How to Start an Online Business without Money
It seems almost impossible to start an online business without money. Well actually it is not the case.
Yes, you read it right.
You can start an internet business even if you have no money or little money.
Crowdfunding Platforms Can Help You Generate Funds for Your Business
As an alternative to P2P lending, crowdfunding sites typically allow new businesses to establish financial campaigns for start-up projects. In general, these sites allow individuals to set monetary goals, generate interest through social media sites, and seek pledges in return for rewards, such as a share in any profits or a chance to receive a sample product, such as an e-book. In general, if the entrepreneur meets their funding goals, the crowdfunding site collects the pledges and takes a percentage of the funds before distributing them to the new business. The successful campaign then provides any agreed-upon rewards to its supporters. If the entrepreneur has been unable to meet their financial goals, then the pledged funds are usually returned to the supporters. This approach often encourages entrepreneurs to test the viability of their projects and to work at stimulating interest in their ideas on social media. Although crowdfunding sites, like Indiegogo, KickStarter, and Gambitious, tend to attract creative projects like films, music, books, and video games, many entrepreneurs and nonprofit organizations are using these crowdfunding models to help garner initial capital for their projects. Review your crowdfunding options to determine what might work best for you and your new enterprise.
Differentiate Yourself: Don’t Follow Someone Else’s Path
Once you get to a million dollars in revenue, your odds of funding increase exponentially. Banks, for example, look at funding strictly from this perspective. Banks don’t care what kind of company you are—they simply look at your profit/loss statement and make a decision. If you’re a profitable company with a million in revenue and good personal credit score, there’s a good chance that a bank will lend you up to $200,000.
If you have some revenue coming in but need an extra boost to get to the million-dollar mark, make sure to consider every possible way that your company can differentiate itself. Do you have a letter of commitment from a notable investor? Do you have some revenue or a contract to get some revenue? Do you have valuable intellectual property with the potential to generate revenue? Differentiators like these can make the difference between getting funded and being overlooked by investors and lenders.
Start Your Own Free Blog
You don’t have to have your own Web site, or install blogging software, or even figure out how to set up the advertising. At Blogger you can set up a blog for free in less than five minutes without knowing a thing about web design, and Blogger even automates setting up Google AdSense so you can make money off your blog by displaying ads and getting paid when people click on the ads. To make even more money from it, set up an affiliate program (see below) for books, music, etc., and insert your affiliate links whenever you refer to those items. You’ll have to get a lot of traffic to become a six-figure blogger, but pick an interesting topic, write well, tell all your friends, and you’re off to a good start.
The list is potentially very long:
- Selling photos on stock photo sites
- Giving lectures on Skype
- By becoming a virtual assistant
So you see, you don’t necessarily need investment to start an online business. All you need is passion and dedication. If you are passionate, you will find a way to start an online business without money.
Money is not a barrier.