What do I need to know to build an online business ?

[Pedro Henrique]

Hey there !
Guys, I don't have any skills to build an online bussiness(I started to learn to programm in java recently). But I would like to know the path to do it. Appreciate so much any advice that can help me open my eyes to this kind of bussiness.

 

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[Scot]

First, have you read the book? If not, do that first. The second part of your post will be answered by this.

Then, read this thread below and see if you want to rethink that question.

Fastlane - What is needed to start a online company?

 

[Pedro Henrique]

First, have you read the book? If not, do that first. The second part of your post will be answered by this.

Then, read this thread below and see if you want to rethink that question.

Fastlane - What is needed to start a online company?

Yeah, I have read the book, and still using it. I like to read some things again.
I've read the thread, and I got it ( I should search first before post, got it). But what I really want to know is what skills is essential to have to do well in this field (online bussiness). Like I am currently learning algorithm and java programming, that give me a good notion about the mobile apps, how they work, why they are valuable (before this, I thought stupid a person become billionaire just because they build an app, like whatsapp. Now, I know what is behind the app, know they value)

 

[Scot]

There is no real answer to that.

We have 1 guy here @Fox who is building a web dev agency after learning to code.

We have @Ravens_Shadow who brought in a dev to build out state of the art software.

You don't need to code to build a software or app company.

It all depends on what you want to do and most importantly

What NEED you're solving.

 

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[JAJT]

There's a million answers to this question but if you better defined it you'd have a lot of great resources on the forum.

Importing and selling physical products online?
Building a SaaS service?
Subscription Box?
Drop Shipping?
Affiliate Marketing?

The list goes on. Almost all businesses these days have online aspects that can be leveraged. I'd suggest picking one you think is appealing and going from there.

 

[Pedro Henrique]

There is no real answer to that.

We have 1 guy here @Fox who is building a web dev agency after learning to code.

We have @Ravens_Shadow who brought in a dev to build out state of the art software.

You don't need to code to build a software or app company.

It all depends on what you want to do and most importantly

What NEED you're solving.

I understand. I think that is intersting I learn to code (it takes time, I recognize. But I dont have any other choice, because I dont have money to invest or outsource).
I also understand about find a need, solve the problem and cash in. My problem is that I am currently not finding any need. Meanwhile, I am trying to educate myself in a good field that there are a lot of opportunities (like online bussines, technological bussines). I expect when I find a need I will be prepared to it.

 

[Pedro Henrique]

There's a million answers to this question but if you better defined it you'd have a lot of great resources on the forum.

Importing and selling physical products online?
Building a SaaS service?
Subscription Box?
Drop Shipping?
Affiliate Marketing?

The list goes on. Almost all businesses these days have online aspects that can be leveraged. I'd suggest picking one you think is appealing and going from there.

Appreciate the advice, man. I am as lost as a nun on a honeymoon when it comes to choose a bussines.

 

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[TheDillon__]

This is a question I've been working on myself recently. (I'm trying to keep a log of my journeys, struggles, thoughts, etc. as I go throughout building a successful business. Goal being to write a FAT book on the process with a massive amount of detail.)

Anyway - there is, luckily, a blueprint we can follow to get started. Let's have a look!

Step 0 - Read TMF . But you've got that covered. Good on you.

Step .25 - Read my book! It goes into detail on how to create solid, concrete, and measurable goals for yourself, and giving you a mindset to produce success ten-times-over. I'll leave the title unknown due to the rules, but you can PM me for more info.

Step 1 - Okay, so let's *actually* get started. The first step in starting a business is, of course, to find a hole or find a problem.

A problem is what someone encounters whenever they are unsatisfied with an existing product or service. Jim was tired of waiting 15 minutes for a taxi, getting charged different rates with every ride, and rude/smelly drivers. Uber solves this problem.

Karen was tired of having to leave her home, drive to the video store, decide on a movie she may not like, pay for it, then have to worry about rewinding it and possibly paying nasty late fees. Netflix solves this problem.

-

Alternatively, we encounter holes when a product does not exist for a given market, *and there is demand for it.*

Keep that last bit in mind. You have only found a hole if 1. A product doesn't exist. and 2. There is a demand for it.

It makes no sense to create something like...sandpaper bedsheets for example. Sure they don't exist, but that's because no one wants them.

So how do we go about finding a problem or a hole? I have, with the help of the forum, collected a few ways in which you can find an idea to work on.

A. The Sherlock Method - This is probably one of the most commonly misinterpreted methods of finding a hole or a problem that you'll see. In order to use the Sherlock Method, we must first choose a market that we feel is in need of help, or is rapidly growing.

It's common to start with niche markets that you're already a consumer in, because you'll have a more direct insight.

For me, I noticed that I fit the following niches: Language learner, ereader user, avid reader, vegan, coffee enthusiast, actor, and many others. Upon looking further into my interests, I decided that the language learning, and vegan markets are on the up up up, so I will target these.

(Alternatively, if you have no interests, find some! Pick up a copy of Josh Kaufman's "The First 20 Hours," pick a new hobby/skill, and learn a new thing every two weeks. As a general rule, you should have one hobby that grows your mind, one that grows muscle, and one that grows money. I cover this in my book.)

Next, you simply partake in that hobby or market! I go shopping as a vegan every time I go out to eat or get groceries, I visit forums for language learning, and purchase language courses. This allows you to see where the current market is at.

Now, once you're immersed. Ask yourself. What's missing? How can this be better? Is there any way for this to be improved? What do I find myself getting frustrated about?

Now you've come to the conclusion that without a wide array of microwaveable vegan breakfast burritos, your life is sad and disappointing. Congrats - you have an idea!

(Note - this is very different from your crazy uncle Gary telling you all about this idea that he has for cup holders in NASCAR vehicles. There is some semblance of a process here.)

B. The Ask Method - This works best if you have an email list built, or you've bought/rented one from someone.

Popularized by author Ryan Levesque in his book "The Ask Method," this method involves simply asking people what their pain points are in a series of small surveys. Based on their responses, you can narrow down the pain points of your market and categorize them into different 'buckets.' The buckets with the most people in them are the ones that you should target.

C. The Foundation Method or Idea Extraction - Same thing, different name. Popularized by Dane Maxwell and his course 'The Foundation.' Basically a small combination of the above group.

First, you choose a market that's ripe for innovation. Except this doesn't have to be one that you fit personally. It can be anything! A friend of mine, when he was 19, chose Yacht Brokers as his target.

Secondly, Get a list of phone numbers (yes, phone numbers. Don't bother with email.) of people in this market.

Third, start calling and asking for their pain points. Essentially, you're cold calling everyone on that list saying "Hey I'm Dillon, an entrepreneur looking to make life as a yacht broker even sweeter. Just a quick question - what is something you have to do multiple times a day that feels redundant or unnecessary?" There are a multitude of leading questions you can use.

Two weeks of calls, and my friend gets a solid idea on a software that the brokers could use to manage their forms online - however this was left unpursued. (Maybe I should sneak in on this?)

Further, @Young-Gun has a wonderful thread where he keeps up on his success with his SaaS business, in which he primarily used the Idea Extraction method.

-

2. Phew - that's a lot of words for only two thumbs. Let's keep going.

Step two. Validate your idea to yourself. Here's the part where we answer the question 'is this even worth pursuing?'

A. First - run it by yourself. There are a few self-checks you can do to see if this idea is worthwhile.

Let's run our idea through the CENTS requirements outline in TMF .

* Is there a solid NEED for this solution? Are people actually whining and clamoring for this to exist?

* What is the barrier of ENTRY like for us? How easy is it for us to get started? The barrier of entry to starting a tshirt business is low, because anyone can have a Printful account and a Shopify store set up in a single day.

However, language courses have a high barrier to entry, because you first must have a competent command of the language you're teaching!

* How much of your process would you CONTROL?

With a tshirt business, you have no way of guaranteeing (really guaranteeing) whether your shirts will be in stock, how long shipping will take, or whether or not the service you're using will be in business next month!

However, with a SaaS business, it's likely that you own the software, you control your advertisements, you can handle customer growth and development. You've got full control.

* Is your business prone to SCALE?

To what level can you grow your business? Say you start doing appliance repairs in your city - fixing broken washers and microwaves. That might be good, you might be making good money but you're limited to the number of people in the area that you serve! You can't help fix the microwave of someone in Tallahassee if you're in Chicago!

* Do you own your TIME?

Let's say you own a pie baking shop. You love pies and you wake up early to bake fresh pies for hungry customers every day. Business is good, and you make great money.

But what happens when you get sick? There's a loss in the family? Or you just need some you time? You have to close up shop - and that's a day you don't make money! Your business is completely dependent on your time!

Make sure you own all five categories with your idea.

-

B. The Millionaire Matrix. Take a piece of paper and draw a little 2x2 square. On the top write "Small need / Big need" and on the left side write "Small marker / big market."

Where does your business fit?

Small need x Small market = No success
Big need x Small market = Millionaire success
Small need x Big Market = Millionaire success
Big need x Big Market = Billionaire Success

Make sure you're in a square that best fits your goals.

-

C. Purple Cow. When you see the first cow you've seen in a year, it's pretty exciting. However after miles of nothing in cows. It gets pretty boring. However - a purple cow? Now that'd be something worth talking about!

Make sure your business is, at its essence, something worth spreading and mentioning.

-

STEP 3. BEEN TYPING FOR 45 MINUTES LETS GO. Step three is validating your idea to everyone else. This can be done in a few simple ways.

I'm running to the store, but I'll make an edit when I get back to continue.


Sent from my iPhone using Tapatalk

 

[Ravens_Shadow]

I understand. I think that is intersting I learn to code (it takes time, I recognize. But I dont have any other choice, because I dont have money to invest or outsource).
I also understand about find a need, solve the problem and cash in. My problem is that I am currently not finding any need. Meanwhile, I am trying to educate myself in a good field that there are a lot of opportunities (like online bussines, technological bussines). I expect when I find a need I will be prepared to it.

I'm doing all of my software without much of a cash infusion (40 bucks a month to run our services). I pay in equity and brought on a coder I've known for years as a partner. However, you just need to bring someone on and draw a fine line between what they do and what you do. Make sure you compliment each other. I certainly wouldn't EVER "outsource" a very important piece of software. At least in the industry I'm in. They've gotta be all in.

 

[Pedro Henrique]

This is a question I've been working on myself recently. (I'm trying to keep a log of my journeys, struggles, thoughts, etc. as I go throughout building a successful business. Goal being to write a FAT book on the process with a massive amount of detail.)

Anyway - there is, luckily, a blueprint we can follow to get started. Let's have a look!

Step 0 - Read TMF . But you've got that covered. Good on you.

Step .25 - Read my book! It goes into detail on how to create solid, concrete, and measurable goals for yourself, and giving you a mindset to produce success ten-times-over. I'll leave the title unknown due to the rules, but you can PM me for more info.

Step 1 - Okay, so let's *actually* get started. The first step in starting a business is, of course, to find a hole or find a problem.

A problem is what someone encounters whenever they are unsatisfied with an existing product or service. Jim was tired of waiting 15 minutes for a taxi, getting charged different rates with every ride, and rude/smelly drivers. Uber solves this problem.

Karen was tired of having to leave her home, drive to the video store, decide on a movie she may not like, pay for it, then have to worry about rewinding it and possibly paying nasty late fees. Netflix solves this problem.

-

Alternatively, we encounter holes when a product does not exist for a given market, *and there is demand for it.*

Keep that last bit in mind. You have only found a hole if 1. A product doesn't exist. and 2. There is a demand for it.

It makes no sense to create something like...sandpaper bedsheets for example. Sure they don't exist, but that's because no one wants them.

So how do we go about finding a problem or a hole? I have, with the help of the forum, collected a few ways in which you can find an idea to work on.

A. The Sherlock Method - This is probably one of the most commonly misinterpreted methods of finding a hole or a problem that you'll see. In order to use the Sherlock Method, we must first choose a market that we feel is in need of help, or is rapidly growing.

It's common to start with niche markets that you're already a consumer in, because you'll have a more direct insight.

For me, I noticed that I fit the following niches: Language learner, ereader user, avid reader, vegan, coffee enthusiast, actor, and many others. Upon looking further into my interests, I decided that the language learning, and vegan markets are on the up up up, so I will target these.

(Alternatively, if you have no interests, find some! Pick up a copy of Josh Kaufman's "The First 20 Hours," pick a new hobby/skill, and learn a new thing every two weeks. As a general rule, you should have one hobby that grows your mind, one that grows muscle, and one that grows money. I cover this in my book.)

Next, you simply partake in that hobby or market! I go shopping as a vegan every time I go out to eat or get groceries, I visit forums for language learning, and purchase language courses. This allows you to see where the current market is at.

Now, once you're immersed. Ask yourself. What's missing? How can this be better? Is there any way for this to be improved? What do I find myself getting frustrated about?

Now you've come to the conclusion that without a wide array of microwaveable vegan breakfast burritos, your life is sad and disappointing. Congrats - you have an idea!

(Note - this is very different from your crazy uncle Gary telling you all about this idea that he has for cup holders in NASCAR vehicles. There is some semblance of a process here.)

B. The Ask Method - This works best if you have an email list built, or you've bought/rented one from someone.

Popularized by author Ryan Levesque in his book "The Ask Method," this method involves simply asking people what their pain points are in a series of small surveys. Based on their responses, you can narrow down the pain points of your market and categorize them into different 'buckets.' The buckets with the most people in them are the ones that you should target.

C. The Foundation Method or Idea Extraction - Same thing, different name. Popularized by Dane Maxwell and his course 'The Foundation.' Basically a small combination of the above group.

First, you choose a market that's ripe for innovation. Except this doesn't have to be one that you fit personally. It can be anything! A friend of mine, when he was 19, chose Yacht Brokers as his target.

Secondly, Get a list of phone numbers (yes, phone numbers. Don't bother with email.) of people in this market.

Third, start calling and asking for their pain points. Essentially, you're cold calling everyone on that list saying "Hey I'm Dillon, an entrepreneur looking to make life as a yacht broker even sweeter. Just a quick question - what is something you have to do multiple times a day that feels redundant or unnecessary?" There are a multitude of leading questions you can use.

Two weeks of calls, and my friend gets a solid idea on a software that the brokers could use to manage their forms online - however this was left unpursued. (Maybe I should sneak in on this?)

Further, @Young-Gun has a wonderful thread where he keeps up on his success with his SaaS business, in which he primarily used the Idea Extraction method.

-

2. Phew - that's a lot of words for only two thumbs. Let's keep going.

Step two. Validate your idea to yourself. Here's the part where we answer the question 'is this even worth pursuing?'

A. First - run it by yourself. There are a few self-checks you can do to see if this idea is worthwhile.

Let's run our idea through the CENTS requirements outline in TMF .

* Is there a solid NEED for this solution? Are people actually whining and clamoring for this to exist?

* What is the barrier of ENTRY like for us? How easy is it for us to get started? The barrier of entry to starting a tshirt business is low, because anyone can have a Printful account and a Shopify store set up in a single day.

However, language courses have a high barrier to entry, because you first must have a competent command of the language you're teaching!

* How much of your process would you CONTROL?

With a tshirt business, you have no way of guaranteeing (really guaranteeing) whether your shirts will be in stock, how long shipping will take, or whether or not the service you're using will be in business next month!

However, with a SaaS business, it's likely that you own the software, you control your advertisements, you can handle customer growth and development. You've got full control.

* Is your business prone to SCALE?

To what level can you grow your business? Say you start doing appliance repairs in your city - fixing broken washers and microwaves. That might be good, you might be making good money but you're limited to the number of people in the area that you serve! You can't help fix the microwave of someone in Tallahassee if you're in Chicago!

* Do you own your TIME?

Let's say you own a pie baking shop. You love pies and you wake up early to bake fresh pies for hungry customers every day. Business is good, and you make great money.

But what happens when you get sick? There's a loss in the family? Or you just need some you time? You have to close up shop - and that's a day you don't make money! Your business is completely dependent on your time!

Make sure you own all five categories with your idea.

-

B. The Millionaire Matrix. Take a piece of paper and draw a little 2x2 square. On the top write "Small need / Big need" and on the left side write "Small marker / big market."

Where does your business fit?

Small need x Small market = No success
Big need x Small market = Millionaire success
Small need x Big Market = Millionaire success
Big need x Big Market = Billionaire Success

Make sure you're in a square that best fits your goals.

-

C. Purple Cow. When you see the first cow you've seen in a year, it's pretty exciting. However after miles of nothing in cows. It gets pretty boring. However - a purple cow? Now that'd be something worth talking about!

Make sure your business is, at its essence, something worth spreading and mentioning.

-

STEP 3. BEEN TYPING FOR 45 MINUTES LETS GO. Step three is validating your idea to everyone else. This can be done in a few simple ways.

I'm running to the store, but I'll make an edit when I get back to continue.


Sent from my iPhone using Tapatalk

Appreciate so much your advice, man. It will help me recognize a need and cash in. Thank you

 

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[Pedro Henrique]

I'm doing all of my software without much of a cash infusion (40 bucks a month to run our services). I pay in equity and brought on a coder I've known for years as a partner. However, you just need to bring someone on and draw a fine line between what they do and what you do. Make sure you compliment each other. I certainly wouldn't EVER "outsource" a very important piece of software. At least in the industry I'm in. They've gotta be all in.

You smart. Appreciate, man.

 

[TheDillon__]

ALRIGHT LEGGO.

Okay. So validating to everyone else. The important part. If other people don't like what we've got going on then what's the point?

So there are a few ways we can do this.

A. The Andy Black Method - find this man. Read his post history. The whole thing. Yes. In its entirety. He's got so much good stuff on how to use AdWords to test your market and validate your idea.

B. The Lean Method - Think of your idea. What's the most basic version of it? What is the single most basic way you can exemplify the core concept of your product? Build that, release it to the market, and grow forward based on comments and criticisms from early adopters.

C. Pre-Sales. On the Foundation track, but you can apply this anywhere. Flesh out your idea for customers, or give them a bit of a sample, then give them an option to pre-order the full product at a discounted rate.

For example - with language courses, in giving out the first lesson for free then letting them preorder the full course at $50.

I can only teach up to this point mate, but hopefully you've found this helpful.

 

[Pedro Henrique]

ALRIGHT LEGGO.

Okay. So validating to everyone else. The important part. If other people don't like what we've got going on then what's the point?

So there are a few ways we can do this.

A. The Andy Black Method - find this man. Read his post history. The whole thing. Yes. In its entirety. He's got so much good stuff on how to use AdWords to test your market and validate your idea.

B. The Lean Method - Think of your idea. What's the most basic version of it? What is the single most basic way you can exemplify the core concept of your product? Build that, release it to the market, and grow forward based on comments and criticisms from early adopters.

C. Pre-Sales. On the Foundation track, but you can apply this anywhere. Flesh out your idea for customers, or give them a bit of a sample, then give them an option to pre-order the full product at a discounted rate.

For example - with language courses, in giving out the first lesson for free then letting them preorder the full course at $50.

I can only teach up to this point mate, but hopefully you've found this helpful.

Its helpful, man. I will learn Adwords as you said

 

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[Andy Black]

Its helpful, man. I will learn Adwords as you said

Maybe start here:

• www.thefastlaneforum.com/community/threads/the-biggest-reason-websites-suck.68179

And work your way through these:

• www.thefastlaneforum.com/community/threads/andys-adwords-posts.52850

If your goal isn't to "learn AdWords" but to get up and running with AdWords, then you might want to check out this course:

• www.thefastlaneforum.com/community/threads/andys-adwords-course-get-found-by-the-people-already-looking-for-you.72851

 

[Pedro Henrique]

Maybe start here:

• www.thefastlaneforum.com/community/threads/the-biggest-reason-websites-suck.68179

And work your way through these:

• www.thefastlaneforum.com/community/threads/andys-adwords-posts.52850

If your goal isn't to "learn AdWords" but to get up and running with AdWords, then you might want to check out this course:

• www.thefastlaneforum.com/community/threads/andys-adwords-course-get-found-by-the-people-already-looking-for-you.72851

Appreciate the advice, man. Thanks for your time posting here. Your threads will be helpful to me, thanks.

 

[Akeem]

As the guys above explained, let me break it down for you a little:

1. Find a need​
2. Fill the need​
3. Acknowledge your failure and keep attempting to find and fill needs​
4. Succeed​

I think too many newcomers into the whole world of 'online' business make the mistake in assuming you have to know everything, you don't.

Unless you want a job teaching others about the fundamental principals of an online business, don't even bother trying to learn everything, just learn the minimum and try out an idea. Here's why:

When you disregard the purpose of why you're starting an online business, you're going to go off-track and learn random things, things that are somewhat useless and will never be used by you, like for example if you're going to learn to code, you're probably going to be pretty familiar with: System.out.printIn("Hello world!");

When you don't disregard the purpose, you acknowledge why you're starting an online business. You learn the minimal and you go out and create a MVP, really basic but it works, and it fails. You learn something that is relevant, something far more important than its counterpart: System.out.printIn("Hello world!");

This is just my opinion, i've been coding for around 7 years this year with 6 of my own successful online ventures. This is something I always mention to people who ask me for advice so I thought it'd hopefully help you out in some way.

 

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[Pedro Henrique]

Thanks

As the guys above explained, let me break it down for you a little:

1. Find a need​
2. Fill the need​
3. Acknowledge your failure and keep attempting to find and fill needs​
4. Succeed​

I think too many newcomers into the whole world of 'online' business make the mistake in assuming you have to know everything, you don't.

Unless you want a job teaching others about the fundamental principals of an online business, don't even bother trying to learn everything, just learn the minimum and try out an idea. Here's why:

When you disregard the purpose of why you're starting an online business, you're going to go off-track and learn random things, things that are somewhat useless and will never be used by you, like for example if you're going to learn to code, you're probably going to be pretty familiar with: System.out.printIn("Hello world!");

When you don't disregard the purpose, you acknowledge why you're starting an online business. You learn the minimal and you go out and create a MVP, really basic but it works, and it fails. You learn something that is relevant, something far more important than its counterpart: System.out.printIn("Hello world!");

This is just my opinion, i've been coding for around 7 years this year with around 6 of my own online businesses and I have my fingers stuck in about 30 other pies and that's just on the verge of 'online' business. This is something I always mention to people who ask me for advice so I thought it'd hopefully help you out in some way.

Thank you for the advice, man. Got it about dont learn everything, but know the minimum. Thanks

 

[Owner2Millions]

I notice this thread is kind of similar to mine. So, I decided to chime in, @TheDillon__ and @Akeem both provided some valuable information. I definitely agree that its so easy to get side tracked learning or reading about stuff you wont ever use while coding.
With that being said, I think Im starting to get it now......whenever you fail or get disappointed along this process...just keep going. By constantly trying to figure out how to generate cash flow and win customers you learn and WILL succeed if you dont give up.

 

[Pedro Henrique]

I notice this thread is kind of similar to mine. So, I decided to chime in, @TheDillon__ and @Akeem both provided some valuable information. I definitely agree that its so easy to get side tracked learning or reading about stuff you wont ever use while coding.
With that being said, I think Im starting to get it now......whenever you fail or get disappointed along this process...just keep going. By constantly trying to figure out how to generate cash flow and win customers you learn and WILL succeed if you dont give up.

Thank you, dude.

 

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[Coalission]

Just two things you need to know:

1. Make something individuals or businesses want/need or provide a service individuals or businesses want/need
2. Let people know about it

Those two things apply to offline businesses as well. Learn what you need to accomplish your #1, and once it's done, learn what you need to accomplish #2. You're asking the wrong question because you haven't figured out #1, so you'll never get a good answer for this. A better question would be "What do I need to know to build *insert your #1 here*?" and then you'll get details.

 

[TonyStark]

1. A product
2. A website
3. ???
4. Profit!

 

[Pedro Henrique]

Just two things you need to know:

1. Make something individuals or businesses want/need or provide a service individuals or businesses want/need
2. Let people know about it

Those two things apply to offline businesses as well. Learn what you need to accomplish your #1, and once it's done, learn what you need to accomplish #2. You're asking the wrong question because you haven't figured out #1, so you'll never get a good answer for this. A better question would be "What do I need to know to build *insert your #1 here*?" and then you'll get details.

Got it, man. I have to improve to see needs/desires.
Thank you for the advice, dude.

 

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[Pedro Henrique]

1. A product
2. A website
3. ???
4. Profit!

Got it. Thanks