A reader left this comment on one of our posts here: “. . . I am interested in starting a marketing company based on a new product. . . . I believe in the product and would like to build a base from home on my own computer. How to do this?”
The answer to that question fills hundreds of books and is the subject of university business degrees. But even people who haven’t read much about starting a business and who have never gone to college have built successful businesses.
Our answer, in one short blog post, one easy lesson?
Worry about market and marketing more than you worry about your product. In other words, how are you going to communicate to people who are bombarded by messages (from competing companies with HUGE ad budgets) that they should buy your product instead of the others? If you succeed, and attract real customers who are willing to give you real money, then you have a business. (Until then don’t worry about the trappings that make people feel good playing entrepreneur—things like business cards and letterhead and elaborate business plans.)
Once you know you can attract customers then you need to worry how you’re going to buy product to resell, and how to buy ads or web space to make people buy. In other words then you’ll have to worry about financing and cash flow, not profit. If you hit a home run and your product is selling like crazy you can easily find yourself
going growing broke. Don’t forget, you can’t pay suppliers and employees with (and you can’t eat) paper profit. Check out our companion site Finding Money Advice for, well, advice on finding money.
Can you do all this from home, from your computer? Sure, if you have a way of attracting customers to a website where they can buy your product and if you have a supplier that will drop ship to those customers so you don’t have to inventory product. Set up your website right, and orders that come in will be handled automatically—credit cards processed and order sent to supplier for fullfillment. Ka-ching! Untouched by human hands; you can spend your time marketing, and marketing, and marketing.