Money Making Tips

Richard Low I know you've seen the advertisements. They are everywhere that you look:
newsgroups, email signatures, web site articles, press releases and even in
your own inbox (in the form of spam). It can be especially overwhelming to a
newbie (someone new to the internet). You know what I mean - money making
opportunities.

Sometimes they seem so enticing, so wonderful, so obvious that it just
appears that someone had indeed stumbled on the perfect money making scheme.
And, better yet, they are good-hearted enough to want to share it with
anyone, for the small price of $19.95 (per month), $295 or even $3.95. What
nice people.

Of course, if you think about it for even a minute, the first question that
comes to mind is: if the secret is so great, then why aren't they rich and
living on some tropical island yet? Why do they have to try and sell this
thing to us on the internet?

Okay, so you want to make some money on the internet. What's the secret?

To be honest, selling on the internet is more-or-less the same as selling
anywhere else. You have to follow these basic steps:

- Find or create a product or service which you think may be of value to
others.

- Figure out how to sell that product. In other words, determine your market
and how to best reach the people within the market who make purchasing
decisions.

- Implement the method that you choose to sell the product or service. Using
the internet, this could be a store front, a web site, an ezine or perhaps
just lots of advertisements.

- Promote your product or service.

- Keep statistics to determine if you are actually selling the product or
service. You also need to know if it is costing you more to sell it than you
make (yes, income must exceed expenses - that's why most of the dot coms
have been failing recently: they forgot this basic lesson).

- If you are making a profit (income exceeds all expenses), then figure out
how to better sell your product. However, don't change anything that is
causing you to make money. In other words, if it is working, leave it alone.

- If you are not making a profit (expenses exceed income), then figure out
why and take corrective action. Immediately and without hesitation.

Also remember some basic rules (which many of the dot coms forgot or never
knew in the first place).

The Customer is the boss. This is the most basic datum of all. Any company
that has poor customer service or loses sight of this basic fact will, in
the short or long term, fail. For example, if your customer wants a refund,
then give it to him, no questions asked, with a smile. If you find you are
refunding too much money, then check out the quality of your products or
services.

Stay ethical. Another basic datum. Unethical people and companies tend to
fail. The more unethical they are, the harder they fall. You could sum this
up simply as "what goes around comes around".

Venture capital is NOT income. It is a liability because it usually has to
be paid back. In general, a company should only need venture capital when it
is first created. If venture capital is needed to keep the company afloat
after a reasonable startup period, then this is a bad sign. If venture
capital is required on a regular basis to pay the payroll, then this is a
very bad sign.
Use income from stock sales wisely. Getting an infusion of cash from selling
stock can be a great windfall for a company. BUT this is also not income -
it is a windfall profit. Use it wisely.

Determine true income. You need to figure income on the amount of money you
are making from selling your product or service. Money obtained from your
credit card does not count as income.

Income must exceed total expenses. Seems pretty basic.

Large amounts of debt is bad for business. Generally, the higher your debt,
the less freedom you have to run your company. At some point, you become a
slave to your creditors.

Excellent leaders often make poor managers. Remember to keep these two
positions separate. The skills required to be a leader have nothing to do
with the skills required to be a good manager.

What's the bottom line? Making money on the internet is the same as making
money anywhere else. Just because it is the internet does not mean there are
special rules or the law has been suspended. Also, just because everyone
else has gone insane and are doing incredibly stupid things (the majority of
the dot com's come to mind) does not mean you need to jump in and join the
stampede.

The internet is a set of tools which you can use to sell products and
services. Used properly, they can magnify your efforts to incredible
heights. Remember, be smart, be ethical and, fundamentally, inflow must
exceed outflow.

About the Author

Richard Lowe Jr. is the webmaster of Internet Tips And Secrets. This
website includes over 1,000 free articles to improve your internet
profits, enjoyment and knowledge.
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