This blog post is inspired on a conversation I had with a traditional business owner (let’s call him John) a while ago. When I asked him what he would do if he had the opportunity to make money just to advertise his traditional business online, he obviously didn’t understand (and probably never will) what I was talking about. I could clearly notice this by the way he said that he doesn’t “trust” the internet. People who show a lack of trust prove that they have no intention of doing their due diligence. It’s time to explain why John will always be stuck at working his traditional business 10 hours per day.
Many people who own a traditional business still believe that it’s the only way to be your own boss. BUT it’s not your fault: the big corporates have taught us to think that way. Let’s have a look at the differences between a home based business and a traditional business.
Important Factors That Influence A Traditional Business
Products: if you own a traditional business, there’s a big chance that it requires you to have products in stock. John has to drive at least 200 miles to buy products that he needs for his solar panel business.
Economy: a traditional business can suffer dramatically in an economical crisis. The government decided to abolish the subsidies in 2012 and John was forced to start installing saunas, in addition to solar panels.
Overhead costs: most traditional businesses require a building and additional investments like trucks, cars, employees, tools…
No guaranteed long term income: this one doesn’t need more explanation. The competition between traditional businesses is enormous. Instead of building a business with a future, many traditional business owners are just doing business in order to survive.
What About A Home Based Business?
A home based business doesn’t require you to stock products.
When you’re active in a niche with little to NO MARKET SATURATION, the economy will never have influence on your business. Moreover, everyone is interested in making more money and a home based business is the perfect way to achieve this.
There are no overhead costs: a home based business is an INVESTMENT in YOURSELF.
And a home based business also gives you the opportunity to generate a residual income that you can pass on to your kids.
The Difference Between A Business Owner And An Entrepreneur
Instead of trying to be someone, an entrepreneur focuses on what he or she wants to accomplish. If you own a traditional business, there’s a big chance that you only focus on SHORT TERM PROFITS: how can I sell this product or service with a profit. Most home based business owners want to ACCOMPLISH other things like freedom, travelling, empowering people, gaining recognition, offering people a different way…
What If You Don’t Own A Business?
When it comes to jobs, society needs them. Otherwise I wouldn’t have a doctor, nor would I have had the chance to study Psychology. However, if you are working a job, you should realize that your boss wants you where you are right now. A boss doesn’t want you to dream of freedom, travelling or financial security. He or she will NEVER offer you the opportunity to make more money than him or her. Regardless of the amount of work that the people at the top put in, they will always make the most money. Doesn’t that sound like a pyramid scheme to you?