What You Need to Know When Starting an Online Business
Most people are tempted by the prospect of an online business – who wouldn’t find the idea of making money without leaving the home, setting your own hours, and having more time for hobbies attractive? If you’re considering setting up your own online business, there are some things you should know and consider before getting started and in this post we’ll dive in.
You Need to Put the Work In
Let’s get one thing out of the way: starting a home based business requires work! Especially when first starting out, you probably won’t have incredible, rapid success at first. For other Internet marketers out there, it’s taken years for them to learn and to get to the point they’re at now. There’s this unfortunate idea floating around that running an online business means you can just sit around while the money rolls in, but this is definitely not the case. This myth is probably responsible for why around 97 % of online businesses fail! So, don’t be discouraged if it takes time to build up.
Do Your Research
Whatever method you choose, do your best to learn all you can about it before getting started and continue to educate yourself after you get started. You’ll have to do research: affiliate marketing, for example, requires you to determine a niche and then determine what keywords to target – that is, for what words or phrases you want your page to show up on the top of Google in order to drive sales.
Although you can definitely diversity your sources of income on the Internet, when starting out it’s best to focus on one particular method and then branch out later. It’s easy to be a bit lazy, think one method is not working, then switch to another, so try not to fall into this trap.
Types of Ways to Make Money Online
There are a variety of ways to make money online. Affiliate marketing is one of the most popular, but what is it? Affiliate marketing is simply when you sell products for someone on your own site and receive a hefty comission for each sale made.
Multi-level marketing is somewhat similar to affiliate marketing, but different distributors of the product receive different amounts of money for each product sold. The more distributors you bring in, the bigger your share of sales. However, you need to be on the lookout for pyramid schemes! Pyramid schemes oftentimes don’t even involve a real product, and are multi-tiered markting systems aimed only at bringing money to the top of the “pyramid”, whereas MLMs distribute it down the entire structure. If you’re being asked for a large up-front investment, you’ve found yourself a pyramid scheme.
Network marketing is a third method in which a network of people work together to generate leads and sell products. It could be compared to franchising: a company will sell you products which you then sell yourself, as opposed to getting just a comission for each product sold as in affiliate marketing.
How Much Money Can I Earn?
Starting out, things might be slow. If you put in the work, between $50,000 to $100,000 a year in online income is totally doable with these kinds of marketing. People have made $150,000 in a year from affiliate marketing. People making more than this with successful MLM or network marketing programs are not unheard of. The only way for you to find out how much money you can make is learn more about the subject and then get to work!
Don’t Be Afraid to Invest Money
The old cliche “it takes money to make money” definitely applies to Internet marketing. We’re definitely not suggesting you sign up for every course available – especially not the ones that promise you’ll be making loads of money in no time flat – but the rare, cheap e-book or ocassional, non-scammy course might not be a terrible idea. Obviously, you also should not invest large amounts of money in MLMs up front as they’re probably actually a pyramid scheme.
You’ll also may need to invest money in making a website. Especially if you’re doing affiliate marketing, this website needs to be attractive and optimized for sales funnels (but of course avoid making it look “spammy”). You may also need to invest money in advertising your site – obviously your site won’t be useful in driving conversions if no one is visiting it!
Overall, the benefits of running an online home business are very attractive: choosing your own hours, working from home, being able to travel where you want in the world (the Internet, of course, is location independent), etc. If you’re tired of your 9-to-5, definitely consider investing time, energy, and some money into building up an online business. Don’t just quit your job without trying things out first, though! Be patient, research, work hard and you’re guaranteed to have eventual success.