Tag: Online Business (Page 1 of 2)

Online Business vs Traditional Business: Pros & Cons

August 31, 2023 / Frank Nez

I am very excited to touch base on the topic of online business vs traditional business.

My family has owned a traditional business for about 13 years now.

That’s where I was first introduced to the sales world straight out of college.

Extended family such as uncles and cousins also have their own traditional businesses.

I am the only one in the family building an online business and have created a total of 3 online startups.

I’m a fan of both but favor one more than the other.

Let’s talk about the pros and cons of both an online business and a traditional business.

We’re going to dive in on the costs to start one, scalability, time to earn money, and flexibility.

Welcome to Franknez.com – the blog where you can digest content on personal finance, side hustle ideas, entrepreneurship, and trending investing topics.

Lets get started!

The first time I had an entrepreneurial moment was when I was a kid.

I didn’t know it then, but I know it now.

My grandmother had given me a few bucks and I had bought a variety of candy.

I then found a small clear plastic box where I combined all the candy together.

I remember going around the household charging $1 for a few pieces of starburst, skittles, and sour ropes.

I’ll never forget it.

I don’t know why I did it.

The instinct of opportunity perhaps?

Having been heavily involved in both, I understand the differences between a traditional company and an online business.

Let’s start with the costs to start one.

How much does it cost to start an online business?

Starting an online business is a lot more cost efficient than starting a traditional business.

With an online business your startup costs are a website, domain, email, and any additional widgets you choose for your website.

This can run anywhere from $200-$500.

In some cases you can accomplish this for less.

But if you’re paying someone to design your website it can cost between $1,000-$5,000.

I designed my own using Bluehost.

Why?

Simply because it’s cost efficient and super easy to use.

Bluehost is integrated with WordPress and works well with any type of online business.

It’s $2.95/mo. and your domain is free your first year.

How much does it cost to start a traditional business?

In most cases, a traditional business is going to require you to raise more capital.

If your company uses any sort of machinery combined with software, the costs are going to be quite high.

The startup cost of a traditional company can range from $10,000-$40,000+.

A traditional business also needs to be registered in your county and requires a sellers permit if you intend in selling a service or product.

You might also have to buy small business insurance to cover any possible damages.

Like an online business, your traditional company will still need a functioning website to attract your customers to your service or product.

Startup costs of an online business vs a traditional business

When looking at the costs of a startup, an online business wins vs the traditional business.

A traditional business is nowhere as cost efficient.

This is the pro to an online business and con to a traditional company.

An online business will have very little to no overhead while a traditional business may have a massive overhead.

Scalable business model: Online vs traditional

The scalability of both an online business and traditional business is very different.

This is where a huge separation can take place.

Scalability with an online business

Because an online business is global, it can reach a global audience.

An online business can sell products online internationally and produce content that reach an audience at massive scale.

Online businesses with a lot of traffic have an advantage over a traditional business.

An online business can profit from:

Online product sales / service sales
Affiliate programs
Advertisement display
Blogging
Monetizing content via video

An online business can create a loop that drives traffic essentially multiple streams of income online.

A monetized YouTube channel can draw traffic to a monetized blog displaying ads.

A blog may also contain affiliate links that collect commissions.

Not to mention whatever this website has to sell or offer via its business model.

This multiple stream of income loop allows an online business to constantly be earning money, 24/7.

Scalability with a traditional business

A traditional business will always be limited by a demand for your service or product.

This type of business is usually limited by its location as well.

Most small businesses cater to their surrounding area and tend to expand outward with time.

What limits business owners with a traditional business is their growing overhead as their business scales.

When a traditional business scales new employees must be hired, more money has to be spent on payroll and other possible discrepancies that are human nature.

Lawsuits, raises, insurance, etc.

Although scaling a traditional business can be very rewarding, the responsibilities at this level compound as well.

The costs to run a traditional business when scaled go up and your business may become stagnant due to the increase in cost of goods and minimum wage.

A traditional business cannot scale without the addition of new employees and increase in sales.

An online business on the other hand requires traffic, or an audience which has no limit.

More on Scalability

Small businesses can learn valuable lessons from larger enterprises regarding sustainable growth strategies.

Large enterprises often emphasize efficient resource allocation, customer relationship management, and diversification of revenue streams.

These principles can be adapted to fit the scale of smaller startups, helping them make informed decisions and optimize their growth trajectory.

Equity management software for large enterprises is an essential component as it streamlines complex equity distribution processes and ensures transparent communication with shareholders.

This is important during the expansion time.

This software streamlines equity distribution, facilitates communication with shareholders, and ensures compliance with regulatory requirements.

Small businesses can also benefit from this practice, albeit on a smaller scale.

Implementing equity management tools can help startups manage equity distribution transparently, attract investors with clear ownership structures, and mitigate future complications.

How much time does it takes to make money from a startup?

The amount of time it takes an online business to earn money is also very different from the time it takes a traditional business.

Here is where a traditional business has the advantage.

How long does it take for an online business to make money?

An online business can take quite some time to make money. I would refer to this disadvantage as a con.

An online business takes time to monetize, especially if you’re not selling a service or product per say.

Even so, selling a service or product online takes brand building and brand recognition.

This is just as competitive as a brick and mortar if not more challenging.

I monetized my online business the first month of it going live but didn’t start making any ‘rent money’ until after a year of non-stop dedication.

I would work on building it after my 9-5.

Now I work on my online business full-time providing value to different online communities.

Now, I wasn’t selling a service or product so this does not mean it’s going to take you over a year to make money from an online business.

My online business revolves around advertising displays and affiliate programs.

You may have an outstanding pre-launch that enables you to earn money your first month or two in.

How long does it take a traditional business to make money?

If you have a product or service that’s in demand, your business can begin earning sales revenue in just days to weeks.

Landscaping and mobile car wash detailing businesses just have to knock at peoples doors.

Someone will schedule you.

I know people in these businesses that started earning money right away.

If you know who to target, your traditional business can start earning sales revenue fairly quickly.

Even if it’s just to break even.

While most businesses don’t profit until their second or third year in business, those tackling it hard may profit their first year.

Running an online business often times requires you to be tech savvy and marketing oriented.

These skills take time to build which means earning money online may take more time for new entrepreneurs.

Flexibility: Online business vs traditional business

Flexibility is a deal breaker for most entrepreneurs.

The flexibility an online business provides is way different from that of a traditional business.

The flexibility you have as a business owner with a traditional business is almost non existent.

Let’s dive into it.

Online business flexibility

With an online business you have the flexibility to work from anywhere in the world.

Most online business owners work from home and tend to work on their business while they travel once they’ve figured out how to scale.

This flexibility makes an online business such an attractive business model to most younger entrepreneurs.

An online business allows you to earn money while you’re on the road with absolutely no overhead.

Some online businesses do have teams of intrapreneurs growing the business, but even this small team does not compare to the amount of employees a traditional business needs in order to scale.

Traditional business flexibility

A traditional business on the other side has very limited flexibility.

Most business owners cannot manage their business on travel.

And if they do, they don’t truly get to relax due to the amount of physical responsibility they’re leaving behind.

Unless you’ve hired a great management team that can take care of business while you’re out, your business requires you to become a worker yourself within your own business.

In a lot of cases, entrepreneurs who fail to build a team end up becoming a slave to their own business.

This is essentially when time off is almost impossible.

Online business pros

Startups are more cost efficient
Scalability is limitless
Provides the flexibility to travel and work from anywhere in the world
Allows for multiple streams of income to loop with one another
Ability to earn passive income 24/7

Cons

ROI takes longer to receive in most cases

Traditional business pros

ROI may be quicker than an online business
Brick and mortar companies attract a local community

Cons

Startup costs require building capital in most cases
Flexibility is severely disrupted
Scalability is also limited compared to an online business

Which business model is right for you?

Figuring out which business model is right for you will determine on what you value most.

If you value your time and flexibility than an online business is tailored for you.

If you don’t mind a traditional business model for the sake of a simpler and offline experience, then go all in.

Both an online business and traditional company are going to allow you to earn a lot of money.

Each model will provide a unique lifestyle that is tailored just for you.

And it’s up to you to find out what type of lifestyle you would like to get from it.

Is it the laptop and travel lifestyle or is it the tangible business owner lifestyle?

I favor the online business model.

Most of my family favors the traditional business model.

But I think it’s because they’re significantly older, too.

Is there a hybrid business model of online and traditional?

Of course.

There are many businesses who implement both business models in order to diversify the way they connect with their customers and audience.

If you have a traditional brick and mortar and are looking to scale it online you can certainly do so.

You can do this by starting a blog on your niche industry or publishing YouTube videos online.

You would then need to monetize your content with advertisement.

This hybrid business model will allow you to run your traditional business as you have while earning passive income when your company is closed through the content you publish online.

Hybrid model with a blog

If your plumbing company is doing well but becoming a little stagnant, you can always write about your experience as a business owner in this industry via a blog.

My beginners guide walks you step by step how to accomplish this.

Read: Blog like a champ in 2021: Easy beginners guide

Hybrid model with a YouTube channel

Back to the plumbing company example, you can leverage YouTube channel views by publishing videos for an audience.

You can do tutorial videos for people to gain knowledge from and create episodes others will find enticingly valuable.

No matter what your industry or business is, you can earn money 24/7 with it online once you monetize a platform such as a blog or YT channel.

Hybrid startup model

A hybrid online business model will allow your traditional business to earn revenue even after its doors close.

Is your company closed during the weekends?

A hybrid online business model can earn you revenue while your businesses’ doors are closed.

The point is you can earn a lot of money with an online business.

For online business ideas click here.

And Lastly

If you enjoyed this post please be sure to give it a like and give it a social share.

Let me know in the comments section below if you’d like me to get more into detail of what a hybrid online business model is.

I’d love to help take things a step further for your traditional business.

Also, be sure to connect with me on social media!

You can support the blog on Patreon.

Twitter | Facebook | Instagram

Impact Of Online Gaming Business On National Economies in USA and UK

January 20, 2023 / Frank Nez

If there is one thing we can say about online gaming, it is that the market is growing at an alarming rate. A lot of this growth can be attributed to the popularity of mobile gaming and the rise of countries like China and India as major gaming markets. However, numerous other factors are at play as well.

One of them is the sheer versatility of the market. Today, you can enjoy video games or play casino games based on the reviews of the top casino sites at wageringadvisors.co.uk to win some real money. You can make a big casino win, but the bottom line is that gambling is just another form of gaming.

One of the most important aspects of online gaming is its effect on the national economy. This is a topic that is often debated, with some people arguing that online gaming promotes economic growth while others claim that it has a moderate impact. Let’s take a closer look at this amazing subject!

The video game industry is a global phenomenon, with billions of dollars in revenue generated each year. This money doesn’t just disappear into the ether – it goes towards supporting the economies of countries all over the world.

For example, many analysts believe that the video game industry is responsible for directly employing over 100 thousand people in the United States alone. But this is just the tip of the iceberg – when you factor in indirect employment, the number jumps to over 2 million. That’s a significant contribution to the US economy!

And it’s not just the United States that benefits – countries like Japan, Canada, and South Korea are also home to booming video game industries with similar economic benefits. It’s clear that the video game industry is a major force in the global economy, and one that is only going to grow in importance in the years to come.

But how does it contribute to national economies in practical terms? Let’s check it out here:

1. It generates additional tax income

First of all, the video game industry generates a significant amount of tax revenue for governments all over the world. This is because most digital products – including video games – are subject to value-added tax (VAT) or goods and services tax (GST).

This means that when a company sells a video game, the government gets a cut in the form of taxes. And when you consider that the video game industry is worth billions of dollars, it’s easy to see how this can add up to a significant amount of money for governments.

For instance, video games generated approximately $50 billion in revenue in the US last year. It’s a staggering figure, and it’s estimated that the government collected around $3 billion in taxes from these sales. That’s a significant amount of money that can be used to fund public services or invest in infrastructure projects. And it’s not just the US – governments all over the world are benefitting from the taxes generated by the video game industry.

2. It creates new jobs

Another way that the video game industry benefits national economies is by creating new jobs. As we mentioned earlier, the industry directly employs millions of people all over the world and this number is only going to grow in the future.

But it’s not just traditional jobs that are being created – the video game industry is also responsible for the creation of new types of jobs, such as game designers, developers, and programmers. These are high-paying jobs that require specialized skills, and they’re in high demand all over the world.

The video game industry is also indirectly responsible for the creation of jobs in other industries. For instance, the popularity of eSports has created a whole new industry, with jobs for commentators, analysts, and tournament organizers. And as the industry continues to grow, we can expect to see even more new job types being created.

3. It creates jobs in other fields as well

As we just mentioned, the video game industry isn’t just responsible for jobs in the gaming sector – it also creates jobs in other industries as well. For example, it supports tourism by attracting people to visit locations that have been featured in popular games.

It also creates jobs in the retail sector, as people need to buy consoles, games, and other gaming equipment. And let’s not forget about the job created by people who make snacks and drinks to keep gamers fueled during their marathon gaming sessions!

4. It boosts tourism

Another way that the video game industry benefits national economies is by boosting tourism. This might seem like a strange concept but bear with us – it makes perfect sense when you think about it.

You see, many video games are set in real-world locations, and this often leads players to develop an interest in visiting these places in real life. For instance, games like Assassin’s Creed and Call of Duty often feature iconic locations like Paris and New York City, and it’s not uncommon for players to want to visit these places after playing the game.

This desire to visit real-world locations featured in video games is known as “game-induced tourism,” and it’s a growing phenomenon all over the world. In fact, a recent study found that game-induced tourism is responsible for generating billions of dollars of revenue every year.

So, there you have it – three ways that the video game industry benefits national economies. It’s clear that the industry is a major force in the global economy and one that is only going to grow in importance in the years to come.

Alternative gaming branches make an impact

Impact of online gaming business on economies.

The gaming business is not just about video games. On the contrary, it is about online casino gambling as well. Modern casino features are so powerful that they managed to recreate the gambling experience and make it digital. One of the main casino life hacks you should know is that this transformation had a few major benefits.

The most important one is that casinos are now able to reach out to a much larger audience. Namely, everybody with an internet connection can gamble without having to leave their homes. It turns gambling platforms perfect for every player and gamer who wants to place a bet or simply enjoy playing casino games.

One of many casino tips is that you can also gamble without hazard or risk by sticking to demo versions. This type of gameplay is not connected with any real-money transactions. Players can test their skills, strategies, and knowledge without having to invest a single dime. In other words, they can have fun and learn something new without any financial risks.

The gaming industry logic also encourages casinos to offer players various bonuses and promotions. These are perfect for those who want to get the most out of their gambling experience by spending less money. In other words, casino platforms help players save up and have more fun at the same time.

Finally, let’s not forget the role of sports betting in the gaming business. It is one of the most popular gambling activities in the world, and it perfectly represents the gaming industry’s potential. The best thing about sports betting is that it can be done online as well. So, there you have it – another example of how the gaming industry benefits national economies.

The bottom line

All things considered; it is evident that the gaming business has a tremendous impact on the economy. This impact can be seen in different ways, such as job creation, boosted tourism, and the development of alternative gaming branches.

What’s more, the industry is only going to grow in importance in the years to come. So, if you’re looking for a way to make a positive impact on your national economy, you might want to consider investing in the video game industry.

Check out: Curacao Casinos that Accept UK Players

Also Read: How Invest in the Stock Market for Beginners

Twitter | LinkedIn | Facebook | Instagram

How To Sell Online and Earn Money?

November 14, 2022 / Frank Nez

How to make money online | Ways to earn money online.

People often look for easy ways to make extra money nowadays.

There are many ways to make money online, whether you wish to add to your monthly income or start a new career.

This guide will discuss short-term and long-term ways to use digital resources to make extra money.

Think about what works best for you based on your time and needs.

So, let’s get started with how to sell online and earn money.

What To Sell Online To Make Money

It can take a lot of work to figure out how to sell online.

It helps you decide what to sell and how to get people to visit your store. But you’re in the right place if you want to learn how to sell online.

And don’t worry if you think it will be too hard; we’ll walk you through the whole process step by step.

Handmade products

If you like creating crafts, think about selling them.

This is beautiful since you are already doing what you love, which is what most people want to accomplish with their lives.

And since you do everything by hand, it makes them special and allows you to demand a high price.

You may either make this a full-fledged company or continue doing it as a side job to supplement your monthly income.

Along with the additional income, this can be a terrific option for parents who remain home to earn money.

Ebooks

One excellent technique to get passive money is by selling ebooks.

Additionally, there are two methods for selling ebooks online.

To start, you may register as a Kindle publisher and start selling fiction or non-fiction works.

Making your website specifically sell your ebooks is an additional choice.

Because you can charge more for your ebooks and retain all the earnings, this option is preferred by most individuals.

Even though it’s a simple method to earn money, writing the ebook is often the most difficult aspect.

Yes, a minor expenditure will be needed, but it will only be necessary once.

There are no more fees after that, and that one ebook will continue to generate income while you sleep.

Become a personal trainer

If you know about fitness, you may work as a personal trainer.

People are prepared to pay extra for them even if a personal trainer is only there to keep them focused on their goals.

You may be able to help yourself out financially while also helping other people.

Diversifying into nutrition is also feasible, assisting them with meal preparation and other associated issues.

You may attempt to attract customers to the gym in your area, but depending on where you live, you might need to be certified.

Do research projects

People make money online by doing research for companies on platforms that are available online.

The research projects involve:

Recommending products or services.
Figuring out how they stack up against the competition.
Spotting trends.
Collecting data.
Doing market research.

To join, you fill out an application, and then they give you a quiz and a test project. If you pass, you can review project requests and get paid to do research.

Strat a e-commerce site

Every time someone buys anything from your online business, you get paid for the transaction.

Your earnings, which you may either take home or reinvest in your firm, are left over after paying your suppliers, carriers, and other costs like marketing and taxes.

The time it takes to generate money with e-commerce relies on various variables, including the trending development of your niche, the intensity and scope of the competition in the market, and the time and resources you devote to starting the firm.

You have your manufacturers, inventories, storage facilities, carrier networks, and logistics system set up.

Additionally, you need to set up online payment acceptance in your e-commerce store because it will make it easy for your customers.

You also have an online shop to showcase and sell your items.

Marketing your brand is the next stage.

These essential marketing avenues comprise the foundations of launching a prosperous online store and creating an enduring brand.

Conduct a webinar

Despite their intimidating sound, webinars are one of the most effective and quickest ways to generate income from an online business.

You are addressing an audience that is very interested in what you have to say.

You can make a significant amount of money quickly if you market both yourself and the offer correctly.

No matter your choice, your success will be based on how well you sell your product.

It takes some practice, but in its purest form, this is instant income.

You could also host your very own webinar, or you could continue to share your knowledge by uploading videos to your very own YouTube channel.

Dropshipping

Ways to make money online | How to make money online?

Dropshipping works in its basic form: a merchant advertises and sells products online, and a manufacturer gets the products and sends them to the customers.

The merchant gets their share of the sale after paying the manufacturer for making and delivering the item.

You can find items to sell and the manufacturers who make them on platforms.

When it comes to how much money you can make dropshipping, the horizon is the limit.

After you get considerable revenue, it is worth investing in today’s market.

However, keep in mind that because there is such a low barrier to entry, this is a very competitive market.

Your sales margins are very small because this business model has such high costs.

Become a virtual assistant

Many businesses need people to work part-time to help them with administrative tasks.

Since you can do these tasks online, it’s a great way for individuals with limited time who want to work more from home to do so.

To do well at these side jobs, you need to be good with your time, organized and pay close attention to the details.

They may ask you to show that you have experience with Excel or scheduling software, but depending on the industry, these jobs are usually good for people with little or no work experience.

Do online micro-jobs.

You can look for micro-jobs if you want to find effortless methods to make money online on the side.

For instance, you could do something like transcribe.

You’ll have a certain amount of time to transcribe certain audio or video files.

Most of the time, you’ll make more money the faster you type.

You can do other relevant micro jobs besides transcribing.

The first one is for native speakers of the language or professionals with the right licenses.

The second one is for people who are attentive to detail and have good organizational skills.

Private labels products

Imagine having a unique product to market, which also plays a significant role in your business.

Or perhaps a variety of goods, all marketed under your name.

These products allow you to keep all the revenue.

That is private labeling’s attractiveness.

You look into a potential selling point.

Get the product manufactured by a national or multinational company. Add your company’s name to it.

Then sell it online using your site or well-known auction sites.

Making outrageous amounts of money is possible.

The only drawback is that having your things created will require little money.

Conclusion

Select the most convenient choice for you if you need help deciding.

Based on your abilities and experience, you’ll be able to choose.

It is optional to be your favorite.

Too many attempts to make money by selling things without the necessary experience or expertise, but they need to do better.

Remember, if you change your mind once you gain more knowledge or money, you can always return to your original decision.

Especially always responsible for maintaining the financial management within you.

Speaking of experience, others would love to discover what, where, and how to sell online.

And this article might be the practical tool they require to get going.

How To Start an Online Business and Succeed

October 24, 2022 / Frank Nez

Did you know that every day you procrastinate starting your online business it’s affecting you?

Yup, that vision you keep seeing for yourself and your family gets further from you when you don’t start.

But it’s not too late!

I’m going to answer all the questions you might have regarding starting an online business for the first time.

A few of the basics including what type of online business you should start, how to scale it, and what makes an online business successful.

Welcome to Franknez.com – the blog where you can digest content on personal finance, side hustle ideas, entrepreneurship, and trending investing topics.

Lets get started!

A little bit of background before I break this down.

I left my 9-5 working for the family business in order to start my own online businesses.

One of them is a hybrid model.

With this business I sell a service and product remotely.

The second online business is 100% online, earns 5-figures per month, and I don’t sell any products or services!

This is the type of business most of you might want.

And I’m going to break down step by step how you can do this too.

Key Points and Questions

Where and how to start an online business
Online business ideas for beginners
What makes an online business successful
How to scale an online business
What type of online business should you start
Why are online businesses popular nowadays
How does an online business work
Why online businesses fail
Can an online business make you rich

Why are Online Businesses Popular Nowadays?

Online businesses are attractive because they tend to provide people with a freedom like no other.

People like you and I are ditching our 9-5s to provide value online and at scale.

Which leads me to the second reason why online businesses are so popular.

You can scale an online business quicker and larger than a traditional business.

An online business will provide you with the freedom to work from home or anywhere else in the world.

If you value the freedom to travel then know that this is what an online business can provide for you.

Travel While You Work

Also known as the laptop lifestyle, traveling while you work requires discipline.

However, the lifestyle provides a freedom working in a desk will never provide.

Notice I said travel while you work not work while you travel.

That’s because life changes when you get your freedom back.

You’re technically working all the time while enjoying your surrounding freedom.

The first taste I got from the laptop lifestyle is when I went on vacation to Rocky Point while working a sales commission job.

And even though I was on vacation, I still had obligations for my clients.

We were in this beautiful luxury apartment with a stunning view of the resort and ocean.

That day we arrived I had emails to answer and clients to call back.

Keep in mind at that time I was managing my clients from an office.

That’s when I first discovered this freedom.

Here’s a picture of my son Frankie chillin as we unpacked food in the apartment.

I knew that if I wanted a life like this, I would need my online businesses to out-earn my salary.

That’s not how it happened though, I took the leap and eventually went all in.

Scalability Skyrockets Your Income

So not only do you get your time back but you have the advantage of earning a ton of money with an online business.

The reason being is that most online businesses can be scaled MASSIVELY.

Online businesses can all be scaled very differently.

Some are easier and quicker than others while a few businesses do take more time.

Now, just because some online businesses are easier and quicker to scale, it doesn’t mean they don’t require a lot of hard work and attention to detail.

An online business is still a very real business.

Your new business will require you to put your real life skills to work in order to manifest your career goals and that dream life.

Online businesses are the reason why you see and hear about a lot of younger people earning 6-figures per year just from their laptop.

I’ll get more in depth on how you can scale your online business a little later.

Here’s how you start.

How Do You Start an Online Business?

How do you start an online business, right? Where can you start an online business?

These questions usually leave beginners a little mind boggled.

How exactly do you turn nothing into something?

The answer is actually quite simple.

You’ll need a website or online platform to use depending on your niche and type of business you’d like to create.

Your website will be your foundation to your entire online business model.

It doesn’t matter what type of online business you create, but you’ll need either a website or platform to begin.

I would personally avoid a free website like WIX only because it will not provide you with the tools necessary to scale.

The purpose of an online business is to scale it enough to provide you with the financial freedom you deserve.

So, for starters, I recommend building your own site using Bluehost.

It’s very easy to use but if you don’t want to spend the time personalizing your own site you can always pay a few hundred to thousand dollars to a professional who will use the same platform.

What type of online business models require either a website or platform to begin?

If you are interested in the following, you will need a website:

Blogging
Providing online services and consultation
Reviewing products

If you prefer the following, you’ll need a platform:

Selling a product
Entertaining
Visually informing or training

It may not seem like a ton of options but believe me there are many niches within each of these categories.

How does an online business work?

An online business provides value online, and you get compensated online.

Your online business will earn money depending on what type of service you provide.

You will get paid depending on how your online business is monetized.

I’m going to go over this more in detail down below.

What Online Business should I start?

The online business you start is going to depend on these 5 major key points.

Ask yourself:

Would you rather provide a service, provide information, or sell a product?
Are you looking for a more hands-on experience or more virtual experience?
Do you want to earn money per project or passively?
Will your startup require a lot of capital, or very little to no capital?
How important is mass scalability to you?

By answering these 5 questions, you’ll have a grasp on what type of online business you’d like to create.

Below you will find a number of online business ideas that will help you identify which model aligns with your needs.

Online Business ideas for beginners

I’m going to break down all the things you can do with these online business models.

Your personality and intuition will naturally gravitate towards a specific idea.

Blogging

This is a writer lovers paradise.

Blogging allows you to share your experience, knowledge, and stories at massive scale.

What makes blogging an attractive online business model is that just about anyone can provide value to an audience based on a particular niche or subject.

Entrepreneurs are blogging about really just everything!

Here are some blogging topic ideas:

Write about your experience in ‘X Industry’. Maybe you love the industry you work in or are an expert in it. Write about it and answer questions people might have on a variety of subjects pertaining to your industry.
As long as there’s a real interest in it, you can blog about pretty much anything. People are earning money blogging about travel, teacher life, mom or dad life, pet life, college life, automotive, tech, and so much more!

How Do Bloggers Earn Money?

Bloggers earn money through a number of ways.

One is through display advertisements, like the ones you see on my website. T

he second way bloggers earn money is through affiliate programs.

Bloggers can earn a commission for making a sale of certain products or services.

Bloggers may even sell their own products or services online.

How Much Money Do Bloggers Make?

Bloggers can earn 3 to 6-figures per month depending on how you monetize your website.

My website currently earns 5-figures per month.

Scaling your audience is key to scaling your online business.

If starting a blog interests you be sure to read the beginners guide below.

It will walk you step by step on how to start using a self-building website platform called Bluehost.

The process is very easy and only takes minutes to set up.

Read: Blog like a champ in 2021: Easy beginners guide

Online Services and Consultation

If you already come from a consultation background, you may find this online business idea to fit your expertise.

Find a niche you’d be interested in providing value to.

Consulting may revolve around relationship advice, marketing consulting, social media consulting, business / sales, financial, etc..

This online business model will require you to be available on call or chat when a prospect reaches out.

A website could be a net for you to catch fish.

You may accept payment with Zelle, Venmo, Cash App, or PayPal for example.

Examples of online services

You can provide online services through your own website, or through a platform like Fiverr.

Services you could provide may include:

Reviews (blog or single website)
Site building
Social media management
PowerPoint building
Graphic designing / vector / digitizing
Video editing / audio editing, mixing (engineer)
Training / Health, diet schedule

The costs of your services and consultation will all vary depending on your niche and expertise in your field.

An online business based on consultation and services only will be limited to scaling unless other monetization is included in your business model.

You might want to provide affiliate products that can provide further value to your customers.

This will allow you to earn a commission for every sale you make on top of your consulting and service rates.

You can also incorporate a ‘blog’ section where you can direct your website visitors to and earn revenue from displaying ads.

E-Commerce Store

E-commerce is the way to go if you’re looking to sell products online at scale.

There are two type of products you can sell online.

Physical products
Digital products

Selling products online are a great way to diversify your income.

You can either have a full-on Amazon store as your main online business, or you can create a small store to earn extra revenue on the side.

Physical Products

Physical products will require you to drop ship directly to your customers via manual entry or using an automated system.

The best platforms for this niche are Shopify, BigCommerce, and WooCommerce.

But if you want to build an e-Commerce business you’ll want to go with Amazon.

You can set up your own branded store with these platforms and use them to ship sell and ship product out to your customers.

This type of online store is scalable when you’re selling product that’s trending and in high demand.

Find your niche and cater them using your own online store.

Digital Products

Digital products on the other hand are a lot different.

You’re not selling hard copy of anything here.

A digital product could be a video, a course, an e-book, an audible, art, etc..

You can sell your own self published e-books using Amazon KDP and other products using a Shopify store.

If you have a blog you can also integrate WooCommerce with WordPress and sell directly to your readers from your website.

A digital product can earn you passive income / leveraged income while a physical product might require more of your time.

If marketed correctly, it can also scale much higher; especially if presented to a huge audience.

Reaching The $10K Mark: How Perseverance Overrides Adversity

In my eBook, Reaching The $10K Mark, I talk about the adversity I faced during my sales journey to reaching $10K per month in sales.

Every time I was close to reaching my goal the waves would come crashing down on me further pushing me away from the tide.

This motivational eBook captures the world of every aspiring seller striving to make it big in their sales career.

This is the first digital product I created and I wrote this with a lot of heart.

The moral of this story is how perseverance overrides adversity.

I wanted to create something personal that showed another person that we are all human beings and that we all come across setbacks in life.

My goal is to inspire you to keep going.

Become a YouTuber

Lights, camera, money!

YouTube is a great platform for you to provide value at a massive scale.

YouTubers for the most part entertain no matter the niche.

Like blogging, you can share your knowledge and expertise in video format whether it be a vlog, instructional videos, or illustrational ones.

Anyone can create a channel and upload videos no matter your niche.

This type of online business will require you to be a little tech savvy, or outsource that work to those who are.

How Do YouTubers Earn Money?

Like bloggers, YouTuber’s main source of income is through displayed advertisement.

However, as your channel grows you can also leave affiliate links in the description of your videos to diversify your income from your viewers.

The amazing thing about YouTube is that once you’ve monetized your videos, you begin to earn money in your sleep.

As long as people are watching your videos on loop you will always be earning money.

This is what’s known as leveraged income.

If you love to travel, you only need to pack up your filming gear and move it with you to produce content no matter where you are.

How Can I Incorporate YouTube With My Niche?

If you’re into tech you can always review products or film unboxing videos.

People love this type of content.

You can then diversify your income by leaving amazon affiliate links to the type of gear you use in the description area of the video.

If your audience loves your channel to the point where they want to support your work they can always become a patron.

My patrons altogether cover most of my website’s monthly expenses.

If you’re a trainer, you could combine the use of YouTube with your website to generate leads.

Not only can you upload content to YouTube, but you can also provide consultation or 1-1 virtual training sessions.

It’s really all about creativity and leveraging these ways of earning money online to benefit and scale your online business.

How to scale an Online Business?

So how exactly do you scale an online business?

Audience is key. You’ll need a lot of eyes on your product, service, or content to scale your online business.

Once you’ve figured out how you’ll be monetizing your online business you’ll need as many people as you can get over to your website.

The more people that see you means the more possibilities you have to earn big money.

#1. Produce quality content

Quality content is going to be the foundation to your online businesses’ success.

People want to consume and buy quality product, services, and content.

Take as much time as you need to ensure your content is superior to that of your competitors.

Forget what they’re doing, just do what you know how to do but do it exquisitely.

Quality content never fails to be noticed, recognized, and appreciated. In fact, quality content has a higher chance of being shared on social media and referred through word of mouth.

Everything on this list can be perfect but if you’re not producing quality content then your online business will not be taken seriously.

Take your time to learn something if you have to or invest in the tools to make your presentation look and feel better for the engaged user.

#2. Search Engine Optimization (SEO)

Search engine optimization is the key to a successful and high ranking website.

You build your SEO by using the correct keywords and building backlinks to your website.

When you’re building your website you’ll want to make sure you’re using keywords that reflect what your online business is offering.

This will give you a higher chance of being found organically on Google, Yahoo, and Bing.

Don’t be discouraged if you aren’t seeing your online business pop up on Google right away.

SEO takes time to build but trust me, Google will automatically start ranking you after a few months of being active online.

Meta description, titles, subheadings

SEO is also heavily influenced by your website or platforms description, titles, subheadings, images, and even what is being vocalized in a video.

The more you stay on topic means the higher chance you’ll have at ranking higher in the organic search and recommended results.

Scaling your online business is heavily dependent on the use of social media marketing.

You’ll need to identify which social platform best connects with your target audience the best in order to drive traffic to your website or platform.

Get involved in Facebook Groups, relevant Twitter topics, or even network using LinkedIn.

Every niche and every website/platform will connect with a group differently.

Sometimes it takes time to find which will work best for your online business but you must find it.

Sharing your content, service, or product on social media is the first step towards promoting your online business.

Once you’ve worked on your SEO, you’ll want as many people as possible to click on these ‘backlinks’ leading them to your landing page or video.

Google loves backlinks and actually ranks you higher when you have plenty of them which means you need to consistently be sharing content that drives people to your site.

Also read: Innovative Ideas for Marketing

#4. Be consistent

Search engines begin to ignore you if you stop producing content so be consistent.

This is the part of building any type of business whether it’s online or traditional that requires patience.

You cannot expect to produce content once or ten times and start seeing huge results.

It takes time and effort.

Consistency is going to improve your marketing and pitching skills online.

It’s also going to make you produce better content for a bigger audience.

When search engines see your links have been spread around consistently for quite some time, your domain authority begins to climb meaning your visibility also begins to climb.

#5. Brand your online business

The fifth tip to scaling your online business is to brand it.

Branding your business is more than just a logo.

It’s the character of your business, the personality, and the likeability.

Your brand should attract your customers or audience and make them feel like they belong.

Did you know that you can evoke emotion through colors?

I get a little more into detail here with this marketing strategy, but the key is to create an identity.

When you create an identity, people will remember you and come back for more.

This is how you can get your customers to use your services again, buy another product, or indulge your content every day.

In the beginning, your brand will change from time to time.

This is 100% okay. Branding is about discovery and this takes time.

Your brand will slowly begin to reveal itself to you as you continue to push forward.

What makes an online business successful?

To me personally, an online business is successful when it is able to provide you with a certain freedom a 9-5 can’t.

Whether it be more family time, personal time, recreational time, or even money, it’s different for every individual.

Perhaps you’re making a little less with your online business than you were from your corporate job but at least now you have more time with your family.

I see this as successful.

Maybe you keep scaling it and now you earn your previous salary every month.

I’d say that’s tremendous success.

My online businesses have provided me with the freedom to work from anywhere I please and to earn money in my sleep.

I could work less hours, but my work ethic doesn’t allow me to.

I have to constantly be providing value because as an entrepreneur, nothing is truly every secured and my family’s financial freedom is that important to me.

I make every minute count and I’ll ease off the gas pedal when I reach certain milestones.

Work hard now rest later!

Can an Online Business Make You Rich?

I think you know the answer to that.

Due to how scalable online businesses are they can certainly provide substantial income to by most standards be considered to be wealthy or rich.

They key to your wealth will heavily resonate with the amount of people you’re able to provide value to.

You will become wealthier if your scalable model can reach 1 million people oppose to 100k people.

There is no shortage of people by whom you cannot provide your services to.

It’s a matter of figuring out how to get in front of them.

Everyone is fighting for attention one way or another.

Your job as an entrepreneur is to figure out how to stand out so that your product, service, or content is seen.

The marketplace will then decide whether or not your product, service, or content is worth buying, using, or indulging in.

So, be sure quality is always the first thing in mind when building your online business to provide value at scale.

Why Do Online Businesses Fail?

Like almost anything else in this world, any endeavor will fail once you stop working on it.

It’s really that straight forward.

If the marketplace didn’t react well to your service or product and you quit then you were the reason for the businesses failure.

Instead of tweaking and perfecting your product or service you rendered in self defeat.

Online businesses fail when their owners are defeated by adversity and barriers along the way.

An online business is not worth failing over.

The upside is too valuable.

Write that down in case it ever gets overwhelmingly difficult for you. “An online business is not worth failing over. The upside is too valuable”.

Online Business Courses

Should you attend them?

This is a financial literacy blog and financial literacy says don’t sign up for online business courses when in the end, you end up learning from experience instead.

I didn’t take online business courses, but I did attend a private college and earned my associates degree in business administration.

I was left with $50k in debt and didn’t know how to sell, apply social media marketing, or file taxes for a small business.

You have to understand that any school offering you any online business management degree is scamming you.

They’re a business themselves.

They will teach you theory and give you a good grade for your efforts and presentations.

But they will not teach you how to become a successful entrepreneur. That you learn on the streets.

Online Business School

I’d be lying to you if I didn’t personally look into online business schools after I received my associates degree in order to ‘further my education’.

It wasn’t until I began earning money in a sales position where I learned that there was no need for me to attend an online business school.

Online business school wasn’t for me at this point.

In fact, my business professor wasn’t a very successful entrepreneur. He owned a volleyball team but the startup was a partnership.

And he had given up on it and referenced selling his half to his partner quite often.

Online Business Management Degree

If you’re thinking about getting an online business management degree through an online business school, I would take financial literacy a little bit more seriously.

You can invest the money for your tuition into your startup instead!

The money could go towards gear for that YouTube channel or towards your domain name and website configurations.

There’s so much more you can do with that investment.

An online business management degree will not teach you the real world aspect of running a business or managing people.

Start off small and work for a small business to gain exposure and experience.

Learn the ropes and start with data entry.

I began my journey managing a small team due to my leadership skills, not through my degree.

Start there and see how much further that takes you.

Start Your Online Business Today

Stop procrastinating.

You got this!

Get excited about it and start taking your first steps towards that new life.

That vision you keep seeing is the preview to life’s upcoming attractions.

And if you’re lacking strength to get started then I encourage you to borrow mine.

Borrow my strength to start.

I believe in you.

References

Build your website with Bluehost
eBook: How To Reach The $10K Mark
Create your artwork and logo: CanvaPro
Provide freelance services with Fiverr

Twitter | Facebook | Instagram

Check out: Free Email Lookup

Online Business vs Traditional Business: Pros & Cons

How much does it cost to start an online business?

How much does it cost to start a traditional business?

Startup costs of an online business vs a traditional business

Scalable business model: Online vs traditional

Scalability with an online business

Scalability with a traditional business

More on Scalability

How much time does it takes to make money from a startup?

How long does it take for an online business to make money?

How long does it take a traditional business to make money?

Flexibility: Online business vs traditional business

Online business flexibility

Traditional business flexibility

Online business pros

Cons

Traditional business pros

Cons

Which business model is right for you?

Is there a hybrid business model of online and traditional?

Hybrid model with a blog

Hybrid model with a YouTube channel

Hybrid startup model

And Lastly

Impact Of Online Gaming Business On National Economies in USA and UK

1. It generates additional tax income

2. It creates new jobs

3. It creates jobs in other fields as well

4. It boosts tourism

Alternative gaming branches make an impact

The bottom line

How To Sell Online and Earn Money?

What To Sell Online To Make Money

Handmade products

Ebooks

Become a personal trainer

Do research projects

Strat a e-commerce site

Conduct a webinar

Dropshipping

Become a virtual assistant

Do online micro-jobs.

Private labels products

Conclusion

How To Start an Online Business and Succeed

Key Points and Questions

Why are Online Businesses Popular Nowadays?

Travel While You Work

Scalability Skyrockets Your Income

How Do You Start an Online Business?

What type of online business models require either a website or platform to begin?

How does an online business work?

What Online Business should I start?

Online Business ideas for beginners

Blogging

How Do Bloggers Earn Money?

How Much Money Do Bloggers Make?

Online Services and Consultation

Examples of online services

E-Commerce Store

Physical Products

Digital Products

Reaching The $10K Mark: How Perseverance Overrides Adversity

Become a YouTuber

How Do YouTubers Earn Money?

How Can I Incorporate YouTube With My Niche?

How to scale an Online Business?

#1. Produce quality content

#2. Search Engine Optimization (SEO)

Meta description, titles, subheadings

#3. Social media marketing

#4. Be consistent

#5. Brand your online business

What makes an online business successful?

Can an Online Business Make You Rich?

Why Do Online Businesses Fail?

Online Business Courses

Online Business School

Online Business Management Degree

Start Your Online Business Today