|
Some years ago, I was hired in to take care of the service department of an IT business back where I live (Norway).
The situation was rotten, and management wanted to spice things up, by doing some cleaning up - before merging with a bigger company.
This company was ICL, a big international company that wanted to buy their way into the Norwegian market.
They bought this company (where I was hired in) for a pretty neat sum, plus, plus plus.
In the overall picture, ICL decided to buy “my” company, well aware that they would lose loads of money.
They had it figured out, pretty much on the dollar how much, and how long it would take before even making a nickel.
So remember this:
ICL calculated they’d not earn a single cent (Kroner) - for the next 5 years with their new project/investment. They knew exactly how much it would take them to create a positive cash-flow… how much investment in cash, hard work and time it would take - in order to just break even.
Then, after - ( in this case ), the 5 year mark, they estimated they’d start generating some profits. Long time, huh?
Before that, they’d be “losing” boatloads of money. Or, did they?
Actually, because they had a realistic view to their plan, and things, they didn’t see it as “lose” money…
Rather - in their terms, even though they took “tremendous” risk - they had just made another long-term investment.
And, that is the main problem with the internet marketing arena these days.
You cannot as a norm, expect to just enter a market - whatever market, and with no work, no endurance, no knowledge and no money or time - generate millions and millions of dollars.
Besides, the competition, whatever niche on the internet is way more fierce these days, than just 2 or 3 years ago…
Remember that, the next time you hear of a great success-story from an up and rising internet guru mogul magician…
Most of these “Quick Rich Internet guys”, just like ICL, or in this case - Google buying up YouTube did this with some decent means of monetary backup. These guys, including your self proclaimed internet guru, even though making piles of cash - didn’t rise up from nothing - no work - no time or no money down at first…
Most these guys you're seeing, reading or hearing about making all thath cash as out of thin air, either have some knowledge - as well as cash to provide for this happening. They didn't get rich just like that, with nothing down first. Money, or at the least, some skill or expertise. (And, remember, even knowing where and how to get hold of expertise, is some kind of requested expertise!)
Same goes no matter the business you’re about to build, whether online or off.
No matter what general belief you happen to be trapped up into, you’re deemed have to invest some helluva lot of time or money - or both, in order to get going.
By the way:
Did you know, that a Boeing 747 - just in order to fly from Norway - to for instance New York (Approx same distance as going from UK to New York - USA) - that airplane will spend about 80% of it’s fuel reserve simply in the act of getting lifted off the ground, up to it’s cruising altitude.
Then, some 30k feet off - up in the skies - the remaining 15% of that tank of fuel - is spent - getting to New York… And 5% of the fuel is for reserve, in case of an emergency…
So, what does that tell you?
Simply this:
Do not expect to get awfully rich overnight, unless you’re already stuffed with either :
1) Piles of CASH and, / Or
2) Knowledge and Special SKILL
Preferrably BOTH.
Another thing most people starting up never realize (I didn’t either, when I started my own company) - is how much time administration of your business will take of your time… Not to mention the time working out proper routines and the logistics of it all.
Just one of these things, are all the stuff that your government wants you to do. Things like accounting, taxes and different sorts of reporting etc… etc… ( having employes for instance, makes this mill of red-tape even more extensive…)
So, in general, most people cannot expect to just put up a business, web or not, and make wades of money - “just like that”, by tomorrow afternoon, unless you - as said:
Already have CASH, and / or Appropriate knowledge.
Also, should you go from Zero to One million dollar from one day to the next, how you think you’d be equipped to handle that? You simply wouldn’t. You’re not stacked for that yet. You don’t have your logistics prepared for anything like that yet, unless you’re already there…
Believing anything else, such as going head to head against YouTube and / or Google, or similar, is equal to setting yourself up against disaster…
That is, unless you first have a realistic plan, and the means to follow it through.
Then… maybe… with time and lots of work (whether that work is by investing your time, or your money? Same difference, as long as you know what you’re doing)
When, some years back, I made a full-time living as project-manager - mainly in the IT / Telecom arena, I had to adhere to the very same principles.
I needed, and as such - had a plan to follow.
In turn, that plan was created - based on a goal, or a set of goals.
REMEMBER - it’s your goal that will be the framework for your plan! (Not the other way around!)
Next:
I needed expertise. Others, as well as my own. Million dollar projects took millions of dollars. REAL cash, real man-hours - and not just imaginary assets… I needed the REAL thing.
Then, when all this in place, we could set off, within our budget and time-frames to get going somewhere…
However, project-managing like that, I had something that most people just starting out never have access to… A thing to important to dismiss, or ignore, because, without it, or unless you manage to create it - you will never succeed…
And, that is - the framework and foundation and the logistics around any project - crucial to make it work.
In other words, we’re talking resources over a given period of time here…
A Few More Words On Time Spans:
An internet marketer “normally” has a time span of “24 hours” - in order to “generate” a million dollars - or more… (thus becoming a millionaire… Overnight… at least so, should we dig into the hype… Right? )
My timespan when bringing totally havocked projects back on its feet, was and normally is 3-4 weeks. Next, approx 3 months, before getting into some kind of profits…
BUT, with such a time span, I had something most people just starting out - will never have. I had at the least - most of the mandatory resources, funding and expertise at hand already… My own, as well as my crew’s, and the company’s logistics to support it all.
Provided this, we were profitable as hell, within the first 6 to 7 months, no matter the size of the project….
ICL - when taking over that company - which I was hired in to fix up some years back - had a time span of 5 years before they reckoned they’d even break even… And then, the 6th year, they calculated on only making a very modest profit… (So much for “burning off” tens and tens of millions of dollars… )
A wood farmer (don’t know the english word for this one) - has a time span of between 20 to 50 years, before taking out any profits what-so-ever on the lumber they’re planting - for later taking out of their forests - for sale to the general public…
So, what am I getting at here?
Well, simply put, what I’m getting at here… simply…
..the crucial question you ALWAYS need to ask yourself is…
What is your own time-span…? What are you putting in? What’s your investment? Investment like time, expertise, cash… etc…?
Not least; how realistic are your plans, your goals and your overall settings…?
Then: What’s the quality of the information and the feedback you’re able to afford, and/or get access to?
Me, as projectmanager had a serious advantage that most newbie entrepreneurs never had and will never have even…
I had both financial backup, proper expertise in my back, as well as realistic goals - nested up with a realistic time-frame.
Not least, simply because I had decent sources of information at hand. And, some authority to give some hell whenever my people, suppliers and even my own management - didn’t deliver their share of the deal - I had a tremendous advantage to skyrocket “my business”…
My guess, you don’t have that privilege from where you’re at right now.
Do you?
Heck, even I don’t have that in my own business “just starting out”… Things are way easier when backed up by a million-dollar company, with funds buying most all you want, as opposed to creating it all yourself - from the bottom up…
So, what it all boils down to in the end, no matter your fundings….
What is your budget?
Not least: What is your frame of time?
Arne Yri
3d digital
http://www.articlefire.com in association with
http://www.ProjectManagementMadeEasy.com
(C) Publish freely as long as in its original state,
as posted here, with all links active.By Special Appointment © 2000 - 2008 -
http://www.articlefire.com - Hogwash And Getting Rich Overnight In Your Home Based Internet Business
- by: Arne Yri
Claim Your Articles & Free Content Now! - Use This Article FREELY as long as kept in its entirety, all links, credits and
source intact as shown at http://www.articlefire.com - Use this article in
your ezine, your own website and so on...
Easy Bookmark This Article!:
 |
