The only place in the world the recession hasn’t hit – THE INTERNET.

In this article, I will describe 3 major advantages an internet based has over traditional brick and mortar businesses.

• Time leverage
• Cost
• Mobility
• Income Potential

Time Leverage

What’s the second reason you wanted to start your own business beyond being your own boss? Leverage.

But there are limitations to the amount of leverage you have with most Brick and Mortar businesses. Your employees can only work so many hours in a day. Your store can only be open so many hours in a day. Your store is limited to the local time zone. If you want to be open more hours, you need more employees.

On the internet, there are no such limitations. No employees, no geographical boundaries, and no limitations to the hours of the day your business can make sales. The internet allows you to create “true” leverage in the form of technology.

Think about the evolution of technology in almost any major industry. For example, in the auto industry, General Motors, Ford, Toyota, Honda, etc. all use technology to build more cars, 24 hours a day, 7 days a week all with less overhead.

Just imagine if you had a business that allows you true time leverage, where it runs for you around the clock, all over the world, 24 hours a day, 7 days a week.

Cost

The second major advantage of an internet based home business is cost. I will break these costs down in two categories:

• Start up cost
• Overhead

The startup of a typically, the least risky business model to start up would be a proven franchise system. Anything else is VERY risky. But any good franchise would run you anywhere from $500K – over $2M.
Here are classic examples:

In this illustration, you can see the starts up costs are incredibly high for a proven business model. And frankly, the income potential is rather meager related to the investment required.

For the Average Joe, it may be possible to find a decent business with start up cost of under $100K but the income potential would clearly reflect that.

In addition to the incredibly high start up costs, you’ll also be responsible for the purchase of equipment, rent, insurance, employees, inventory, advertising, and other miscellaneous expenses.
Unlike a traditional business, a solid internet businesses model wont’ require:

• Employees
• Rent/Lease
• Insurance
• Equipment
• Inventory
• Utilities
• Property taxes

Startup costs with a solid direct sales income model range from $300 – $20K. A good model will payout 80% profit on your sales…so just imagine investing $10K or $20K in a business, actually be able to earn your investment back within your first two sales. Most proven business models will also require some monthly expense that can range from $50 – $200 per month. A drop in the bucket compared to the income potential.

The overhead costs associated with running an internet business are virtually non-existent. Outside of advertising, the only major operating costs you have are high speed internet, and a cell phone plan. Since these are expenses the average person already pays for, your overhead can actually result in a surplus credit at the end of the year with the tax advantages of a home business.

Mobility

The number one reason people desire to be wealthy is lifestyle. To be able to do what you want when you want and having the money to pay for it.

With an internet business, you can do what you want when you want, where you want. With a laptop and a cell phone, the world is your office. Internet business offer you complete mobility which is one of it’s most powerful features.

Imagine making money while your vacationing with your family at Disney World or relaxing in Cancun. Or perhaps you want to move to the Caribbean permanently. With an internet business, you can live anywhere you want without impacting your income.

Income Potential

Internet based businesses allow you to earn more money in less time. With systems running 24 hours a day, 7 days a week, you can earn a substantial income quickly.

For example, assume you invest $10K in a powerful direct sales business model with 60% profit margins to you, and 30% override on your direct team members.

Just two sales per month earns you a healthy 6 figure income. With systems working for you 24 hours a day, 7 days a week, it’s not only possible, it’s happening.

As your skills increase, you could be making 2 sales per week making you nearly half a million dollars ($500K) per year. And that doesn’t include the 30% overrides you begin earning on your team. 

As you can see, leverage a solid, proven internet based income model has no competition in business. There are very few opportunities in the world where you can invest under $10K, and earn a realistic $250K your first year.