How to start an online business could be a tough question if you’re new to this world of digital companies, but do not worry, we will help you step by step on how to do that. First of all, you have to define what type of online business is best suited to you and your capabilities, because there are many of them, and all of them can make you a lot of money. You have to consider what is the most convenient way for you to make money online. We will later give you the best options for you to choose from, so fear not. But before that, we have to ask an essential question:
Why Should I Start An Online Business?
You should start an online business because:
- 1. It’s a lot cheaper than starting a physical location based business, even though you do need to invest money into it. There is no such thing a free of cost business.
- 2. You are not restricted to be in a physical location. You can work in any place in the world you want, as long as you have a computer and an internet connection.
- 3. You can start making money a lot faster because of the least expenses. Considering you are not renting physical space, don’t buy stock in advance, not paying for electricity, etc.
- 4. Your target audience is far more significant you can get even millions of people to see your website/landing page.
- 5. The amount of money you can earn is technically unlimited because you can get a lot of traffic all around the world.
What Types Of Businesses Can I Choose From To Start Online?
Before choosing the type of business you want to start, you have to set up your goals in advance. Do you want it to be your main income stream? Or do you want it to be a side income only, aside from your regular career? In each type of business model, we will tell you if it’s suitable for a side income stream, a primary income stream, or both.
Business Method 1: Affiliate Marketing
Affiliate marketing is suitable for both side income stream and main income stream because you aren’t dealing with any customer service what so ever so you are working on your own pace.
If you don’t know what affiliate marketing is, it’s a business model that allows you to get a commission from the product owner, if you can refer a customer to him. This business model exists for many years way before the internet was invented, but in the last ten to twenty years, it became very lucrative because of the internet.
So How Does It Work? Very Simple.
All you have to do is to sign up to an affiliate program, you have thousands of them, including in Amazon and eBay. After that, you’ll get a unique link that only you possess, and every time a customer clicks on the link and purchase a product from this link, you will get a commission. Sounds easy right? Well not so fast because you can’t just spam links all over the internet and expect people to buy.
Do It The Proper Way
The proper way to do affiliate marketing is either by using social media, or on a website, or best of all, a combination of the two. For example, a Youtube Channel. Growing a Youtube channel these days can occur fast, and you’ve probably seen links in video descriptions.
Monetize A YouTube Channel
Those links are most likely affiliate links. For instance, they can be links for recording equipment used to make the video, going straight to Amazon for a buy. You can make video reviews about products that you like and try on a specific niche and leave affiliate links in the video description for people to buy them. There are many options to play with, and you can make a lot of money from it + Youtube ads as well.
Make A Website
The other option is to make a website. You have to pick a niche that you know of, and you can write a lot of content for it. Above all, you have to have some grammar checker tool at your disposal so that your writing will be excellent. Surely, you’d want to check for spelling, punctuation, manually. We recommend that you try Grammarly, it’s free! Later on, you can outsource it and pay for other people to write content for you. One of the best websites for that task is called Iwriter. Iwriter is free to sign up; you only pay for the content.
If you don’t know how to build a website, refer to our guide on the matter. In short, you have to buy a domain name for your website. Buy hosting services from a hosting company to store your website information in their servers. Then download WordPress, implement a basic design with a good theme, and start posting content. In the blog posts, you can put affiliate links on related services and products.
If You Want More Directed Guidance
In case you are a complete beginner, and this sounds too much intimidating, there is another option. There is a website called WealthyAffiliate, which is a school for newbie affiliate marketers. You can learn for free on how to make affiliate marketing websites, including hosting and keyword research tool, and much more. There is a premium version which we truly recommend if you are serious about creating an online business.
You are paying $49 per month, or $29.92 if you pay annually, on top of a domain name that costs 10-15 dollars per year, and that’s it! That’s the cost of an online business. It’s way cheaper than a real physical company. There are lots of features that they give you with the premium version; we can’t write them all down.
Start with the free version first, get used to the website; they have a great community. Once you decide to upgrade, WealthyAffiliate will show you how many features you are getting with the premium version on top of the free ones. But, if you have more experience, and you don’t want to use proprietary software and to have more control and freedom, our guide should be enough for a start.
In conclusion Choose What Is Best For Your Skills And Needs
In the end, you can either choose your own hosting company and use your knowledge to start a website. Or, you can use WealthyAffiliate and get complete video training + hosting + keyword research tool and more. The downside is that if you want to cancel, they are storing your websites on their servers. This downside can result in a problem if you’re going to migrate all of the data to another hosting company. Do what is best for you when you start an online business — Plan in advance. For a website to start making money, you have to have at least 30-40 blog posts.
Business Method 2: Be A Freelancer
Becoming a freelancer is best for a side income stream. It can be suitable for the main income stream as well, but you have to work hard to establish your presence. You have to put extreme efforts on advertising yourself for it to be your main income stream. In contrast to affiliate marketing, when you can take it easy. Here you have to work hard from the start to make it your main income stream.
There are many websites for freelancers, for example, Upwork, Fiverr, TranscribeMe, and much more. You can use those websites to buy services as well. The hard part is to get notoriety. You have to advertise your skills through social media and reach to people that need your services. That way, they will give you positive reviews, and you will get ranked. You can get all kinds of jobs, for instance, transcribing speech to text, writing, designing logos, etc. Remember that many people live as freelancers and make a full income from it.
Business Method 3: Drop-Shipping
Drop-shipping is both similar and different from affiliate marketing. The difference is that you are the seller in the eyes of the customer. In essence, you buy the product from the merchant in the name of the customer and deliver it for them. You are a man in the middle.
This business model is suitable only for the main income stream because it requires a lot of work, including customer service. So, this is not something you can do on the side; it has its commitments.
It’s best to use a platform called Shopify to start a drop-shipping online business. We won’t get into the details on how to use Shopify in this guide because it’s far more complicated than explaining affiliate marketing. In short, Shopify is a platform for e-commerce websites. You will get products from sites like Aliexpress and sell them on your Shopify niche website for a higher price.
To make money from your store, you will have to use a lot of paid ads. SEO plays a smaller role here because you will mainly sell products. If you are extremely serious, you can add a blog to the e-commerce store so it will rank higher on google.
To Make Things More Transparent:
If you want to write blog posts mainly and YouTube videos, go with affiliate marketing. Affiliate marketing doesn’t require customer service, and you don’t deal with the customers at all. In affiliate marketing, your main job would be to create content through writing and videos, give value around different products. In e-commerce, on the other hand, your main task would be to find winning products and always test them through paid ads. You would want to have virtual assistants to deal with customer service when your shop start making money.
There are people out there thinking that e-commerce is unethical because you are selling a product that isn’t yours for a higher price. That is not true, and this is a fantastic way to start an online business. Businesses all around the world do that. When companies have a product to sell, they sell the product to stores, that sell them to you. That is the same thing; the only difference is that your store is a virtual one. Your customers will want to buy from your store if you give them discounts, and make the store a convenient place for them to come by later. For example, a niche fishing store that will target people who love fishing. You will sell them all kinds of fishing equipment, and instead of searching for them themselves, they know they can come to your store and find everything they need conveniently there.
Business Method 4: Create Your Own Product/Service
This business model fits the side income stream because it’s completely passive. You have to put the work up front, but later on, the product will sell itself. If you have an idea for software, for example, you can pay a freelancer from Upwork or Fiverr to create it for you. You can sell an online course about a topic you know of and make money from it. The only obstacle you will counter is getting people to see the product. YouTube channel can be a great place to market your course. There are platforms like Udemy that do the marketing for you. You can put your product in affiliate marketing platforms like Clickbank or Jvzoo and pay affiliate marketers to promote the product for you. Once you find the right audience, your product will sell very well.
Start An Online Business: Conclusion
There are many great opportunities to make money online. Working hard is the key to success. You have to treat it as a business for it to work. Trying for a week or two and get no results and then quit will get you nowhere. Making a business work takes time and effort, so please be patient and keep working hard! Thank you for reading.