“I generated $100,000 from home in my underwear!” reads the headline. Immediately, you go ahead and click to see how, hopefully for free. But if not, maybe there’s some type of infoproduct you can buy for $99.
Revenue is sexy no doubt. Large headline numbers are used to suck you in. They trigger a “Me too wow!” emotion, and most of us fall for it. For growth companies, top line revenue is important to show the investor the company is heading in the right direction. However, for the consumer, revenue is a gimmick if you don’t highlight the net profit.
One of the greatest tricks in selling is to make something look so easy that any knucklehead can do it. Offer a 30 day money back guarantee, with processing fee of course, and a product that takes 100 days to complete to see results! By the time the consumer figures out what you’re selling is difficult to achieve or a piece of crap, you’ll have already taken their money and bought a nice trip to Maui thank you very much!
If your job is to sell the dream of making money online and following your glorious digital nomad lifestyle blogger, do us all a favor and be more transparent.
Disclosure: ONIG Financial Blog has partnered with CardRatings for our coverage of credit card products. ONIG Financial Blog and CardRatings may receive a commission from card issuers. Opinions, reviews, analyses & recommendations are the author’s alone, and have not been reviewed, endorsed or approved by any of these entities.
There’s an old saying that it’s not how much you make, it’s what you keep. It’s easy to be lured into the fact that being an online entrepreneur is easy. The fact of the matter is, after you deduct costs and pay taxes, you’re often left with less than a third of what you started with!
In any business, a 33% net profit margin is a fantastic return. In fact, a 33% net profit margin blows doors off of great companies such as Google and Apple. It takes a lot of time, money, and effort to generate profits.
As a business owner, don’t lull yourself into stupid mode when you have a nice jump in revenue because you’ve got to watch your expenses. Cash flow is tantamount.
As a consumer don’t be mesmerized by proclamations of huge revenue figures, especially when costs are not reported. Your dignity is paramount.
To lifestyle bloggers, if you are writing about how everyone should quit their jobs and follow your path, great! Just highlight what your revenue, costs, operating profits, and net profits after tax are so readers can decide for themselves whether your journey is right for them. We must compare your operating profits before taxes to our day job incomes before taxes.
Generating $60,000 online a year is solid, but if you’re only taking home $25,000 before taxes and saving no money, you might just misleading your readers and ruining their lives. Practically every full-time job in America pays $25,000 or more a year, and they come with healthcare benefits!
It’s important not to fall for gimmicks. When people try selling you the dream, know that you are already awake. Question everything before you do anything drastic such as spending $299 on an info-product, or quitting your job just because someone says so. The worst is when someone makes you feel bad about having a job, and rubbing it in your face how good their lives are.
On Untemplater, I pen a fiery post entitled, “Quit Your Job And Die Alone”. You’ll learn about four examples of online entrepreneurs who are relatively popular in their respective niches who still can’t save enough for their family, get a mortgage to buy a house, or quit their jobs even though that’s what they’re advocating.
If they can’t do it, what chance do you have? Bust open some popcorn and grab a drink, because the post is a long one. If you’ve ever had aspirations of quitting your job to be an entrepreneur online, you won’t want to miss this one!
I never thought I’d be able to quit my job in 2012 just three years after starting ONIG Financial Blog. But by starting one financial crisis day in 2009, ONIG Financial Blog generates a very strong revenue stream with massive operating profit margins because the costs are so low to operate. If you enjoy writing, connecting with people online, and enjoying more freedom, see how you can set up a WordPress blog like mine in 20 minutes. It’s cheap and easy to start. Take a look at all the income earning potential once you start your own site.
You never know where the adventure will take you. Not a day goes by where I’m not thankful for starting FS in 2009.
Open up a business rewards credit card. If you’re going to have a business, then it’s important to have a business rewards credit card to separate all your business expenses, provide you buyer protection, and give you a healthy amount of rewards. My favorite card is the Chase Ink Business Unlimited because there’s no annual fee, you get 1.5% cash back on everything, and you get a healthy $500 for free if you spend $3,000 within the first three months of opening.
Disclosure: ONIG Financial Blog has partnered with CardRatings for our coverage of credit card products. ONIG Financial Blog and CardRatings may receive a commission from card issuers. Opinions, reviews, analyses & recommendations are the author’s alone, and have not been reviewed, endorsed or approved by any of these entities. Responses are not provided or commissioned by the bank advertiser. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser’s responsibility to ensure all posts and/or questions are answered.