How To Start An Online Business

8 mins read

How to Start An Online Business: Written by: Flavian Mwasi Edited by: YSGMesh

Let’s see the facts on How To Start An Online Business 

Almost every business that can be started offline can be started online. 95% of businesses are offline. That means 95% of business opportunities are online. That’s why we have many so-called internet millionaires who are under 30 years of age.

We live in the internet age, therefore an online business can be started from your laptop. All you need is a laptop, a market, an internet connection, and your brain. The reason I love online businesses is that you can automate everything and have computers work for you.

To Start An Online Business you don’t need to create anything new

Notice I didn’t say that you need an idea. In fact, you don’t need to create anything new. Unless a product or service doesn’t exist in your target market, you do not need to create a new product. There is a product or service for every conceivable human need under the sun.

Let me shock you — You don’t need a niche market. In fact, what you need is a market that’s already proven to be cash-rich (a cash mountain). Don’t dig a mountain that has no cash.

In his book, “How To Get Rich”, Felix Dennis talks of a mountain with gold and a mountain without gold. Dig the mountain with a lot of gold.

Cash-rich markets are markets that can:

  • Eliminate pain or alleviate suffering.
  • Enhance pleasure or increase comfort
  • Eliminate embarrassment
  • Provide convenience

Figures speak for themselves:

Just like what starting on offline takes to start online buesiness is the same. You have to do some thinking.

First things first.

  1. Identify a human need
  2. Find out what product or service you can sell to satisfy that need.
  3. Research the market.
  4. Spy what your competitors are doing right or wrong.
  5. Satisfy that market.
  6. Do better than your competitors.
  7. That’s IT!

Sounds easy — doesn’t it?

It’s always easy in theory.

Well, let’s see how to do it practically. That’s always the hard part.

The hardest part of starting any business is STARTING.

TAKING ACTION!!!

As you would expect, most people are in PROCRASTINATION MODE. And this is the sad fact of life.

Now, assuming that you have struggled out of your procrastination mode, here are seven profitable business models you can start online immediately.

1. Online Publishing – Kindle, CreateSpace & Audible

Startup Costs: $0-150

Avg. Time Frame: 30 days

Potential: $100,000+/year

Passive: Yes

2. Amazon FBA

Startup Costs: $500+

Avg. Time Frame: 3 months

Potential: $10,000,000+/year

Passive: Yes

3. Blogging, YouTube & Podcasting

Startup Costs: $20+

Avg. Time Frame: 6 months

Potential: $1,000,000+/year

Passive: No

4. Affiliate Marketing

Startup Costs: $100

Avg. Time Frame: 1-6 months

Potential: $1,000,000+/year

Passive: Yes

5. Information Products

Startup Costs: $500+

Avg. Time Frame: 3 months

Potential: $1,000,000+/year

Passive: Yes

6. Software & Mobile Apps

Startup Costs: $1,000 – $20,000+

Avg. Time Frame: 3 months

Potential: $10,000,000+/year

Passive: Yes

7. Coaching & Consulting

Startup Costs: $100+

Avg. Time Frame: 3 months

Potential: $1,000,000+/year

Passive: No

For now, I will not go into the details of these business models, but in case you’re curious and want more information immediately, there are tons of online resources to get this information. Just Google the subject and you’ll get tons of information about the particular business model.

So, which is the best business model to start an online business?

The best way to analyze business opportunities is to subject them to a criterion or analysis. We don’t want a business that will take years to bear fruit. That’s why we want to avoid creating our own product from scratch.

We want a business that fits the following criteria:

  1. Low Startup Cost
  2. Short Time Frame
  3. High-Income potential
  4. High Passivity.

Furthermore, we want to identify a supply chain and get in somewhere in the middle. We don’t want to become manufactures or farmers. We want to become middlemen or distributors.

Actually, we want to build a distributor network.

In the 19th century industrial revolution, humans invented a way to automate mass production.

In the 21st century, humans have invented ways to automate wealth creation.

Remember, we don’t want to manufacture anything. There are more products and services waiting for people to move them to the market than there are consumers.

Moreover, we want a business that’s mostly hands-off, can be completely automated and will enable us to start making money immediately (almost).

The business model that passes the criteria we’re looking for is Affiliate Marketing.

Why?

It fits all our above criteria.

Here’s a blueprint to start an Affiliate Marketing business:

  1. Find a hungry market or a market that suffers from pain or discomfort.
  2. Build a website around the particular market, blog or a social media account (Facebook page, Facebook group, Instagram account, Pinterest, LinkedIn or Twitter)
  3. Find an affiliate network that offers the product or service in their database
  4. Get an affiliate Link
  5. Get web traffic or an audience
  6. Promote the product or service to your audience.
  7. Get paid
  8. Do the same for every hungry market

The most logical thing to do to start an affiliate network is to sign-up with an affiliate network. There are thousands of affiliate networks you can sign-up with, most of which are free.

There are several types of affiliate networks, but generally, 80% of affiliate networks use the following compensation methods:

  1. Revenue sharing or Pay per Sale (PPS)
  2. Cost per click (CPC) or Cost per mille (CPM, cost per estimated 1000 views).
  3. Cost per action (CPA),
  4. The remaining programs use other methods, which is rare.

The affiliate network you sign-up with depends on the type of product or service you wish to promote.

To find affiliate networks and which products or services you can promote, just head over to Offervault — a great directory listing all major affiliate networks.

Because I get a ton of questions about starting an online business, and affiliate marketing in particular, from my readers and fans, I have developed a course that takes you through the nitty-gritty details of how to start a successful affiliate marketing business. If you are interested comment below and I will give you the details.

Leave a Reply

Your email address will not be published.

Latest from Uncategorized