Are you thinking about starting an Internet based business? Does the thought of starting your online business during a recession make you want to reconsider? You may be relieved to know that starting an online business during bad economic times is not really as crazy as it sounds. Here are 3 basic reasons why:
1) Beginning an Internet business is cheap!
When compared to the startup cost of a bick-and-morter business, where you must spend up to thousands of dollars – beginning an Internet business can be done on a relatively tight budget. With a conventional business you will need pieces of furniture, office supplies, stock and inventory, cash registers, and service provisions. By getting rid of these obstructions and other less tangible, but equally expensive costs such as leasing contracts, public utility costs, licenses and permits, and employee salaries – an Internet business can save you thousands of dollars. Indispensable web business costs such as web address domains, online hosting, auto responders, just to name a few, are tiny in comparison. Additionally, there are many programs and turnkey website-based arrangements that can be successfully operated as home businesses. Most of these are free or very cheap.
2) There are no physical boundaries when advertising an online business and sometimes it’s free!
Advertising on the Internet provides online marketers many tools not readily available to conventional retailers. These include tools to target specific customer groups with speed and ease, get prompt statistics on merchandising strength, and guarantee product exposure to more potential buyers. Because there are no geographic limits in cyberspace, an online business enterprise has the means to reach out to a global audience. There are many more alternatives on hand for marketing products online and selling costs are often not as expensive as most might think. Competitive marketing can easily be done at no cost or low cost. Examples of no cost and low cost methods are free internet classifieds such as Craigslist, creating your own advertising media to place on websites like YouTube, selling on social Internet sites like Facebook, creating a blog, and writing articles.
3) Even in bad economy – online spending is strong!
The Internet is still known for it’s ease of purchasing. Even in the middle of an economic downturn, more households have computers and web access than ever before. Combine ubiquitous Internet access with Fedex or UPS delivery and you get massive online sales. Also, Internet sales are still largely untaxed, so you can see why online buying is so hot. You can purchase an item online today, often just as cheap as you can at the local Wal-Mart, and have it delivered to your front door the next day. Also, a lot of items or services that you can get online are not for sale at your corner store. In fact, you can get almost anything online nowadays, and many specialty stores have popped up online because of a need for specialty products.
To sum it up, online business is just too convenient and diversified to let a recession bring it to a halt. Furthermore, the Internet is such a huge marketplace that there will always be likely customers for any viable online venture. Common sense says that the best time to launch your online business (regardless of the bad economy) is when you have adequately prepared yourself and are positively motivated to follow through with it. If it just so happens that you decide to startup during a recession, at least you now know that you’re not crazy. Click here to read about WY limited liability company