This is your competitive advantage.

I. The Critical Reframe: Moving Past Money

When a business owner sets a financial goal like "I want to make a million dollars," recognize that this is the motivation, not the final point.

The Flaw in the Question

Accepting a financial goal by itself is a mistake because:

• Low Motivation: Money alone rarely keeps motivation going during tough times.

• Misalignment: The business plan does not align with the ultimate personal payout (e.g., funding retirement, time freedom).

• Client Perception: The client views you as a tactical expense rather than a partner in their personal success story.

  
  

Your First Step: Validate and Pivot

Confirm their financial goal, then quickly shift the conversation to personal motivation.

That's a fantastic business milestone! I can help you develop the strategy for it. But let's look beyond the numbers for a moment: What does that million dollars really allow you to do or become?

II. The Scripted Deep Dive: The "Five Layers of Why"

When the business owner provides a financial or tactical answer, understand that it's just the next step. Your job is to uncover the emotional core through persistent, empathetic questioning. This is the "Five Layers of Why" technique.

The Scripted Dialogue Sequence:

Use this iterative script to guide the business owner beyond their immediate business solutions and toward their ultimate life goals.

Layer	Client's Response (Example)	Coach's Probing Question	Core Insight Uncovered
Layer 1: The Number	"I want to make a million dollars."	"Why that specific number?"	Initial Tactic/Goal (Financial)
Layer 2: The Business Action	"So I can hire more salespeople to increase sales."	"Once you have that bigger sales team, why is that so important to you personally?"	Tactical Solution (Operational)
Layer 3: The Role Change	"So that I'm no longer selling."	"If you're no longer in the sales trenches, what will that newfound time or freedom enable you to do in your life?"	Freedom/Efficiency Goal (Time-based)
Layer 4: The Immediate Benefit	"I can leave the office early."	"What's the most meaningful thing you will do with that extra time?"	Immediate Emotional Need (Quality of Life)
Layer 5: The Ultimate Life Goal	"I can watch my son play soccer."	"That's powerful. What does seeing your son play soccer represent for you and your future?"	The True Life Driver (Personal Value/Legacy)

 The Breakthrough: In this example, the goal is not money or sales; it is family engagement and presence. The business is the vehicle, and your coaching mission is now aligned with his son's soccer schedule.

III. Quantifying the Dream: Calculating the "Magic Number"

Once the emotional life goal is set, you need to shift to practical, measurable work. This is where you link the client's deepest desire to a quantifiable annual business goal—the Magic Number.

The calculation method varies based on the client's goal: Freedom (lifestyle/time) or Capital (exit/retirement).

A. Scenario 1: The Freedom Magic Number (Lifestyle Goal)

This applies when the goal is to achieve time freedom or to fund a specific annual lifestyle (e.g., the soccer dad).

1. Calculate the Freedom Cost (The Annual Need): Determine the annual expense required to purchase the desired freedom.

   • Example: If the owner needs to stop selling, the cost is the salary and commissions of a high-performing replacement salesperson. (e.g., Annual Need).

     
     

2. Determine the Revenue Multiplier: Calculate the revenue needed to cover this new expense while maintaining the current profit margin.

   
   

3. The Freedom Magic Number: 

   • Result: The new sales target is now financially justified by the client's ability to watch their son play soccer.

B. Scenario 2: The Capital Magic Number (Exit/Retirement Goal)

This applies when the goal is a major capital event (such as selling the business, funding retirement, or purchasing a major asset).

1. Define the Life Goal Cost (The Exit Value): Work backward to determine the lump sum required to achieve the life aspiration.

   • Example: Cost of the farm + required retirement nest egg (e.g., Exit Value).

     
     

2. Estimate the Valuation Multiplier: Determine the industry standard valuation (e.g., EBITDA).

   
   

3. Calculate the Required EBITDA: 

   • Example: Required Annual EBITDA.

     
     

4. The Capital Magic Number (Revenue): Determine the annual revenue required to consistently produce the required EBITDA.

   • Result: The annual sales goal (e.g., million) is the mathematically proven price tag of their farm and their retirement.

Conclusion: The Transformational Coach's Advantage

By mastering this framework, you replace vague growth goals with emotionally charged and mathematically proven targets. You become the coach who understands that:

• The goal is never the money; it is always what the money buys.

• You are not just focused on business metrics, but on the client's ultimate life vision.

This focus sets you apart in a crowded market by offering a personalized, high-value strategy that commands premium fees and guarantees client commitment.

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The Life Goal & Magic Number Worksheet

Coach's Competitive Edge: Aligning Business Strategy with Personal Destiny

This worksheet guides you through the crucial process of moving a client from a vague financial goal to a specific, emotionally-charged Magic Number.

Coach's Name: _________________________________________

Client's Name: __________________________________________

Date: _________________________________________________

Part 1: Discovering the True-Life Goal (The "Five Layers of Why")

Start with the client's initial financial goal. Use the iterative probing questions below to dig deeper until you reach the emotional core.

The Scripted Dialogue Sequence:

1. Layer 1: The Number

   • Client's Initial Answer (e.g., "I want to hit $1.5 million in sales."): _________________________________________________________

   • Coach's Probing Question: Why that specific number?

     
     

2. Layer 2: Business Action

   • Breakthrough Answer: _____________________________________________________________

   • Coach's Probing Question: Once you take that action, why is that so important to you personally?

     
     

3. Layer 3: The Role Change

   • Breakthrough Answer: _____________________________________________________________

   • Coach's Probing Question: What will that newfound time or freedom enable you to do in your life?

     
     

4. Layer 4: The Immediate Benefit

   • Breakthrough Answer: _____________________________________________________________

   • Coach's Probing Question: What's the most meaningful thing you will do with that extra time/money?

     
     

5. Layer 5: The Ultimate Life Goal

   • Breakthrough Answer: _____________________________________________________________

   • Coach's Probing Question: What does this ultimate goal represent for you and your future?

     
     

Final Life Goal Summary:

My business goal is to achieve X so I can realize my personal goal of:

[The Emotional Driver]: ____________________________________________________________________________________________________________________________________________________________________

Part 2: Calculating the Magic Number (Quantifying the Dream)

Determine the client's primary goal type and follow the corresponding calculation pathway.

A. Goal Type: FREEDOM (Lifestyle / Time)

(Goal is funding a cost for annual time/lifestyle freedom, e.g., replacing the owner’s sales role to leave early.)

1. Client's Current Annual Revenue: _________________________

2. Calculate Freedom Cost (Annual Need) (Cost of replacing owner’s time/function + maintenance): A = _________________________

3. Client's Current Profit Margin (%): P = _________________________

4. Calculate Revenue Multiplier:1/ P : M = _________________________

5. Required Additional Revenue: A x M: R = _________________________

6. The Freedom Magic Number (New Annual Revenue): Current Annual Revenue + R: MN (F) = _________________________

B. Goal Type: CAPITAL (Exit / Retirement)

(Goal is achieving a lump sum capital event, e.g., selling the company, funding early retirement.)

1. Define Life Goal Cost (Target Exit Value): (Lump sum required for retirement, asset purchase, etc.): E = _________________________

2. Industry Valuation Multiplier: (Standard industry multiple, e.g., 4 x EBITDA): V = _________________________

3. Required Annual EBITDA: E/ V: B = _________________________

4. Company's EBITDA Margin (%): (Current EBITDA as a percentage of Revenue): P_EBITDA = _________________________

5. The Capital Magic Number (New Annual Revenue): B / P_EBITDA: MN_C = _________________________

   
   

Part 3: The New Coaching Mandate

The client's true business goal is the Magic Number. 

The true coaching mission is the Life Goal.

My coaching engagement will now focus on achieving MN Final (The Magic Number) to guarantee the realization of The Emotional Driver.