People from all walks of life are really hurting these days and the forecast for most people does not look any better. Across the board there has been pay cuts, job loss, vacations and benefits taken away, foreclosures, which has lead to most people scared about their futures.
People are hurting from all over and looking for anything to help them keep their heads above water. Scams have always been around but they seem to come out of the wood work when times are really bad. With so many people looking for help it’s easy to see how people get taken advantage of.
No matter what you have heard or what you have experienced in the past, the truth is some home based businesses do work. There are bad ones out there and you need to be careful when looking for one.
WHY DO PEOPLE FAIL:
It would be hard to list all the reasons why people fail at a home based business but I will cover some of the main reasons. First lets look at the facts of a traditional business
– An average of 145,000 new businesses start up each year in this country
– An average of 137,000 businesses declare bankruptcy each year
– 8 out of 10 new businesses fail within the first three years.
– 80% of new businesses fail within their first year.
– Businesses with 20 employees or less have a 37% chance of making it to 3 years
-They have a 9% chance of surviving 10 years
-Restaurants have a 20% chance of surviving 2 years
– About half of those who survive the first year will remain in business the next five years.
Now it is said that 90% of people who try a home based business fail. That is not surprising when you look at the numbers for the start up of a traditional business. Most people who start a home based business do so for less then a $1000.
Depending on what the traditional business is that’s being started up you could be looking at a price tag of $60,000 – $300,000. Is it any surprise that the numbers of failed home based businesses is a bit higher? People do not have any money invested into them. You can say they do but when you are really looking at the numbers it is easier for people who start home based businesses to walk away when things get hard.
For most home based businesses failure is not the fault of the company but the fault is in the people who do nothing with them and give up.
A large part of this is because people get told that it is easy money and they don’t have to do anything to make it work. So they sign up and sit back doing nothing and wonder why it is NOT working!
Again this is not always the fault of the companies. In most cases it is the fault of the people bringing them the opportunity.
WHAT SHOULD I EXPECT IF I START MY OWN HOME BASED BUSINESS?
You might have heard before that you get what you give. In most cases for any business this is true which means the more you put in, the better your chances of getting fast results.
I say a chance of getting fast results because nothing is guaranteed which is why it’s called a business adventure. One thing is for sure though, if you start a business of any kind then don’t show up for work YOU WILL FAIL….
When starting a home based business you need to realize that things will not always go as planned. You will have to put some money into any business that you want to start. You just need to figure out how much you are willing to spend and how long are you willing to give it to start making that money back.
It is an investment and if you look at it any other way then you will be very unhappy when all that money is not back in your bank next week. It is going to take Money and a PLAN with GOALS to stand a chance of getting success.
HOW DO I KNOW WHAT’S THE BEST BUSINESS FOR ME?
There are some very important questions to ask yourself when looking for a business to start.
-How much is the start up cost
-Once I have my business how much do I have to pay for inventory/ qualify/ any hidden cost (There will ALWAYS be something) If you have a business that is $200 to join there will be SOME kind of package you have to buy to get started. Could be anywhere from $100- $1600
-How much will I have to pay monthly (Watch out for companies that say you don’t have to buy anything or you don’t have to worry about that because everything will sell itself.) NOTHING sells itself….. PERIOD In many cases even if you have things left over from the month before you still have to buy NEW Product the next month!
-How much do I make from sales
-How much do I make from other people joining my business
-Where does the money go that I paid for joining
-What does it take to promote
-Can I ever lose my promotion
-What happens if someone under me promotes? Do I lose that money?
-Are meetings mandatory and how much on average do they cost?
-Do I have to buy books or CD’s from the company every month? (More hidden cost)
-How much does it cost to renew my business at the end of the year?
-Can I promote without signing anyone up?
-Can I see the entire pay plan before I join?
-Can I find information on the services or products before I join?
-How do I get paid and when do I get paid?
I could list many more but these are some of the main questions you should be asking when looking for a business to join. If the person you are dealing with does not give you CLEAR answers or avoids certain questions, then run away.