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Two More Key Points Before You Begin
Talk to people This one's a freebie but it's all-important: get
as much advice as you can. Call business owners. Pester people. Look
under rocks. Find out why people failed doing the same thing you plan to
do. Don't go into this blind: good information can save you tens of
thousands of dollars.
(This is the big one:) Do the math!
Before making your final decisions about your e-business strategy, sit
down with a calculator. Make a list of all your upfront one-time
start-up costs, and all your fixed, monthly ongoing costs. Make sure you
include a hefty line item for your marketing budget, and another hefty
line for unexpected expenses, which will occur every month.
With these numbers in mind, how many widgets do you need to sell at what
price every month to turn a profit? Is it realistic that you can sell
that many?
And, given that you're not going to sell that many in your first month,
how many months can you operate on a money-losing basis before you need
to fold your tent?
Do all these calculations and you'll have a single number. This is the
dollar figure you'll need to start your online business. Of course, if
the thing goes belly up, this is also the dollar figure you've flushed
down the tubes.
It's important to do this math ahead of time, because it allows you to
look at the number in the cold light of day, before you take the plunge.
Some people don't figure out the math beforehand, and they get a few
thousand dollars in, and they realize, "Hey, I'll need x-amount of
thousands of dollars more to do this!?" It's only then that they realize
they can't afford it, and by then they're in the middle of a deep river.
So take a good look at the initial investment amount. Are you willing to
risk it?
Confidently Going Forth
Okay, so you've got your plan. It's an e-business that fills a very
real need, and it's at least a little bit different from the other 14
major players in the space.
You know what it will cost, and you're willing to spend it. Let's start
the building process.
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Online Money-Making Opportunities
Several Systems to make real money via
Internet
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