Starting a Small Business Online

 

Starting a small business online can be fun! (as well as profitable). We’ll come back to this later.

For an overview of a method for creating a web based business that really works download this ebook (Completely free).

Churn Rate

Did you know that 99 percent of all small online business’s fail and that it’s due to the hosting companies hiding the truth.

These hosting companies refer to the online business failure rate as the churn rate i.e. the rate at which new online businesses start, go for a while and then are dropped by the owner because they did not work.

Hosting

For Starting a business online you could use any hosting company and you will find that it’s very cheap to get started (say $3 a month for x amount of bandwidth and x amount of space). You can also add a shopping cart and have your website up within a couple of hours – later you can add email, forms and autoresponders etc.

Let me ask you an important question:

Why don’t these hosting companies show
you all the successful sites that they host?

This would surely be a great advertising method because you would know that starting a business online is possible and achievable; you would know that the hosting provider is an expert in guiding you on how to achieve real results using the internet.

Unfortunately those companies are not interested in your success – they are more interested in keeping the churn rate going so they have a continuous stream of revenue – your success is almost irrelevant to them.

Sure, they provide all the bells and whistles; MySQL databases, extra SEO (at higher cost) and this is one of the problems because you need extras to succeed.

They reel you in with a low cost hosting solution and then you realize that you need more and more tools and features and then squeeze you for more and more money until you have had enough and give up.

What to do?

See the next post on How to succeed online.

Filed under: Small Business