Someone at Yahoo Answers asked whether he can “start a home business through a certain company and be sure to make money with no doubt at all.” He doesn’t want to use any of his money or waste his time until he is sure that he will make profit from the business he wants to start.
Don’t we all wish that the business we start is 100% guaranteed to make money?
Alas, a business, whether it is run from home or a big company, is not without risk. You can only minimize your risk and increase your chances for success — but nothing can provide you with 100% guarantee of success.
If you are buying into a business opportunity, you can minimize your risk by:
1. Researching the company. How well did you research the bizopp company before signing with them? Are they legitimate, in the first place, and not some fly-by-night business operators that will disappear after you pay them? How is that business actually performing – have you checked their business credit report to see if that business is actually making money? If you can verify (not just the “they told me so” but actual hard data) that they are making money, then you can be more confident going forward with the company.
2. Checking the performance of other bizopp buyers. How well are other affiliates or business opportunity buyers like you doing with the business? This is the crucial one, because there are businesses that earn well but not necessarily the people who buy into them. Are they making the income that was promised to them – and more? Check other affiliates and interview how they are doing. If they are struggling to make ends meet, then you cannot be sure that you will make money from that business.
3. Determining the demand for their products. Check the Census website, do a little market research, ask around to check if people actually want, need and will buy this product.
4. Knowing how to market. Do you know how to reach your target market? You may have a good product, the company may be making good money, but if YOU do not know how to reach your market, then you will not make it.
5. Assessing your commitment to the business. How dedicated and committed are you to this business? Entrepreneurship is full of curve balls; you just don’t know which way yours will go. If you suffer a bump in the road – e.g. making only $100 instead of the promised $10,000 per month – what will you do? Will you already thow in the towel and quit?
Business is full of ups and downs, and if you plan to stay only when the going is on top, then it is best that you just stay put and don’t enter into business. You may not have the temperament for it.