Last updated on August 15th, 2020 at 09:09 am
Though there are many definitions for online business, here’s the one that I deem most apt for our discussion here:
Online business is one that is operated via the internet and that brings income via the internet as well (my definition).
In online business, your website or blog is your showroom/store where you display your wares and skills and convince prospects that you offer quality.
There are two types of online business: active and passive
An active online business is one that requires you to render specific services or requires your active participation in some other way. Most of the time, the profit you’ll make from an active business is proportionate with your activity.
For instance, I’m a freelance writer. So, my monthly income is based on how many writing assignments I complete within a month. If I decide not to write, then I’ll make no money.
Your online business would be an active one if you render services such as ghostwriting, graphics design, SEO consulting, programming, virtual assistance, data entry, etc.
A passive online business is one that brings income continuously even when you’re not actively involved.
But does that mean you’ll do nothing? No.
In fact, for you to make money through passive means, you must have invested lots of time, effort, and even money right from the beginning. Only after you’ve built your business perfectly can you sit back and enjoy the fruits of your labor. So, passive online businesses also require hard work (even more than active businesses).
When a passive business starts to turn profitable, there’s no limit to the income you can make from it. And you can continue to make money even when you’re sleeping (that why it’s called “passive”).
Examples of passive online businesses include affiliate marketing and information marketing.
The bottom line is that both active and passive online businesses require hard work.
So, if a self-proclaimed “genius” somewhere is promising to teach you how to make thousands of dollars overnight or just at the click of a button, quickly raise your bullshit detector and look elsewhere.
PS. Sports betting, investing in HYIP schemes, and being paid to read emails or completing surveys are ways by which people make money online. But they’re not real online businesses. A real business is what you own, run, and have control over the income it brings. So, I only teach real businesses that have permanent profit potentials.
With the above in mind, let’s look at the tools you’ll need to start an online business.
No, you don’t need to be a programmer or a graduate in marketing or writing. And you don’t need a huge amount of cash to get started, either. Here is a short list of all that you need:
- A computer (laptop, desktop, etc.)
- A reliable internet connection
- Basic computer skills (browsing the internet, typing, performing simple computer operations such as uploading images, etc.)
- Minimal writing skills. I stress the word “minimal”. All you need is a basic ability to express yourself clearly. (We’ll discuss this in our coming lessons.)
- $10 per year to register your own .com domain name. Plus hosting fees (this varies depending on your chosen host) if you’re not going for a free hosting platform.
- Most importantly, a strong determination to learn and take action, and the zeal to succeed.
Having understood all that has been stated, you’re now ready to find out what online business is most suitable for you. And that’s what we’ll be discussing in the next lesson (coming next week).
But before then, read this post: 6 Proven, Risk-free Ways to Make Real Money Online In Nigeria)
If you have any questions, suggestions, or ideas, leave a comment.
And one more thing, don’t forget to share this post with others (on Facebook, Twitter, etc.)