Online Business Opportunities: What Is The Real Cost Of F*R*E*E*?

Bargain Basement Businesses

Bargain-Basement Businesses

What have the January sales got to do with online business opportunities? It has to do with our love of a ‘bargain’. In particular with our love of a good old ‘rags to riches’ story.  Let me explain. Every January, there are people who feel compelled to rush out and hit the sales and grab a ‘bargain’. It is as if because the words ‘January’ and ‘Sales’ appear in the same sentence as ‘shopping’, the normal rules of shopping no longer apply. As long as it costs next to nothing, there is no stopping to evaluate whether the goods purchased are actually up to the job, no stopping to ask why these items are so cheap in the first place (could it possibly be because the shop recognises there is little to no value left in most of these products and so is just looking to palm them off with empty promises of ‘value’?) The over-zealous January sales shopper is seduced by these promises of a ‘bargain’ year in year out, and so rushes out in their continued quest to turn these ‘rags’ into ‘riches’. Where is the value in that? What is the expected return on investment?

Let’s fast forward this to the subject of online business opportunities. Why is it, when we are looking for a business online, we are obsessed with the fact that we should be able to create a fortune without investing a penny?  It is as if the rules for business are somehow ‘different’ just because this is the internet. We put the word ‘online’  in front of the word ‘business’ and suddenly we can build that business for ‘f.r.e.e’ – We will not need to invest any time, any commitment, much less any money into making that business a success. All we will need to do is make a lot of ‘friends’ on facebook and then invite them all to join our ‘business’ - or some other equally hair-brained scheme. Did Henry Ford build a motoring empire by persuading all his friends that it would be a great idea for them to purchase a new car – for free? Did Bill Gates build the Microsoft empire by convincing all his buddies  to buy his programmes – free of charge of course - and then sell them on to all their friends?? The idea is laughable, yet somehow people think they can set up an online business for free and and then laugh themselves all the way to the bank. It just doesn’t add up.

Broadly speaking, business entrepreneurs fall into two categories, the ‘real entrepreneurs’ (the Richard Branson’s, the Bill Gates’, the Anita Roddick’s of this world) and the more ‘conservative entrepreneurs’, recently coined ‘intrapreneurs’ who start up a business in a more ‘supported’ and ‘risk free’ environment, such as a franchise. Our rose-tinted vision of the ‘real entrepreneur’ is some maverick person who has an idea and then drives that idea into the marketplace, creating a niche for themselves. Then their belief and hard-nosed determination alone ensures they goes on to become massively successful. The classic ‘Rags to Riches’ story. Nought to zillions in less than 60 seconds - no investment required. Now, granted, the original ideawas probably free, but the marketing costs, the costs of building the brand and then driving it into the marketplace?? Anita Roddick’s humble beginnings, selling her first bottles of shampoo from her garage, are well documented. Less well-known the fact that Anita had to borrow £8,000 to open her first shop and £4,000 to open her second. Free??

The ‘lesser entrepreneurs’ among us, purchase franchises or franchise-like models,  because there is a system of training and support in place and these systems are proven to work. The real costs to these businesses tend to be ‘front-end loaded’. The cost is in buying the franchise, or in the case of an online business, in the set-up fees. There are still costs involved to market and promote that business but because the ‘intrapreneur’ works with the support of the bigger company, these are going to be far far less than a new start-up. The reason so many people are drawn to online business opportunities nowadays is because the support system and infrastructure is similar to that of a franchise, without the exorbitant start-up costs.

The modern day ‘internet pioneer’ wants a business that will give them the rewards of a franchise-like model, without necessarily being tied to premises, staff and overheads. These people start up in business with companies that offer the support, training and ability to network with like-minded people. And they understand absolutely that any ‘real’ business that is going to produce ‘real’ results, requires investment.  The business ‘wanabee’, resplendent in their rose-coloured spectacles, hops from one ‘bargain basement business’ to the next, like a deluded  ’January sales shopper’ not wanting to ‘spend too much’, either on the front end or the back end and yet left wondering why these businesses never really seem to make them any money.

Do yourself a favour, if you are intending on shopping for a real business that can provide you with real results, take off your rose-tinted glasses and understand online business opportunities for what they are – business opportunities, not a free lunch ticket.

Wishing you all the success you are prepared to work for!

Great to see you again. If you like our content, you may want to get new posts delivered to you automatically via our RSS feed. Thanks for visiting!