Operating at a Loss
In any business ventures, not the least of which a home based business, it’s important to have realistic expectations. Realistic expectations of long term profits not short term windfalls. So many businesses are marketed with “make money fast” hoopla that it’s no wonder people are disappointed when they join a business and can’t give their two week notice right away.
Realistic expectations for a home based business means a long term commitment, not a short term fix. Therefore, you need to expect to operate your business at a loss; at least at first. It’s actually quite normal for businesses to operate at a loss when they start and often even in their first few years. For example, Amazon.Com was founded in 1994 but it wasn’t until nearly 10 years later when the company posted its first annual profit for the 2003 fiscal year.
Fortunately, home based businesses can get to the profitability mark a lot sooner than a company like Amazon.Com. There is less overhead with a home based business. That means no space to lease, no employees to pay, no equipment to invest in, etc. It is important however to be aware of your ongoing costs. How will you fund the business at first until it begins to make a profit? Ah, now that’s the million dollar question.
Fortunately, there’s MyWirelessRep. MyWirelessRep is the only company I know of that you can run for under $50 per month. Most people who are serious about starting a home based business can find $50 somewhere in their montly budget. That means your risk of operating at a loss is minimized and your business will have a great chance of surviving until it can start to monetize. And up until 12/31/08, you can join MyWirelessRep for only $49.99! That start up cost will likely go up after the New Year, so make sure to enroll in MyWirelessRep before 12/31/08 if this interests you.
