Are you ready to start a business?
Do you dream of owning your own business, being the boss, making the big decisions for your company? Do you dream of financial success as a business owner? If you do, I would like to give you some things to consider thay may help you plan your path to business success.
Here are some things to consider as you plan your path
Please don’t think I’m trying to talk you out of dreams. I’m just trying to get you to think it through.
What kind of business do you want to start?
What’s your passion? Do you love to cook and want to own your own restaurant, or food truck?
Do you love flowers and want to be a florist with your own shop?
How about being a hunting guide? A wedding planner?
Whatever your passion is, if you are the kind of person who takes action, and likes to lead, you have a good chance for success.
There are franchises, where you come up with a wagonload of money to buy into the business, there are turnkey businesses, where you come up with a wagonload of money and buy a business that is ready to open right away, and there is the built from scratch business where you don’t have to have a wagonload of money up front but spend it over time as you grow your business.
Is your business idea viable?
Is there a market for your product or service? It’s not enough to have a passion. If you want to translate that passion into a profitable business, you have to determine if there is a market for it, and if you can make enough to be worth your while. Consider the market. If you love fixing and selling old land line telephones, for example, I don’t think you will have much success, either finding old phones to fix or finding customers to buy.
Another example. If you love tying flies for fishing, but it takes you two hours to tie a fly that you can only sell for $3, you are working for $1.50 per hour. Way below minimum wage.
If there’s a restaurant on every corner, will the customer base support yours? It might, if it is unique, original, or trendy enough. Of course, in the restaurant niche there’s a lot to be said about the taste of the food. If your product is better than the competition, it doesn’t matter how many competitors you have. You will be the one rising to the top.
Are you willing to invest the time?
Business startups take a lot of time, especially if you are building from the ground up. The advantage of having a job is that you can get up, go to work, and go home when your shift is over and be done until the next day. The disadvantages of having a job is that you work for, therefore take orders from, someone else. Your pay is determined by your boss too.
If you’re starting your own business, you are like a farmer. Farmers get up early, work all day, and go to bed shortly after the sun goes down because they have to get up early again the next day.
If there’s work to be done, you will have to do it, unless you are able to hire employees. Even that requires you to invest the time in training and supervising.
Just realize that the first year or two of starting any business are going to be time intensive, but worth it as you gain success.
Do you have the money you need?
Most businesses don’t show a profit in the first year. Decide how you plan to cover your living expenses during that time. You will have more money going into your business than you will have coming out, unless you hit a home run right off.
You will have business expenses too. Have you planned for them? Have you looked at initial startup costs? Are you considering taking a loan to get started? If you are, factor in your living expenses as well unless you have another source of income.
How about customers?
Customers might beat a path to your door. Like the movie Field of Dreams, If you build it they will come. Well, it usually doesn’t work quite like that. Think about it. You have a great product, a good location if you are a brick and mortar store, so people will automatically find you, right?
Nope. You have to find them. How are you going to do that? There are lots of ways. Think about what might work for you.
Will you be able to count on repeat customers? Or is your product or service something that is a one-and-done, like resurfacing driveways. Repeats are a few years down the road for a business like that, much more often for a fruit stand or store.
How much profit do you think you can make?
Retail grocery stores operate on about 1 1/2 cents profit for every dollar of product they sell. That’s not much, but they sell a lot to a lot of people so it works. Think about how much markup the market will bear. Most new businesses offer discounts in the beginning to bring in customers. That cuts into profits for a while.
What about competition?
I mentioned competition earlier. All businesses have competition. There’s nothing wrong with that as long as you can COMPETE. New startups may be able to do well in the beginning because most shoppers like to check out the new place, Keeping customers coming in is the challenge.
If you’re worried about competition then maybe becoming an entrepreneur isn’t for you. Relish the challenge and beat the competition.
The above questions are some that every budding entrepreneur should be thinking about. I’ve certainly thought about them. I have a Bachelor’s degree in business and marketing.
What kind of business do I want to have?
For me, there’s really only one direction to go to start the kind of business I want, and that’s online.
I want a business where the customer base is worldwide. I want my business to be working for me 24/7, whether I’m there or not.
I want my business to generate PASSIVE income, which means that I am earning when I’m not working. A website can do that for you. Customers visit your website, not you in person. They shop your website. You don’t have to be minding the store or unlocking the doors for them.
Lots of online entrepreneurs have online stores. I don’t have an online store. I’m involved in affiliate marketing. Affiliate marketing is where you advertise a company’s product or products on your website, and when a customer clicks on an advertisement, they are directed to that company’s website with a link to you so you get credit and commissions for any purchases that customer makes. That way you don’t have stock inventory or manufacture products. You don’t have to ship anything. You get paid for bringing customers to the company you are affiliated with.
There are hundreds of companies that use affiliates to help they sell their products. It’s not hard to find some that are in the area that you are interested in.
Most online affiliate marketers use a blog website. If you can write a friendly letter you can write a blog. You place links to your affiliates in your blog posts.
It takes time for a blog website to start becoming successful. Of course, it depends on the dedication of the blogger. The more articles written, the more authoritative the site, and the higher it ranks. There are other considerations, but that’s the main gist. Usually toward the end of the first year an affiliate marketer with a blog website will start to see consistent sales, which will continue to increase as the marketer gains knowledge and experience.
I can tell you where to get two free websites and free starter training if you want to get into affiliate marketing. I signed up with Wealthy Affiliate, and while there are other training platforms for affiliate marketing, Wealthy Affiliate is at the top. You know the old saying, “The cream always rises to the top.” Wealthy Affiliate is the cream.
You can read my review of Wealthy Affiliate here. The promotional banner below will take you to their website. Join me and become an online entrepreneur with Wealthy Affiliate today!
Thanks for reading, and please leave a comment if you’d like.