Thinking of Going in for an Online Business?
There are lots of stories on the internet about how people have come from rags to riches through their online businesses, and while the stories are true, it is also said that over 90% of online businesses don’t last. The reasons for these failures are many, but the thing for YOU to think about is not someone else’s failure, but how you can PREVENT failure in your business. You need to have your eyes wide open and investigate as much as you can before you spend your hard-earned cash.
Things to consider:
Your business Plan – How much capital will you, or can you, put in to your online business? You must be prepared to sustain yourself and the business for several months, if necessary.
What hours are you going to put in? It’s true that working a home-based business allows you great freedom of choice in the hours you work, but if you are to succeed, you MUST WORK IT!
How will you advertise? The rule of thumb is that 10% – 20% of your total budget should go on advertising – and in the beginning, you may have to be prepared to spend the greater amount – will it be enough? Will you also use free advertising?
What about administration? To keep both you and your accountant sane you need to keep up with the administration side of your business. It doesn’t have to be anything flash in the beginning, but you do need to keep on top of it.
Time management once you have decided how much time you will put in to your online business, organize it so that you’ve got all the bases covered, INCLUDING time for learning and motivation.
What business? Do your research! – The company – is it a well-known, stable business with an international presence? How long has it been in business?
The market – is there likely to be a very good market for the product the company sells?
Business Model – what is the company offering? – The compensation plan should be something you can get excited about AND it should be workable. Their system should PAY YOU FIRST. They should be offering high profits for you, and this needs to be coupled with low overheads. You are going to spend time and money on your online business, so you need to make the most leverage out of it as possible.
Product – the product should be of excellent quality and a leader in its field. It should be what is commonly known as ‘Top-tier’ meaning that it has a relatively high price tag, so you can get decent profits from every sale. The product should be valuable and therefore in demand.
Systems – how does the company do its business? To leverage your time, systems should be automated as much as possible, so they do 90% or more of the work for you They also need to be comprehensive, that is, there should be systems in place to cover all facets of the business.
Support – are you going to be left to fend for yourself in the web (a little pun!) of online marketing? Are you going to get lost in the totality of the systems? YOU NEED GOOD RESOURCES! – great tutorials to teach you how to use everything; great marketing materials to use; great advice about what to ACTUALLY DO to get started; and someone who will talk to you and advise you, if you need it.
Website – check it out – if it looks cheap and nasty leave it alone. These days people have high expectations and don’t like anything sub- standard. Most companies now offer their marketers a choice of websites, so if you have only seen one, ask about this as there may well be something you would really appreciate.
Well, that’s it for now. I hope I have helped you to get some fresh ideas about what to look for in starting an online business, and the kind you will enjoy working in, and which will give you high leverage in both time and money. Onwards, to a bright and successful future!
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