Starting A Business: Online Business VS Traditional Business?
Starting A Business: Online Business VS Traditional Business?
Starting A Business: When it comes to choosing a venture it can be very difficult to make the decision as to which business to go into – and there are many reasons for and against all of them.
I would always recommend following your passion when starting a venture if possible, as it is much wiser to demonstrate growth success doing something you actually want to do every day.
It is as though by you following your truth, values, and greatest gifts it means that you are your best, most effective and productive self.
Simply, you desire going to work every day no matter how touch it gets as it is a message which comes from you naturally and completely.
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That being said though, even if you find your passion, and you plough in everything you into it, it doesn’t mean it won’t be tough.
So, what’s the real difference between an online business and a more traditional bricks and mortar business?
The costs are one obvious factor as you could spend many hundreds of thousands getting an offline business started, And it may take you several months to build that structure in order to get i right. The expenses will be higher and this is also true for franchises.
Buying an established Franchise can cost anywhere between £5000 to £500,000.
So, why risk that much?
There are many factors at play and this should be researched thoroughly, talked through with a financial expert and strategic planning has to become a part of your overall process. If investing a great deal of money into anything it is always wise to fully investigate all the pro’s and con’s.
Borrowing now these days is fairly easy but, one has to take into consideration every risk involved and whom might be the most appropriate lender.
Borrowing from experienced business experts preferably in your chosen niche is the way to go, as the risk alwasy becomes greate when we borrow from those who have no idea, clue or history with business. Why?
Because, should you fail, and 80% of small business ultimately do fail, then you are going to have to pay back your family member or friend and as you can imagine this can cause great rifts.
TIP: Here’s my first tip with regards to borrowing; Keep business and personal life separate. Not just with money but with accounts. If something happens whereby you are forced into bankruptcy or liquidation then you really don’t want to lose everything.
So, WOULD YOU take a large risk with this kind of money ON DOING WHAT YOU LOVE?
Sure if it’s really what you want to do then why not GO FOR IT, BUT CONSIDER ALL OF YOUR OPTIONS FIRST.
As I touched on – money is a subject which can cause personal fall outs as well as significant financial implications.
Starting A Business: It’s Crazy Right Now!
Starting A Business: We have all seen the way the world is right now in the current economic struggle and this may happen again at any point.
This means that many traditional businesses will struggle and THAT’S A FACT, But online business may also struggle just as much depending on the nature of the financial economic issues and the nature of the structure, type and model.
Certainly as a Coach, Author, Blogger, Podcaster and Course creator my business has the advantage of a global market, but also of having virtual product and services. What I sell is not physical.
If you have a ‘global market’ at your finger tips – you have the added security that someone somewhere may buy from you no matter what is going on in other countries.
Can you see the obvious differences there already?
I am not saying that all traditional businesses are doomed, far from it, there are many fresh and quirky new ideas coming forward with dynamic brands, models and great market share ventures being created all of the time, and demand is very strong for local, personal, community driven great products and services. Trust is what makes all the difference here. In my City, we want to be able to go and source a local supplier for something and we want to know where that has come from.
We (Human Beings) are increasingly becoming more aware of greed and of the corporations who make Billions sometimes monthly, but who also often show or have little care for production and environmental effects. The more conscious we become the more we ant to know what we buy and whether it is good for us or not.
Online there is certainly a barrier of trust compared to person to person business, but this doesn’t stop large brands being sold on sites like Amazon and other platforms. So, we all sometimes love to be able to buy at the click of a button, but, at what cost?
Where is this product coming from?
What are the implications of getting that product to us?
We are becoming understandably more aware of this, and we are starting to lose trust of many online platforms. Recently we were all told about data sharing by Mark Zuckerburg, and this caused many significant changes to the way we do business. This opened the eyes of many who maybe before just trusted Facebook as it felt like a personal tool we all used.
So, in this current day and age there are many changes afoot, and so, this means that YOU and I need to really understand and appreciate the consumer and what they really desire. We cannot simply look for profits, and negate the people, today requires care and attention. Great customer service and folowup. It requires modern leadership, teams who are nurtured and generally more TLC in business.
What are the risk differences between the online and offline businesses?
There is risk in all business. Nothing is guaranteed ever in life or business, but it just depends upon what you are prepared to risk.
Starting A Business: I believe the risk might be too high
Measured risk is FAR better THAN JUST MINDLESS RISK!
For example when I follow a ‘proven way or system’ whereby I CAN COPY OTHER EXPERTS and where customers are ‘already’ creating HUGE demand then we can supply this.
So, where’s all the risk?
Everywhere! However, with a sound and solid plan, both Business planning and strategy – and a marketing strategy we will explore each and every area of the plan which includes, risk mitigation. SWOT analysis and deep and specific research before we decide upon the costs and funding we may require. As I said before – i believe in borrowing from those who know the business area we are entering into.
But I didn’t start with a Plan. Yepp you heard me!
I was young, dumb and full of FUN! In other words I did it all wrong, and I eventually clawed my way back out of the hole I had dug.
In fact – I spent over £50k just on my personal training from that point on as I knew I had to try to become the best. From there I started over and planned every possible part to my business model. I hired others, I defined my role, and I learned from the very best entrepreneurs, coaches, authors, whom I wanted to try to be like. Of course, I understood that I had to be unique, stand out, differentiate, offer immense value, and essentially beat competition in order to get the market share i needed to thrive, but I did so, step by step.
Today:
I have TIME LEVERAGE
> MORE CHOICE
> MORE FREEDOM
> GREATER FOCUS ON MY PASSIONS
> MORE MONEYAnd I can help more people as I am in a better position. But guess why I now have these? Because I have the experience.
I failed several times in my twenties, and built and sold businesses and I worked both with a plan and without.
I learned as much as I could about Business types, structures, models and markets and still do, in order to really master my own and help others with theirs.
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But I can honestly say to you now and for the foreseeable future that – the business I operate is safer today than most businesses because of the fact that I can reach millions all of the time regardless of what is going on in markets.
Startup costs are lower than with a traditional business and I need lees people around me. I prefer to work solo and then decide upon when I want to see people. So, you see, I have designed this.
So, it’s not just about passion. Or doing something you love, oh no! It’s about starting there and working on every element to begin shaping an idea which may suit you. This may take £500k or it may take £5k, but in the end it comes down to what you are prepared to risk.
I always believe that you can find your passion and run with it – sure! But, we also have to know what we would or could do best.
What might be your ultimate working style?
What role could you see yourself in and why?
What type of business do you see yourself in and why?
What could the day look like for you?
What type of person are you?
What is your business or life experience?
What skills, talents, abilities, gifts do you have and can you bring?
Why would you be good at this exactly?
What do you know about this market or sector?
Would you work best with a large team, a small team or no team or a business partner?
You really need to first look at what you may be best suited to, before running away with your idea.
So, it’s not just about whether to work online or offline, it is more about fully exploring each and every part of the process in order to start defining and narrowing down were you may wish to spend the majority of your time. Because it’s your time you are using. So use it wisely and with careful consideration. It’s not just about costs, its about daily joy, peace of mind, truth, and getting to the core of WHO YOU ARE before you jump in.
There is going to be struggle, stress and challenges IN ANYTHING YOU TRY AND DO IN LIFE, I KNOW!
But, this shouldn’t stop or prevent you from moving forward.
Starting A Business: I can say this from experience
I have been involved with many kinds business type and model – so personally for me, writing this is an absolute pleasure as I love writing, Coaching and all of the other things I do as I first looked at ME and what made me happy, but also what working style and type of role best suited me.
I have to manage my day, work on specific tasks, time what I do, and get the help I need in order to be my own kind of leader.
That’s the key is SELF LEADERSHIP.
SELF DISCIPLINE
SELF CARE
SELF AWARENESS
SELF DEVELOPMENT
And I am sure you get the thrust of this point – this business requires SELF MANAGEMENT. ALL business does. The better a leader you are the better the team will work with you.
And it shouldn’t be taken lightly either.
Many think of an online business as sitting around all day in pants drinking coffee. OK I do do that! But, one should never be under the impression that it is EASY. The startup costs were fairly low and worked lean and bootstrapped for a while there, but it took a lot of hard work and a lot of consistent struggle, but also being able to adapt, and be agile. But is it worth it?
Of course! I thrive on change. And I love to understand numbers and costs so I can see what can be cut back or scaled.
I am my own boss, but be under no impression that this means its easy. Consistent growth, measuring, monitoring, market analysis, hiring, firing, product changes and planning alterations will always be there, so will tech changes, branding, social media, offline and online marketing, sales, and many other components always be there.
QUICK EXAMPLE OF WHAT YOU MIGHT DO
Let’s take your passion + a traditional business.
Starting A Business: Check This Out!
Starting A Business: Now we have already mentioned that buying a Traditional biz could cost you at least $100k+ in this day and age, MAYBE LESS FOR A FRANCHISE or maybe more?
Then you have maybe hiring staff, all overheads, rent, stock, getting customers to your business, online and offline advertising costs, THAT’S THE BASICS! And you will be borrowing money from someone somewhere to help you with this. Plus you will be executing the research I spoke of, looking at the right model to express your products and services through and so on.
NOTE: With a franchise there should be a sound business model already in place and the systems whereby you will have to follow the directions of what is established. So, in some ways, it may seem easier than trying to start fro scratch, and It can be, but it is certainly no guarantee that you will succeed.
Markets change, staff can be unreliable, the location may be saturated, and there are many other factors which play a part in the ultimate success or failure of the franchise. So the message there is ‘don’t be blinded’ by a brand which is established. This is not a guarantee that it will go more smoothly than any other business type. If you start your own traditional business from scratch then you may be familiar with what may be required of you if you have already committed to your deep and narrow research.
You will be looking at competition, looking at how you will offer a UVP, position yourself as a market leader, hire a branding expert. explore your choice of premises and all costs, look at location, talk to the community, commit to delivering the greatest products you possibly can of the highest quality, building a buzz before soft launch and ensuring that TIMING is right. Get that wrong and it could be a huge waste of time, money and energy.
So Let’s take your passion + an Internet or Online Biz like mine.
Around $3k will get you into your very own self branded business, maybe as a consultant, Writer, Freelance Designer, ecommerce owner, Blogger, Podcaster, Webinar creator, App creator, Language teacher and so on. Many roles don’t require a great deal of tools. As long as you have a laptop, access to Zoom, skype, a good camera, and sound, you can start for very little. Yes, you will need to hire experts still, and outsource what you cannot do well, but the costs are dramatically lower for the most part. Positioning as an expert is crucial online though as we want to build that trust and be liked and hired, so we have to use video and as many other tools as we can to gain the right visibility.
By the way – it’s not just as simple as these two examples, there are many business types and models which vary between these. Most businesses these days require an online presence, management of email lists, online customer followup, online selling, a website and so on, so, as I am sure you are aware, there are hundreds of types of business today.
All I am doing here is sharing what I do now versus what I used to do.
What is your experience? Maybe you have different experiences of what you have been involved with and maybe you have various skills based around what you now know as a result of this experience? SO, we can take into account everything we have done and bring it all into our role. So never negate all of your past and how this can benefit what you choose to do.
Starting A Business: What Could You Sell From Home?
> E-BOOKS WEBINARS AND EVENTS ON ZOOM
> TAILORED COURSES
> E-COMMERCE DROPSHIPPING STORE FEATURING OTHERS PRODUCTS
> MEMBERSHIP OR SUBSCRIPTION SITES
> AFFILIATE PRODUCTS
> COMPANIES SERVICES
> YOUR COACHING, CONSULTING, FREELANCING
> YOUR EXPERT WRITING
> YOUR TECH ABILITIES AND SERVICES> BOOKS MUSIC AND ART
> VIDEO TRAININGS AUDIOS AND INFLUENCER BRAND PROMOTION
Just look around my blog and see all the ways I can create revenue. This is known as an authority blog, so this means I can create leads, sales and repeat custom from what I sell and share. Others may recommend me, and I will get referrals also from those who have worked with me.
So, sales, repeat custom, recommendations, referrals all means that I can attract a healthy share in my chosen niche.
But what about you?
Will you create your own products?
Will you sell others?
Will you own a shop or would you rather be a founder of a startup?
What could be your thing?
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Your Choice!
Starting A Business: Both types of business allow you to follow your passion by selling products that you love of course, but ‘why risk’ a HUGE sum of money when you can risk less and very quickly get INTO PROFIT SELLING VIRTUAL INFORMATION PRODUCTS??
Some people just prefer the offline way of doing business and I fully appreciate and respect that.
But to me i- this is really is a no brainer!
Of course – we must ALL do our ‘own’ homework when searching for the right business ‘for us’ and we should never don’t rush into anything without first gaining due knowledge in the area of our choice.
I personally don’t know any quicker low cost way to demonstrate revenue than with the right online products and training’s.
HOW DO I DO IT?
I always wanted to sustain myself from home – plus I wanted to help people so, I created and designed my coaching, books, courses and decided to promote products that teach people how to create revenue online, and they happen to be the best products FOR ME AND MY PASSION!
But I didn’t sit around and think about it, once I knew what I wanted to do i just took action. The key is moving and learning if you ask me.
We can apply, adjust, alter, advance and grow by taking ACTION! Once we know what we want that is.
Waiting For The Perfect Time To Make A Decision In Life Doesn’t Always Work, Your Intuition very Often Is Far Greater A Power Than Is Often Understood, SO Use It As Well As Intellect! ~ – Greg De Tisi
So, now here is a list of Business models and types which may help you to get a step closer to defining the type of business you may wish to run and own:
BUSINESS MODELS EXPLAINED By B-PLANS
BUSINESS TYPES EXPLAINED By Accounting-Verse
BUSINESS PLANNING TEMPLATE By Live Plans
PERFECTLY WRITTEN BUSINESS PLAN Entrepreneur.com
BUSINESS PLAN TEMPLATE By Rocket Lawyer
HOW TO WRITE A BUSINESS PLAN By Sage
BUSINESS PLANNING TEMPLATES CASH FLOW FORECASTS SURVIVAL BUDGETS
Hope these can all help you in some way. The key is in funding what works best for you and starting.
TIP: Ever heard of Premium Branding?
This is a great area because you or I can essentially create a premium ‘style’ business in what we do, thus we can offer high end goods, services and products. If you look at supermarkets most of them have a high end range. It feels special, luxury, high end and we buy it. But as a Coach I can also state that I am premium, meaning that I can position myself as a Coach who only works with a certain number of clients deeply and charges more.
See what I mean there?
Many people love to feel EXCLUSIVE. They love to feel as though they are getting something which others are not. So they pay a little more.
Cars, Homes, Clothes, Groceries, Jewelry, Technology, Holidays and more, there are those who want that feeling of something special.
Personally, I have positioned myself as high end so I studied the whole industry and looked at what it meant to buyers. The feelings they wish to experience. Because that is what it is. It comes down to how we want to feel.
So, If you want to learn more about that then I also created a section about this in my SELF STUDY $10k per month course. HERE. It has every tool and resource to help you position yourself like I have in this way. And shows you what you need to become the best in your niche market. You can even try it free and see what you think.
Thanks For Reading This about Starting A Business Model. I Really Hope That You Have Enjoyed it.
Feel Free To Share It With Your Friends Of Course!
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P.s If You Want More Help With Learning How To Create Multiple Streams Of Income Online When Starting A Business Then Why Not Check Out My 1ON1 COACHING HERE WHERE I WILL HELP YOU EVOLVE YOUR IDEAS PASSIONS AND CREATE A GREAT INCOME.
Don’t forget – ‘If’ you want to explore your ideas and passion without a Coach like me then why not try my Passion To Profits Course? It’s just £29.70 no fees no catches, and it has everything you could need to start a Business. TRY IT FREE HERE
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