$10,000. What would you do?

It really depends on so much. What are your skills and interests? What assets (other than cash) do you already have? Do you know what kind of business you want to start?

Since you're on the Warrior Forum, it's a safe bet you want to start an Internet-based business. What a lot of Warriors forget is that the Internet is a medium, not a type of business or industry. For example, when the fax machine came out, you didn't hear people go around saying "I want to start a fax business."

So what type of business do you want to start? What are your skills and interests? Hopefully, you have some idea of this.

In IM, it's very easy to get overwhelmed and distracted by Bright Shiny Objects. So here is my VERY BEST advice to newbies and veterans alike who are still reaching for success in IM:

IM is actually pretty simple: you can sell only one of two things:

1. Products
2. Services

That's it!

And selling products or services online happens in the same basic way for everyone, no matter what they're selling:

Traffic > Opt-in page > Autoresponder series (or e-zine) > Sales page

That's it! It's just that simple. (We IMers tend to overcomplicate things.)

But no matter what your niche is, or whether you're selling a product or a service, do you know what your business model is?

A business model is the framework or skeleton of your business. Essentially there are three types of online business models:

1. Membership-based model

A membership-based business model allows you to build a community of people (your members) who are as passionate about your subject as you are. Your membership fees can be monthly or annual, but either way, you're building recurring, passive income.

There are a lot of resources and information out there to help you build a membership-based business if you're interested in doing this.

2. Product-based model

Selling products allows you to maximize your time and effort by selling items over and over again. This can be hard goods or it can be information products. Information marketing is it's own business model under the product-based model. Information marketing allows you to take your brain to the bank by creating a product ONCE based on what you know and selling it over and over again.

I see someone has already recommended affiliate marketing. You can choose to market either products or services as an affiliate.

3. Service-based model

Selling services can be great for 1) generating quick cash (as in the case of article writing or video producing) and 2) establishing your expertise and getting testimonials.

However, in the long run, your goal should be to offer services at a PREMIUM. The biggest advantage of IM is LEVERAGE. You're able to leverage your time, money and expertise exponentially online. We all have just 24 hours each day. Time to get ruthless about what you expect for those hours you spend in IM each day. Expect more of yourself and more from your business friends, clients, partners, etc.

What results are you getting for those hours you spend online each day? Ultimately, your services should be at the bottom of your funnel and cost the most since they involve your time and personal attention. (We all have a limited amount of time each day.)

The fun (and confusion) comes in with all of the endless mix-and-match possibilities of the above models. If you're just starting or still struggling to make money, keep it simple:

Pick just ONE!

1. Pick ONE niche. (Something you're interested in and know something about.)

2. Pick ONE target market for your product or service. (Who will buy what you're offering? The more specific you are, the more you narrow it down, the more successful you'll be.)

3. Pick ONE business model.

And don't spend any money until you know these three things. Building a business takes money. But you can do research (a lot of it) for free. Once you know these three things, THEN you can spend your $10K building that business.

Now that you're clear about what business you're in, FOCUS!

F -- Follow
O -- One
C -- Course
U -- Until
S -- Successful

Build a list of ideal prospective clients/customers for your product/service, build a relationship with them (through regular, consistent contact) and then make an offer.

I can't overemphasize this enough: build a list, Build a List, BUILD A LIST!

In IM, it's easy to put the cart before the horse. Take a deep breath, step back and consider what type of business you're REALLY want. Don't worry about getting traffic or buying that expensive traffic product until you know 1) what your business model is, 2) what niche you're in and 3) WHO your target market is!

Successful business people will tell you that MARKETING is more than half the effort that's needed for success anyway. So pick a niche, target market and business model. Then spend most of your time and effort marketing it.

If you DON'T have a solid plan or system, THAT'S when it's hard. A good system will shave YEARS (and save you big $$$) off of your learning curve

That's why I STRONGLY recommend investing in at least one good, comprehensive IM course (or mentor who will give you such a system) instead of jumping from one $37 e-book to the next. A lot of people here complain about not being able to make any money. But neither are they willing to invest in their business. (Buying a random bunch of $37 e-books doesn't count.)

The best thing I ever did was invest in a comprehensive IM course aimed at REAL business owners, not just other IM wannabes. Yes it was $1500. (Now it's only $997. :p) But it was truly some of the best A-Z IM info I ever bought. Everything else I've learned (from the $37 e-books) since has simply been plugged into this system.

Get a solid plan or system and then work the plan!

Hope this helps!

Michelle

GMil88,

I'm facing a similar situation of what to do with some unexpected money. It's a large amount and a very happy surprise. But now, what to do with it???

I already have a business model, niche and target market. The business is ready to go and the websites are done, but I haven't launched yet, which is what I'm doing in early 2012.

It's SO nice to have some capital to work with now since my day job barely covers my living expenses and nothing else.

But my job is new and I'm just coming off of unemployment and trying to get my feet under me financially. That means I shouldn't put ALL of the money towards my business. I need to keep some in reserve for emergencies since my emergency savings were depleted during my unemployment.

If the $10K you're talking about is just money you can spend on a business, fine. But if it's the sum total of your "extra" (to cover both personal and business expenses), then it's probably not wise to spend it all on your business. Save some for personal emergencies.

Beyond that, everything else I wrote above applies. Good luck!

Michelle