Recession Creates Uptick In New Businesses
A recent study by the Kauffman Foundation shows an uptick in business startups in 2008. It’s what the New York Times calls ‘accidental’ or ‘unintentional’ businesses.
Many unemployed people are turning to small business startups as an alternative to a corporate job, a job they got laid off from and are having little luck finding a new one.
The NYTimes article goes on about startup costs…
…the costs of owning a business add up quickly. There are state and local taxes and fees, insurance, salaries and contract pay, overhead, inventory and the like. And these days, lenders are none too generous when it comes to forking over money to new businesses.
For an online business that’s just nonsense. All that can come later. To start an online business all you need is a bank account and an Internet connection.
Figure out what your niche market is going to be. And I don’t mean things like ‘golf’ or even ‘golf bags’, but ‘golf bags for women’ or ‘golf bags for seniors’ or ‘eel skin golf bags’. Really get down into the niche.
Research your competition. Come up with a solution to someone’s problem or find a solution that has an affiliate program.
Then, just get started. Put up a simple web site or blog. Add some content and promote the product. To take orders for products you sell online (non-affiliate) you can start with a PayPal account for free.
You have two main options in online marketing – search engine marketing (SEM) and Pay Per Click (PPC). SEM is cheaper but it takes longer and takes more work, like adding content regularly and getting external links.
PPC has upfront costs but is faster. You can run A/B tests to maximize conversions. It also allows you to test your market quickly and dump it if it turns out to be a loser.
Once you find out you can make money online, then go ahead and set up your corporation and get your business licenses.
Our Members Center has videos on how to set up and run your online business. It should be up and running in less than 2 weeks. I’m just adding the Customer Support software.