I want to make it clear that I am not teaching you how to business, and you shouldn't take my examples as a how to course. A business is a gamble, and not every business guarantee success. If you find my blogs helpful please continue reading and use it as a reference.
Doing business consist of strategy and luck. Like a poker game, we can be the master of the game, but if our hand is bad, we must work harder in exercising our strategy techniques. I stumble into business based on luck, so often times i have to remind myself to learn as much as I can before my luck runs out. If you are given the opportunity to do business, you better know what you are doing, because this game can't run on luck forever. It is a roller coaster ride and when it goes downhill, It can take you and everything around you with it.
Capital is the cored of a business. In order to make money, you need to spend money. The idea here is to spend as little as possible but make a profitable gain. I know a lot of smart people who can run a successful business but with no capital.
If you don't have capital, how are you suppose to start your own business? That all depends on what you want to do. Business is a transaction between you and another person. Knowing what you are going to sell is already half of the battle.
I started off with no capital. Doing business never crossed my mind. I always thought that business were for people who are already rich to become richer. I first started by doing wholesale. Wholesale is basically buying a large amount of products from a company at a discounted price so you are able to make a small profit by selling it to your customers. I did it because i wanted discounts on a certain brand i like, i didn't care for profit. The more I started contacting businesses and doing wholesale for them, I developed not only a client to client relationship but a relationship with the business as well. The more i sell for them the bigger discount they gave me. It was a win win situation because It is building up my own group of loyal customers, and I am getting paid for it. It's kinda like earning a commission, but no one has to know who you are getting the products from.
The best place to start wholesaling for is a company that can provide a lot of different products. The more product the company provides the more you can offer your customer. This will attract different types of customer who are interested in different things. Since you are getting a discount on the products, give your customers a discount as well. Give them an incentive to buy from you.
Since I didn't have a starting capital, i did a pre-order. Pre-order is an open order for whoever wants to join, and when the pre-order reaches a certain goal, the seller will submit the order. That way you don't have to put out the money to buy the stuff upfront, and still be able to sell the products.
This is the end of my first lesson on business. I hope you guys find it helpful. Please stay tune for Business 102.