Choosing the perfect business model for your online business can be one of the most exciting but also stressful parts of the process. This is why it is so important to be fully informed about what is out there and get clear on all of your options so you can make the right choice. I have found that one of the most important things to consider when choosing a business model is to think of the type of lifestyle you want and what you want to be spending your days doing. While in theory some business models seem so awesome and lucrative, if you boil it down to the logistics of it and what it takes to keep up the day to day operations, your dream biz model can quickly turn into a nightmare!
It is important to think of the skills that you already possess that you want to monetize in your business and what you are truly passionate about but that is also purposeful and provides loads of value to the world. Once you have decided what you want to monetize, get out there and do research and get inspiration from others. See what stands out to you and feels like something that you would love to do and also see if there is in fact a need for what you want to offer. After validating your idea and getting inspiration from others, you should be much clearer on what direction you want to take. Be sure not to get too caught up in this process because the world of business is ever evolving and at times what you start out with does ends up transforming into something completely different so be open and don’t be afraid to experiment with different models!
Here is a breakdown of a few different business models that you can consider:
I absolutely LOVE 1 on 1 coaching and find it can be one of the best places to start if you want to create an online business without a gigantic audience. It is also a great way to really get to know your ideal client/customer so that when you want to expand your business to other income streams, you will have had in-depth and intimate experience with the people you serve. If you do want to go into coaching, you need to be really passionate and good at working closely with people and you must be able to really deliver results. This is why it is so important to start with a skill you already have so that you are confident in your ability to help your clients. There are so many different types of coaches these days so the sky is the limit!
Here’s a recap of coaching:
- Work with people closely
- Very lucrative without a large audience
- Must be able to deliver results
- Can be a coach for anything as long as people have a need
- Can charge a range from $1000 – $50,000+ depending on the coach and their experience, market, length of program etc.
Digital Courses are another amazing way to monetize and works great if you maybe are not too crazy with working 1 on 1 with people. They can come in many different forms including videos and workbooks, audios and workbooks, just workbooks, etc. They are a form of passive income because you are able to create it once and sell it for years, with maybe a few updates along the way. It does take a lot of up front work to create it but is so worth the results. You do need a bit larger of an audience to make the same kind of income as coaching, but it can convert more easily because courses tend to be more lower priced that coaching.
Here’s a recap of digital courses:
- Passive income
- Also very lucrative, but need a slightly larger audience
- Lots of work upfront but can sell for many years
- Range between $97- up to $2000+ depending on the topic, type of course, results people can expect, etc.
Membership sites are a great way to create predictable reoccurring income that you can depend on much more than the other two methods mentioned. They can also be super lucrative but do take a lot of up keep every single month because you are most likely charging people on a monthly basis and will release a new piece of content each month. You need a much larger audience to start with compared to coaching and courses in order to make the same amount of money, but can be completely worth it if you love content creation and the idea of creating new content every month excites you.
Here’s a recap of membership sites:
- Great reoccurring predictable and passive income
- Lots of work to keep up monthly
- Charge from $10 – $200 per month or more
The last business model I wanted to mention is a combination of what I have already mentioned. It can be amazing to create multiple streams of income and drive more profit into your business while serving a wider range of your audience who are available for different price points. I recommend starting and mastering one method to start and once you feel like an expert, to move on to a more complex business model. All of these are contingent upon providing value, growing an audience and being consistent!
If you are ready to create your dream online business and finally ditch your 9-5 to live the life of your dreams, find out about my exclusive 1:1 coaching by CLICKING HERE!