The Attraction of Starting an Online Business

The Attraction of Starting an Online Business

Today, anyone who is in business has to operate online in some form. It's indispensable, the website being like a shop window through which anyone can look at your goods or services and decide whether they wish to buy or hire as appropriate. Not operating online makes it harder to compete in a world in which consumers want access to everything at their fingertips and they want it now. To compete, you have to be online.

Operating only online

Some businesses operate online and have become hugely successful. One of the most notable, of course, has been Amazon. The store started its early days as an online bookstore but quickly began to diversify, making it possible to buy all sorts of items on the internet at a cheaper price.

Alibaba is another famous name that operates online only, with a real focus on China. The platform serves as a global wholesale marketplace and enables small business owners to reach individual consumers. They can sell to shoppers all over the world, especially to ones in Russia, the US, Brazil and Spain.

Starting up an online business

Starting an online business is an absolutely thrilling venture, but people have a wide range of reasons why they want to do it. Here are some of the main ones:

- Limitless earning potential: no one decides how much you earn but you.
- Passive income: you can earn money while you sleep, instead of earning money in exchange for your time.
- Low costs to start up: investing in a brick-and-mortar business is so much more expensive.
- The chance to follow your passions: you can work on tasks and projects that inspire you, rather than on ones that increase someone else's bottom line.
- Freedom of location: you can travel if you wish to and don't have to always work in an office. You can also take time off when you want, rather than battle with other employees for days off.

What you need to start an online business

When starting up your online business, there are a few tools you're going to need to help make the business a success.

Web hosting

Obviously, you're going to require some sort of website. To do this, you'll have to invest in some web hosting, which will provide the facilities for you to create the website.

Content management system (CMS)

A CMS is important to help you build the website. You can also host a blog on there, on which you can post articles that convey your expertise in your industry to your customer.

Shopping cart

If you're going to sell items online, customers require a way to browse them and find out about them. A shopping cart is necessary for this. Many connect to merchant accounts so that the business owner can accept a variety of payments.

If you are selling products on your website, you must include a shopping basket where customers head to check out.

Social media management

Social media is an important way to connect with others and build your community, which is crucial for a business. It's possible to use social media as a tool to reach a wider audience and generate business, and to employ as a customer service tool and offer better customer service.

Successful startups

Some entrepreneurs have taken the plunge and created some very successful startups. Shoe Dazzle is one successful startup that, despite a few bumps along the way, went on to great things. This online styling platform helps women find shoes, clothes, bags and more.

Another business that's enjoyed a powerful rise has been 888ladies, an online bingo provider. The business, not to mention the game of bingo, has benefited immensely from the arrival of the internet. Bingo had been in decline as people began to find it stale, but the transition to online bingo has helped breathe new life into the game. A tech-savvy generation has discovered a passion for bingo and have even been visiting the bingo halls and other venues that offer bingo, albeit a more jazzed-up version in some cases.

The importance of licensing in some industries

Depending on the industry the business is operating in, it may have to apply for a licence. For instance, a business in the alcohol industry or entertainments industry would need a licence for some or all of the following purposes:

- To stop crime and disorder
- Public safety
- To protect children from harm
- To avoid a public nuisance.

Importantly, the licence ensures that the business operates within a legal framework and that, in theory, the business is following best practice. Just as essentially, the business's licence helps to make it accountable for its actions.

Licensing does so much more for a business owner, however. Holding a licence protects the business owner by creating protection for it by the law because the business is operating legally. The licence also protects the owner by helping them to become separate from their business. The company's taxes and the taxes the business owner pays as an individual are two different things.

Not only this, but the licence builds trust with customers. If a customer knows a business has a licence to operate in its industry, they'll be more willing to trust the business. The licence is proof the business is responsible and committed to delivering its best for the customers.

Starting an online business is a real adventure, but it's perfectly possible to make a go of it and succeed, as Amazon and several others have proved. Choose the right tools to help you set up your business. Then give it your all and you can really make it work.