In recent times, the UK media landscape has been awash with stories of internet-based ventures that have failed despite massive investments. These companies, once thought to be gold mines, have ended up as financial disasters. However, on the flip side, there are individuals who have started with minimal capital and are now earning substantial personal incomes. This article explores how these individuals have managed to build successful businesses by making smart financial decisions and learning necessary development skills.
Many big businesses feel the need to invest heavily in every aspect of their operations for a sense of security. For instance, a typical internet startup might spend $200,000 on office space, $50,000 on website development, $500,000 on employee wages, $10,000 on business/legal expenses, $500,000 on marketing expenses, and $100,000 on product-related costs. In the first year alone, they could spend over $1.5 million. Despite selling products at a 200% markup, these companies often struggle to turn a profit due to their high overhead costs.
In contrast, consider an entrepreneur running an automated web service that they sell for $20 per month. They have no office space costs as they work from home, spend $35 per month on web hosting, have no employee wages as the business is fully automated, spend maybe $500 a year on business/legal expenses, $200 a month on marketing expenses, and have no product-related costs. After a year, they would have spent just over $1000, while their product brings in a markup of over 10,000%.
The profits belong to the entrepreneur, who has no employees, no additional overhead expenses, no product costs, and their marketing is sorted through affiliate/joint ventures. If handling email becomes overwhelming, they could outsource support for a few hundred dollars per week. There's no need for an office as they can manage everything from home.
A Solid Plan and Decision-Making Skills: A successful entrepreneur needs a solid plan and the ability to make good decisions, especially regarding their internet presence development.
Motivation and Dedication: Building a new business or career path is never easy. It requires 100% dedication and a burning desire for success.
The Right Skills: Entrepreneurs need to learn as much as possible about internet development. They should know how to automate their website and make it interactive, allowing their computer to do most of the work and freeing up time for marketing and promotion.
Successful entrepreneurs don't just join affiliate programs and hope to become rich. They have their own products and services, and include other affiliated products as part of their sales strategy. With the right basic skills and a little effort, anyone can build a successful online business without spending thousands of dollars on development costs.
