Many entrepreneurs looking to increase their income stream are looking for new markets. Something that hasn’t been done yet. A unique product. A special experience. That is a way to do so. However, do you think that is clever? Yes, you may find this as a great potential but it involves quite a lot!
Did you ever consider tapping into a market of products that people already are using, where the margins are good and potentially, you get repetitive purchases? Ideally, you want to have that income stream being generated by a business that match these criteria Warren Buffet named for a successful business:
- Global product: not limited by nations or oceans – or even a neighbourhood
- Inelastic demand: people need it or desire it, and will do everything to keep on using the product
- Unique products: they are impossible or difficult to reproduce – protected by patents or copyrights
- Low staff/personnel requirements in your own organisation. Virualise or outsource as much from the business process as possible
- Low overheads: no need for expensive offices, warehouses, organisations, legal advice, advertising or research and development
- Low investment. Don’t lock in your capital, you must be able to continue using it!
- Cash billings. A pre-paid business is best. The less money you park in waiting other people to pay you, the better. Saves you the terms, chasing debtors and write-off of non-paid invoices
- Regulation free: govenment and industry regulations, structures and certifications are not interfering in YOUR business process
- Portable: move your business to where you are. If you move, you want to build on your business, not start it anew.
- You love it
- Continuous need: people want to continue using the product to satisfy a basic need (health may be one of them)
- Free time: can you enjoy the benefits of a good business if you have to work long days to get the results?
- A proven system: many entrepreneurs want to invent something, create something, but that’s taking a risk. Why do that if you can build on an established and proven success?
- Tax benefits: you don’t want to pay tax really, isn’t it? If you can make use of tax facilities, the more you can benefit from the results of the business. That’s what you are doing it for.
- Time leveraging. Traditionally, you are paid 100% over your own efforts. J. Paul Getty has been quoted: ‘I’d rather been paid 1% over the efforts of 100 people, that 100% over my own’. Think about it. And what if the 1% would be 2%? Or 100 people grown into a community of 200?
I just realised I made you think. How can you fit all these characteristics in one business? It is possible. You can increase your potential by just adding a simple product in your portfolio that makes a business without making your life complicated. Your existing clients, friends or other people can get products they like. They also can turn them into an attractive business. If you want to have more information how to do this? Just leave your name and contact details using the form and we will get back to you!