Starting any business has costs involved, but when you compare the costs of a conventional business to a home based business, you can see why the work from home industry is one of the largest and fastest growing industries today.
Average people with limited funds, and no experience can follow a step by step plan to make more money than many small business owners, simply by doing business over the Internet.
Take into account a small business owner has to pay rent anywhere from $500 to $5000 a month, a home business owner only has to pay anywhere from $20 to $100 a month for a domain name and hosting.
You also have less overheads, and don’t have to pay for fuel to travel to and from work. As well as having that extra time in the day, by not having to travel.
All these things not only make the home based business very attractive, but also attainable for many people.
However, how does one start out with a home based business.
I mean if you simply type the term into your web browser, you get literally millions of results. With so many programs, and so few people actually succeeding on-line, there must be millions of people who are constantly failing.
When I first starting searching on-line, I bought all the little fluff websites that never made any sales, and tried countless programs all of which never made a profit.
I soon realized that I needed to further understand Internet marketing before I could be successful at any home business. So I bought every e-book on the market, subjecting myself to information overload.
After years of failure I tried one last thing, make it now or give up completely. It was then I discovered the true key to success.
- You see in order to be successful in starting a home business you don’t need to learn everything, knowledge comes with practicing the correct techniques, you will learn the processes you need as you need them.
Trying to learn everything at once is to demanding, we only remember 10% of what we read, so 90% will be a waste of your time any way.
Follow a proven plan, and learn by doing. Don’t worry that you don’t know everything, there will be obstacles in every business, but we learn to overcome them.
- 2nd – buying some on-line course or e-book may be helpful, but it will not build your business for you. You have to understand that a home business needs to be worked, while you can create automated income streams, you need to put in a lot of ground work before you can reap the rewards of these automated income streams.
- 3rd – You need to have a plan or direction. You need to put into writing your goals and create steps to reach each one. For instance you should determine what short term income you’re looking for. Example: do you just want to earn an extra $500 a month to pay some bills.
This part is what gets most people, you ask what they want, and they say as much as possible. Great it’s good to have high goals, but how are you going to design a plan or path to get there if you have no clear destination.
In order to find an amount or dollar figure, think of it this way. What do you want right now to make things easier. Do you want to replace your current income so you can quit your job, and focus all of your attention on your new business.
Great, then if you make $500 a week from work, than your first goal is to make $500 a week part time from home. You will have to work around your current job, so your hours are limited, 5-20hrs a week.
Once you reach this, decide what do you want to be comfortable $2,000-5,000 a week might let you buy all the things you want.
Than in the long term say 18-24months what would you like to be financial free for life, perhaps $20,000 a week.
This is an example similar to what I had, except I unfortunately had an accident, which left me off work for a few months, which actually worked to my advantage, in that I could work my business full time from the start.
With a time-line in place and pre-determined goals, you can now create a plan that you think would reach the goals in an acceptable time frame.
- You must also take into account your finances and time. Obviously the more money you have to grow your business, the faster you can reach each goal. If you don’t have the finances, then you have to do more manual labor, the overheads may less but the extra effort and time, will slow down your business growth.
While there will be some businesses that don’t require the purchase of stock, you can be more profitable by purchasing large quantities of stock to sell.
An example of which is the drop shipping model. This is a great model for someone with no money, as you can simply advertise the product, collect the money from customers, then use the funds to purchase the product from the manufacturer or wholesaler, who will then directly ship the product to your customer.
Great to earn a small income, however to earn a larger income you need to purchase stock in bulk, in order to get a higher discount. Immediately you can increase your profits from 10% to 50% with this simple method.
However the real kicker, is now you can afford to outbid competitors in advertising and offer better service due to the larger percentage gained, which means you will create more sales in total, as well as increasing the profit on each sale.
By understanding yourself, and your situation you can best decide which option is best for you to reach your goals.
- You should always remain teachable, but most importantly get a mentor to help guide you to success. This is the biggest killer on-line, so many people offer home business packages, but with thousands of customers, they simple can’t supply the support needed to help each person succeed.
That is why unless you can afford $10,000 plus, for a decent mentor, you need to find a program where other members who have become successful will actually help you to succeed.
You can’t expect the person who created the program to physically help thousands of people. Because a good mentor needs to be available every day, and spend months on your business, not just give you a couple of pointers and then send you off on your own.
If you and your mentor can create a set of clear defined goals, with a proven plan laid out to reach each goal in an acceptable period of time, you will be successful, and you can be netting $20,000 a week in less than 2 years time from right now.
This is how you can create a legitimate, genuine home based business.
When starting a new business, advertising is a key element, and using a good Google AdWords guide will boost your business exposure. You can also learn How to advertise on Google here.
