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Sunday, 19 May 2013

Impossible To Start Online Business With No Budget

Most new bloggers or internet marketers think that they are smart enough to build an empire of online business with no budget. This is not something that is astonishing to know because all internet marketers want to minimize their budget to maximize their profit. After all, that is what a business is supposed to be. Experienced internet marketers know this is not a smart strategy and everything comes with a budget.

I was among the foolish internet marketers back in the days. I thought that with almost everything is ready and free online, I can start an online business without any budget.

Everything needs payment. The computer, the internet connection is for starters. Online business can’t be performed without these basics. There will be some other price to pay when you are just getting started.

We are considered lucky to have free emails, free web hosting and free social networks. Learn to appreciate these free tools because everything else will be paid.

It is NOT truly impossible to startup with no budget. I can see two kinds of website on my Facebook page that uses free materials to build their online business. These two businesses use fashion as their niche and the other one ride on an ecommerce website called which is very popular in Malaysia.

But using these techniques has their own consequences. I am not saying that these techniques are bad. In fact, it is a very good technique if it is done properly. Let us take a look at the examples.

The fashion blog
Some sample of the fashion blog
It is not actually a blog. These people use as their web host and looks like a blog in their first impression. But when viewed carefully, it is actually an ecommerce website build using
These websites are decorated nicely (because it is about fashion) with girly stuff and are filled with clothes for sell.

When I first saw this website, I think it is creative and a genius work. Well, at least the site owner does something to earn money and not a lazy ass that just prefer to watch and do nothing!

The downturn of this kind of online business is they only can promote their stuffs for their friends online especially Facebook friends. It is much easier to sell stuffs to their own friends because their friends trust them and the stuffs sold are easier to deliver.

Another problem is it’s very hard to get customers even if their Facebook friends are really known to them. Not all people want to buy clothes every day. Some marketers waited up to six months to have a customer.

Your guess is as good as mine. Most of these online businesses didn't last very long. The main reason is very low customers are buying from them.

Selling on e-commerce website
This is something like selling products on ebay. In Malaysia, most people prefer Mudah because it is a local e-commerce site. As we all know, this is also a type of online business.

When people use Mudah, they sell mostly their own items or stuffs. It can be used or brand new. Used stuffs are still valuable in Malaysia because not all people afford to buy new property.

Again, the downturn is the low volume of customers who wants to buy the product. What these people do is, they post their item online and wait for a miracle to happen.

Fraud cases are also happening in Mudah. This makes things worse for an online business because it can scare the customers away. 

Morale of the story
Yes, these online businesses can make money but cannot make a living with it. The idea is great but going cheap or free is making it difficult. The thought of trying to outsmart the online business system is a bad thing to think about.

You really need some budget to get your online business going and running. It is hard to compete with the big boys but you don't have to do that. Who are we when thinking to compete with Adidas, Nike, Coca-Cola and KFC. Don’t compete, create a new one.

If you think you still can outsmart the online business system, well think again. Below is the list of things to do when starting an online business WITH budget.

1. Web Hosting
2. Domain purchase
3. Web design
4. Email autoresponders
5. Marketing/Advertisements

These are the basics. If you have the specialty, you can skip web design. Free web hosting can be considered but that is how far you can go. Read back the fashion blog story. It will take you nowhere when trying free stuffs for your online business.


Don't be a cheapskate in building an online business. We are trying to make money with money. Some services are free and good to use but some are not. Stop feeling skeptical about purchasing online products.

To learn blogging, for example, you need the information. You buy books about blogging. Some of the books or information you need can only be purchased online. That is how you invest. I know you have the budget but most of you are afraid to spend it even if it is for your own good.

It is understandable that some of us are budget tight but think this as an investment. It is your online business anyway, not mine or someone else. No one will profit from it besides you.  

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  1. “There will be some other price to pay when you are just getting started”—exactly! Starting a business always need a capital, regardless how minimal it is. The thing is, as a business owner, you'd have to maximise every cent you have invested. Loan can be an option for as long as you are eligible for one. Anyway, thanks for sharing your thoughts with regards to this matter. Appreciate it a lot.

    1. yep, nothing is free bro...wait, there is...its called scam lol

  2. Although online marketing is costly but if used properly it can give even better rewards to you. But yes it needs a lot of capital to start off an online business. Great post. Thanks a lot.

    Online Business

    1. there is nothing wrong investing in something that can make you money

  3. Very creative ideas. But we also need to keep in mind that having an online business have huge risks involved. Online businesses are prone to hacking so a lot of owners resort to acquiring an online business insurance just to be safe. Hackers are becoming very creative nowadays.