What is required to do business on-line? How complex is it to start and run an Internet business opportunity?
Unfortunately, the answer is that it depends. An on-line retail business can have complicated legal requirements associated with it like licensing, sales tax collection and reporting regulations.
On the other hand an Internet marketing business can be a very simple and direct path to follow to own a web based entrepreneurial activity.
For the purposes of this article, let’s examine the world of affiliate marketing since it can produce an income stream with minimal up front costs and very little regulation.
Representing the products of others requires no stock, no shipping, no sales tax issues and no reporting requirements.
Products are offered and sold through independent entities like Click Bank where any affiliate marketer can register, pick products to market and collect commissions.
Under such circumstances, the producer is responsible for product shipping and the Click Bank like operation processes the sale for the customer as well as sends out the commission to the marketer along with the profit to the producer.
The Click Banks keep all of the necessary records of the transactions, issue the checks or wires and provide the year end reporting for tax purposes. In other words, much of the busy work required of any small business person is supplied basically free of charge to the marketer. Hard to beat that kind of deal.
At the end of the day, there is not much required of the business person who operates as the affiliate marketer. However, there is some wisdom in doing the following.
To be in business, be a business. Form an entity of some type. You can choose to be a Sole Proprietor or even a Corporation. The details of such choices are not to be addressed here but it is easy enough to research the pros and cons of each as well as get advice from professionals like a CPA.
Entity formation has a lot to do with paying state and federal income taxes which, as we all know, are legally unavoidable. When registering with the Click Bank type operations a marketer is required to supply either their social security number or the tax ID number of their company. There is no escaping the long arm of the tax man since income will be reported for you.
Beyond that there is little else the law requires other than the possibility of a business license that your local government might want. That can easily be checked out by a call to your local Chamber of Commerce.
Thus affiliate marketing can get you into business for very little up front expense and can begin generating income almost immediately. More significantly, as you become a better marketer and expand the number of products you represent, that income stream can grow exponentially.
Because the trend in business start ups is increasingly toward doing business on-line, it would seem that the smart and easy way to launch would be with affiliate marketing. It represents the classic low risk, high reward business model that most every business person seeks.
Beyond that, it is the kind of business that can be started in one’s spare time so that current income sources can remain undisturbed, at least in the short run. Should the affiliate marketing business grow to the point of providing a sustainable income, it can than become a full time focus.
With little legal red tape to deal with and not much investment required, affiliate marketing provides the first and arguably the most important step into the world of doing business on the Internet. The link below is provided to showcase one such first step opportunity. You are invited to take the time to review the world of being an affiliate marketer.
After all, it might just be a glimpse into the future of your own on-line business.