22 Nov
Starting a Home Based Business in a Recession is Insane – Right?
Posted in Business by video 18 CommentsQuestion about business
What business field should i study for to become an entrepreneur?i start college in the fall and im pretty sure i wanna study business.
i want to open businesses, buy apartment buildings, etc. But the term business is too vague. What is the subfield that teaches you how to open/maintain your businesses?
An economic recession is on the near horizon and is bearing down on us very quickly. The global economy is headed south and is currently starting to affect a growing segment of the population. We need to buckle our collective seat belts folks, it is going to be a rough ride. How rough? Only time alone will tell. Historically speaking, most people simply try to cut spending, save money and maintain a low financial profile when a recession comes knocking. But with more people getting “downsized” and with the “credit crunch” crunching us, the Internet has increasingly become a popular place for the average-ordinary citizen to look for creative ways to make an income.
So, some obvious questions come to mind. Is it really a smart choice to start an online business during a recession? Is there any upside in starting a web based business when the economy is shrinking? Can an Internet home business make money in a struggling economy? Well it is true, home based businesses actually have several distinct advantages over their brick-and-mortar counterparts. And many online network marketers really thrive during recessionary times. If you are considering these questions, here are some valid reasons why starting an online business during a recession is not nearly as insane as it sounds.
Starting an online business can be cheap.
Compared to the initial startup costs of a retail business, where you have to spend thousands of dollars, starting an Internet business can be done for a relatively minor investment. In a traditional business you will need furniture, office supplies, inventory, cash registers, and service supplies…etc. By eliminating these financial obstacles and others such as rent, utilities, licenses/permits, and employees, online businesses can save literally thousands of dollars compared to brick and mortar businesses. Necessary online business costs such as domain names, web hosting, auto responders, to name a few, are cheap in comparison. In addition, there are many affiliate programs and turnkey website-based systems that can be successfully run as home businesses and are either free to join or very inexpensive.
Advertising an online business is relatively inexpensive and there are no physical boundaries.
Online advertising enables marketers to target specific customer groups, get immediate statistics on marketing effectiveness and ensure product exposure to more prospective customers. Since there are no geographic boundaries online, an Internet business has the means to reach a worldwide audience. There are more choices available for marketing an online business and marketing costs are often not as costly as you might think. Effective marketing can be easily done at no cost. Some examples of no cost methods are free online classifieds like craigslist, making your own advertising videos to post on sites like YouTube, marketing on social websites like Facebook, starting your own blogs, writing articles for marketing…the list goes on and on.
Even in turbulent financial times, online buying is more widespread than ever.
Convenience and ease are still the buzzwords for Internet purchasing even in the midst of a recession. More households have personal computers and Internet access than ever before. If you combine this with overnight delivery and the basic fact that Internet sales are still largely untaxed, you can imagine why Internet shopping is so popular. You can buy something online one day, often just as cheap, and have it at your front door step the following day. Also, many products or services online are absolutely not available at the corner store or your local Wal-mart. In fact, you can obtain virtually anything online today, and numerous niche businesses have popped into existence as a direct result of the demand for specialty products. Find a niche and fill it, they will come.
Internet based network marketing (MLM) businesses actually thrive in a bad economy.
In a recession the number of persons actively looking for ways to make money and reduce their financial burden increase dramatically. This is exactly what network marketing or MLM businesses are designed to do – make money. In fact many MLMs actually sell money making systems. Did you realize that nearly 25 million searches are done on Google every day for ways to make money online? And this number will only expand as the economy goes downhill. That is a lot of potential customers. Network marketing on the Internet is a prime way for reaching these opportunity seekers. Starting a network marketing business is really very inexpensive. Many MLM businesses come complete with turnkey websites and training in online marketing for under $250.
To wrap it up, there has yet to be an economy bad enough to stifle online business as a whole. Hopefully that time will never come because it would suggest something much worse than a recession is taking place. Business on the world wide web is entirely too strong and diversified to let a recession (even a particularly bad one) bring it to a halt. Furthermore, the Internet is such a vast place that there will always be likely customers for practically any home based business regardless of what state the economy is in. The ideal moment to launch an online business, regardless of how the economy is doing, is when you have done your homework and are positively motivated to begin and follow through it. If you happen to decide to open your venture during a recession at least you will know that it is not nearly as insane as it sounds.
About Author
Ken Stephens is a retired truck driver living in Canada with his wife Annabelle. He has been a successful Internet marketer for over 5 years with multiple websites published. Visit his IPC Instant Cash website at: Instant Cash Online.
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guzen
on November 22 2009
It is. really. this song describes my life so much
nacao
on November 22 2009
yea im the same
Chev
on November 22 2009
Hi,
i have found a site to be usefull, just check this out
Ken
on November 22 2009
You need to keep accurate records when running a business. This will be your best defense if you ever get audited.
For IRS purposes, you need to make a profit every 3 out of 5 years to have the IRS prove that you are not running a business. Otherwise, it is up to you to prove that you are running a business and not doing a hobby. You can prove that you are running a business by keeping your business accounts and personal accounts separate.
You can write off any legitimate business expense including dinners with clients, car expenses, equipment, etc.
Having a separate checking account and credit card is a good idea. However, it isn't necessary. You can comingle your business and personal expenses using your personal accounts. But, if you do this, then it will be harder for you to prove that you are running a business.
For your revenues, you don't need a corporate account to make you deposits. You just need to make the deposits in your separate account that you use for business.
You can read Publication 334 for more information.
jpro
on November 22 2009
love this song and i love paramore
Austinite
on November 23 2009
You can't post a Proposal for Sale of Business here. It is a comprehensive document similar to a business plan with dozens to hundreds of pages. Contact a broker like VR Business Brokers and see if you can get help. Yours is a unique business driven by personal contacts and is not easily sold.
rails
on November 23 2009
omg i freakin LOVE this song its totally awsome
corpo
on November 23 2009
second chances they dont ever matter ppl never change once a whore ur nothing more im sorry that will never change……………….it so true
Gina G
on November 24 2009
Are you asking the same question or was my answer deleted? YOU CANT COLLECT ONCE BANKRUPTCY IS FILED.
Mikelo
on November 24 2009
How about a book store, if you are looking retail?
I cant say if it would work in your town, you need to do marketing research to see what would succeed in your town.
Also in business .. Location, Location, Location is VERY important to success .. not only do you need the right business, you need the right location ..
Passion, YES .. you do have to work long hours but passion because you believe in what you are doing.
I work from home and have the utmost compassion and belief for what I do, I believe that is what brings me success ..
If you don't like books, don't like to read .. then a book store probably wont make sense. Did deep .. Only you know what you really want to do.
GL!
earthlink
on November 24 2009
it is awsome
SarahR
on November 24 2009
Hiiiiiii..
I think you have to choose the Marketing section in Human Resource Management(HRM) because in marketing you get the nice job in the good reputed company on a high post..
Wayne R.
on November 24 2009
Yes, the courses you speak of will help you to become a Business Analyst.
A BA can be on the client side or the IT side. If on the client side, they are interfacing with work group domains that process the work and review what they need. They generate requirements and then work with the IT side to update or generate processes and applications to fullfil the business needs.
If you're a BA on the IT side of the house, then you're taking all the requirements and developing processes and application solutions. Your job is to work with the client to generate a business solutions document (there are many names for it) and get signoff. Then, you need to make sure that solution becomes reality by working with systems analysts, programmers, and testers. You're generally responsible for the delivery of the solution. Although, if the solution revolves around process changes with other work group domains, you normally work with a PM (Project Manager). Never the less, you have end to end responsibilities for the IT delivery to insure the client gets what they need (and paying for).
With the offshoring of work to cheap labor, to remain associated with software development, the BA role is a good profession.
The Invisible Woman
on November 24 2009
The requirements vary according to your state. Call the business license office for your county and just ask them if you need a business license to operate an internet store. I live in Georgia, and in my county, you do.
cooolioooo
on November 25 2009
business school is the right field to study, if you choose your college carefully, some have an entrepreneurship track/program
urbantool
on November 25 2009
made a personal ring tone from 0:34 to 1:05 on zutone(.]com
truth
on November 25 2009
i luv this song! It makes sense……It happens all the time.
psychic
on November 26 2009
i neva thought i would like a song like this but damn …its really good