Online business is one the funnest and most AMAZING ways to build your dream life. BUT, it can also be scary, overwhelming and majorly competitive.
When I work with students and clients who are just starting their new business, they usually ask, “Liz, what should I do first?! Should I start a podcast? Launch a course? Build a Youtube channel? What comes first?!”.
Here’s the thing…
The business model you choose depends on how large your audience is, what niche you’re in, how much money you want to make AND how quickly you want to make it.
There’s no “one size fits all” approach.
BUT, there are some really simple basics you should know when starting your online business.
The goal of any business is to make money, so first, start by thinking of HOW you want to generate income.
Instead of focusing on building up your audience and creating content, we need to start by reverse engineering the process and deciding how we went to structure the business.
- Do you want to work with a select few clients?
- Do you want to work with several students at once?
- Do you prefer offering service packages to one-on-one customers?
What’s the strategy you want to implement in your online business?
Keep in mind, growing to $10k months is a numbers game!
If you want to create a high-ticket one-on-one coaching package for $2500, that means you only need 4 clients every month to hit your goals! That’s only 1 new client every week.
If you want to sell a $100 online course, YES it’s totally doable, but you’re going to need 100 students to sign up every month. That means you’ll need to be in marketing overdrive to make it happen!
There are 4 basic models you can follow.
You can start with a one-to-one model which includes coaching, consulting and done-for-you services, OR you can build a one-to-many model which includes products and online courses.
The fastest way to make it $10k/month in your online business is start working one-on-one before introducing a one-to-many program!
Let’s look at the pros and cons to each of the basic models.
*** By the way, if you need to help creating a launch plan, download the FREE 10k Launch Roadmap here! ***
Example: fitness coach, business consultant, life coach, etc.
Becoming an online coach or consultant is a fantastic way to get started in the industry!
Well, it requires the LEAST amount of upfront money and resources to get started! PLUS, you can charge higher prices and hit your income goals with fewer clients.
Most brand new coaches and consultants create an 8-12 week program and charge anywhere from $1000-$2500 depending on the niche.
Working with high-ticket clients means you only need a handful of new clients every month to start hitting your income goals.
Another HUGE advantage to starting with 1:1 services is that you can test, tweak and perfect a framework that can later be turned into an online course!
What’s the disadvantage of working with 1:1 clients? The time-cost.
Working 1:1 takes a lot of your time, so your income ends up being limited by how many clients you can take on at one time.
Of course this can end up being a hurdle later on in your business, but if you’re NOT making $10k/month in your business, you probably won’t run into the time-cost issue nearly as much as more established coaches and consultants.
Example: virtual assistant, social media manager, accounting, etc.
Done-for-you services means that instead of coaching people to get results, you’re 100% responsible for delivering results to your clients.
I started my online business this way by providing Pinterest management services. Instead of teaching a course or selling Pinterest “coaching”, I decided to manage my clients accounts so they could have a completely hands-off approach.
Done-for-your services are great because, similar to coaching, it’s easy and cost-effective to get started.
You have total control over how much you charge your clients so you can either create a one-time package fee OR work on a recurring monthly payment plan (which is great for financial security!).
The disadvantage to done-for-you services is obviously the same as coaching. You’re limited by how many clients you can take on and how many hours are in the day.
Basically, these services aren’t as “scalable”.
There’s also quite a bit of competition for these types of services, so creating brand-awareness will be key. At the beginning, it will important to focus on actively going out and finding clients!
Example: any self-study course
Courses are the holy grail of income for a lot of online business owners because of one reason: they’re scalable!
As soon as you create your online course, you can sell it again and again regardless of how many hours there are in the day!
BUT, there’s one major think to consider when selling courses.
Because courses take a DIY approach, it’s really important to make sure that your process or framework ACTUALLY works before putting it out into the market.
This is why I always recommend new business owners get some 1:1 client experience FIRST so they know their program will get results.
Depending on how you want to sell your course, it’s not totally “passive” income. You’ll either be launching every few months OR you’ll need to manage an evergreen sales system to continually be bringing leads through your funnel.
Both of these options take time and resources.
And, if you’re selling a course for under $1000, obviously it will take more people in your audience to hit your $10k income goals!
Course are INCREDIBLE for online business, but they work the best after you’ve proven + tested your framework.
Example: Etsy sellers, printables, etc.
Selling physical (or digital) products online can be lots of fun, especially when you love to create and design your own inventory.
This business model can include dropshipping, wholesale, print-on-demand, Etsy, printables, templates, or anything else that’s created and sent to a customer.
The downfall of the product model is that normally products are sold for a lower price which means it takes LOADS of customers to start hitting your $10k goals.
This can mean you’ll need to spend lots of money on ads!
The product market is also SUPER competitive which means you’ll need to be prepared for a longer wait before seeing any returns.
This model is better for people that have a large, established audience, OR people that are prepared to spend money on ads.
***Keep in mind the pros and cons to all method of building your online business! If you need help figuring out a launch plan, grab the FREE 10k Launch Roadmap right here! ***