April 2nd, 2008
All Business owners have a common trait; it is a “Business Owners” mind-set. If you are considering starting a home based business, you better develop “Business Owners” mind-set.
Are you considering a Home based Business Opportunity? Remember, a Home Business Opportunity, is just what it says. It is a Business. It is Not a job.
All Home Business Opportunities require a “Business Owners” mind-set and not an “Employee” mindset.
An employee has the mind-set that if he starts a new job with a pay rate of $20.00 an hour, works 40 hours his first week, he has earned $800 and he wants his $800.00. A Business owner has the mind-set that if he starts a new business, he may not show a profit the first week; maybe not even for the first several weeks or even months. Jeff Bezos had a “Business Owners” mind-set. In 1994, he left his $1 million a year job as an investment manager with the intent of starting a business on the Internet. Seven years later, in the 4th quarter of 2001, Amazon.com posted its first profit; $5.1 million.
One of the reasons over 95% of the people attempting to start a home based business fail is that they still have the “Employee” mindset. In defense of those who failed in their attempt to start a home based business; it’s not their fault. All too many “Home Business Opportunities” paint a pie in the sky picture promising all you have to do is join their program and you are immediately going to have untold riches. They show pictures of beautiful homes, expensive cars, exotic vacations, etc. “Just join our company”, they say. They don’t tell you that it takes time and some money to build a successful business. I am not to saying that you can’t have all those things by starting your own business. It’s just not going to happen over night. Hopefully, it won’t take you seven years as it did for Jeff Bezos.
Amazon did make sales during those first seven years. Its 1996 revenues showed $15.7 million in net sales and a net loss of $5.7 million. By the end of 1998, Amazon.com reported total sales of $610 million and had a net loss of $124 million. Do these losses mean that Jeff Bezos was not a good businessman? Absolutely not! It means he had a “Business Owners” mind-set. He knew that a growing business required putting money back into the business. He knew that a starting a business would require not only his initial investment, but it would require ongoing operational expenses for growth and expansion. If he had an “Employee” mindset, he would have gone out of business the first year. If he had an “Employee” mindset, there wouldn’t be an Amazon.com today. And he would not have the Net Worth of $4.3 billion that he has today.
What about all the companies that show people earning tens of thousands of dollars a month after only being with the company for a year? Is that really possible? It is if they have a “Business Owners” mind-set. Let me give you an example. Mike Mastroianni is a former Federal Agent and, like Jeff Bezos, Mike has “Business Owners” mind-set.
In May of 2005, he got involved in his first home based business. He lost about $8,000 and almost lost his marriage. Beginning in 2006, he joined several more companies. He wondered how he could ever expect to resign from his Federal job with a young family, without having any financial security. He discovered a company called ITV Ventures in September of 2006.
In September of 2007, Mike resigned from the Government after nearly 12 years as a Federal Agent. Mike says. “My wife and family thought I was certifiably NUTS, especially with 2 young children, but I had the opportunity of a lifetime and I had to go for it!” Mike goes on to say, “I am currently making more money, in any given month than most people make in an entire year! Mike was featured in the Fall 2007 issue of the ITV Ventures Magazine. If Mike had an “Employee” mindset, he would have given up after his first attempt at starting a home based business.
As in any business; there will be start-up costs and there will be ongoing costs. If you have a “Business Owners” mind-set, you will accept that. If you have an “Employee” mindset, you will ask “Why”?
If you opened a brick and mortar business such as a restaurant or a retail store, your start up cost would include leasing or buying property, equipment, fixtures and inventory. In addition to start-up costs, all business will have ongoing or operating costs such as payroll, licenses, advertising and other costs of doing business. Fortunately, a home based will not require any where near the start up and ongoing expenses will have. It will require a “Business Owners” mind-set.
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