People are so impatient nowadays. Fast, faster, fastest... instant gratification is the name of the game. They want overnight success ("before breakfast" preferably!). But that is simply not part of building a business from scratch. A real business takes time and effort.
Yes, even online ones. So many Netrepreneurs somehow think that the Internet suspends fundamental laws of the business world. While building a business online does involve less risk (you don't have to mortgage your house!), it still takes real "sweat equity" to build a business that generates long-term, evergrowing profits.
Elad Shippony, a successful SBIer, says it so well in this 1-minute video.
Even seasoned business people succumb to "the lure of the speed of the Web"...
I had an interesting conversation with a friend, a successful Montreal real estate developer, the other day. She wanted to start a site that would make her company the "Montreal real estate development" epicenter, connecting international investors with local developers.
Great idea. Tight niche. Winnable. High Return On Investment monetization models.
"So Ken, how long would it take?"
"About 3 months to start seeing some traffic, 6 months to be growing solidly, and you'd be well known in a year. In 18 months, you would absolutely own that space. You would be the "go-to" person for Montreal developers to sell their projects internationally, and vice-versa you would also be the entry door for international investors looking for strong opportunities in Montreal."
Her reply? "That long???"
"Well, maybe faster if you put 20 hours per week into it, but let me ask you something. Consider the last real estate development you did..."
"How much money did you make while looking for a property, finding it, optioning it, clearing all the legals, and then closing on it?"
She answered... "Nothing, of course."
"It cost you time and money, right? And how much did you make when you broke ground and dug the hole?"
"Uh, it actually cost us quite a bit."
"And did you make a lot while pouring cement and building the structure?"
Silence.
"And how much money did you make while doing all the finishing work?"
Chuckles.
"How about while advertising and promoting, yet all you could collect was deposits?"
She answered, laughing... "OK, OK, OK... I get it. Actually, we're 3 years in and we're finally at break-even, Ken. And when we sell the final units, we make our money."
"Yes, and then you have to start all over, with no more money to be made from that development. Your Web site, however, will keep on earning and growing and earning some more. It's a brilliant concept, but the basic laws of business still apply to the Internet, albeit with far less financial risk. You have to invest to build the foundation for future rewards."
Bottom line?
Owning and building a business, whether it's online or offline, takes work, especially in the first few months. Develop what I call "The Winning Entrepreneur Mindset"...
Realize that you invest time (at less than minimum wage) and energy upfront now to build what will be a thriving business that yields long-term, evergrowing dividends later. You are not a 9 to 5 employee, sitting in your safe little cubicle, earning your safe little paycheck (although you can keep that job while building your online business).
You will make as much money as you deserve, through the sum of all your good decisions and hard work. The harder and better you work, the sooner will your Web business yield profits. Long-term profits that grow steadily and that ultimately enable you to quit that day-job and earn you more "per hour" than you could have dreamed.
"Slow and steady" wins the race.
All the best,
Follow Ken at Twitter
Hi Ken-
Great advice. Your article reminds me of a former client who wanted the world, and wanted it yesterday. He absolutely did not understand why he had to explore his site concept, research and brainstorm his potential niche keywords, and then build his site. He would not (could not?) listen to any advice to save his life.
You'd think after two years of banging his head against the preverbal wall, he'd finally realize that it not only hurt his head, it hurt his pocketbook!
When I'm putting in those 20 hour days, I know the payoff will taste mighty sweet.
Chris
Posted by: Christopher Nalty | March 07, 2007 at 05:37 PM
Ken:
This is great, may I quote you on my Affilate page?
Add this to it?
Posted by: Monte Russell | March 08, 2007 at 01:04 PM
...hmmm!
The quick success mindset is result of the hype that has been hovering upon the internet. Not a single day passes when you don't hear the stories of richness from experts of all kinds. There are 'a looot number' of gurus who can teach you to make money on others' costs.
Another factor is more interesting...
The internet is a real like world but not a real world with tangible process. You can see the cements, bricks and other material working before your eyes to build a shop. However, you have to depend upon the promises/guarantees to build a successful shop on the internet.
And it becomes very difficult when their is a lot of noise.
The SBI is revolutionaizing...
It demands tortoising but gives tangile results in the shape of increasing money checks once you pass through the building years.
That's why I give full marks to Ken's advice about putting the noise blinders while building with the SBI.
Posted by: Saqib | March 08, 2007 at 01:27 PM
This was perfectly timed. I was having a bad week, after months of preparation my site has been live for about 5 weeks (I know, no time at all) and suddenly I became beset with doubts. The dialogue went something like this.....
"Ive got no traffic, I'm never going to get traffic, I've wasted months and tons of energy on this, its doomed to failure, there is collective insanity at SBI....etc etc"
Then I read this and felt calm and inspired again.Off to write more content now...
Thank you!
Posted by: Paula Fitzpatrick | March 09, 2007 at 05:59 AM
Thank you Ken!
I once was that real estate person and I know the frustration of all involved in building a real estate business!
I'm a newbie to SBI, but I'm already experiencing the personal rewards of building a solid business and with a topic that is important to me and to others. I am encouraged when I read these articles and know others have traveled the same roads. I'm not alone.
Thank you for this opportunity, Ken!!!
Helena
Posted by: Helena Jackson | March 11, 2007 at 05:40 AM
Ken,
This is a great little piece - an antidote to the get-rich-quick mentality of the Net.
This mentality has sent many an honest, yet innocent, bloke into the hands of scam merchants.
A real honest piece that should prepare the mind of any one venturing into e-commerce.
Adolf
Posted by: Adolf Agbormbai | March 13, 2007 at 09:42 PM
Dear master ken,
I usually follow the tortoise method.But After search over the net I lost my patience then I found "Quick rich scheme" many Over the Internet.But my instint didn't allow me. Finally I found you dear master where my instincts get satisfied.I using blog now Soon I will join with SBI! Journey. Apart from that Entrepreneur mind which erased my "taste of Ignorance" . Thanks for your support.
Posted by: vimalathithan | March 14, 2007 at 11:41 AM
Hi Ken,
I almost signed-up to become an "eBiz Marketing Consultant" (not that this is a bad thing) and stumbled into SBI! through my research on online marketing opportunities. BOY, am I glad I found you.
There's so much to learn/earn with your program. I'll be an SBI'er pretty soon.
Thank you for the opportunity.
Posted by: Jon Bianco | March 16, 2007 at 06:46 PM
Good morning from Australia, Ken!
It's 9am Sunday morning and I just finished writing an email to a new client, titled, "My website just launched, now what?".
I was telling them how proud I am of their ability to take the step to build the site, and now they need to think of the long-term goals.
To get traffic they need to create CONTENT, good interesting content for their website visitors, and I explained a few different ways they could do this, and that after a few months they will start to notice the benefits of new traffic. [I recommended a weekly article, at minimum.]
I love helping people reach their goals, so it felt good to give my client some simple steps to follow.
I was sitting here thinking I just need to read something inspiring, so I popped over to your blog for the first time.
WHAM! BAM! SHEZAM!
This article is perfect! Just what "I" needed to hear! It's great to help others, but sometimes I need inspiration from someone else, someone with integrity [and without the GRQ pushiness], and today you have delivered a message to me which I needed to hear.
I'm one of your newbie 5P's, and every day I'm learning something from you which I'll be able to use now and when I become an SBI'er [very soon!].
Thanks a gazillion, Ken!
PS : Would I be able to put your article on my site [with a link back of course]?
Hope you're having a faaaabulous day!
Ciao ciao,
Teena!
http://BuildAWebsiteTonight.com
Posted by: Teena Hughes | March 31, 2007 at 07:15 PM
Wow! Very helpful tips to grow any business. Will blogroll it on my blog. thx.
KS
http://www.kingsglobalservices.com/blog
Posted by: Kingsley | September 07, 2007 at 07:59 PM