TMCnet Feature
November 18, 2020

5 Online Businesses That You Can Start Below $5,000

In this article, we will guide you through a variety of businesses you can launch that are perfect for making money online from home, or anywhere in the world.

Starting your own online business is a smart move for several reasons, though the biggest obstacle most people face today when they want to start a business online is the dilemma of choosing the best business that will suit their interests, skills, and personality.

If you wish to succeed in running your very own online business, take a look at the various pros and cons, and be sure to dig deep and research the specific market you’re interested in.

You probably already heard how people make a profit working from home, thanks to affiliate marketing, online shopping, blogging, or maybe someone mentioned Shopify, drop-shipping, and earnings via Facebook (News - Alert)… The possibilities are endless.

Never before have there been fewer barriers to starting an online business, the initial investment is quite low and potential income is unexpectedly high. It is only necessary to study the resources and tools that can help you successfully grow your business and achieve a desired profit. This goes without saying, but for all your marketing efforts, a well-established white label agency can help you reach your goals as well.

Advantages of Running an Online Business

Internet businesses, whatever online business model you choose, have numerous advantages, and the following are just some of them:

  • Low initial investment.
  • Run your online business wherever you are, worldwide.
  • Determine your working hours.
  • An online business can be your main source of income or an opportunity for additional income.
  • Does not require a labor force.

If you decided to try your business skills in the online world, here are 5 great ideas for an online business that you can start for less than $5,000.

#1 eCommerce: Create an Online Store

With today’s solutions, like Shopify and WooCommerce, it’s never been easier to start your low-investment online store. Modern e-commerce platforms provide you with an easier and much cheaper way to open a webshop.

Traditionally, you can choose to sell your products directly to consumers who visit your online store, which includes packaging and delivery.

Another option is to set up a store through which you receive the purchase order from the customer and forward it to the manufacturer or distributor who sends the desired product to the customer. This method is called dropshipping and is the easiest option to start an eCommerce business without having to buy products in advance.

What is dropshipping? Simply put, it is the indirect sale of goods that you do not own, but are owned by manufacturers and distributors, where you send the manufacturers/distributors a purchase order with the customer's address and collect your part of the earnings.

You probably came across all those super-cheap products that are offered on Facebook and Instagram pages that look so good that the offer seems completely amazing to you. The catch is that you have to wait 30 to 45 days for an order - that's roughly how dropshipping works.

#2 Sell Your Designer Brand

If you enjoy creating unique designer creations, there is no reason to worry about securing income for yourself. If your design solutions can be easily printed on a variety of products, here's a great way to make money online.

There are numerous websites, such as Gumroad, that allow designers to set up their design work. If someone likes them, companies will print them.

The possibilities are endless. You can create unique calendars, book covers, T-shirts, bags, hats, greeting cards, posters, etc. In return, websites for which you find design solutions will assign you a commission for each product sold with your design.

There are other great websites where you can upload your designer creations, such as Customlnk, RedBubble, and TeeSpring which allow people to create and sell custom apparel. Your job is just to arm yourself with inspiration and get started!

#3 Start a Digital Media Agency

Large corporations are constantly looking for coordinators and appropriate agencies to develop online strategies for Twitter, Facebook, Instagram, and Google (News - Alert) accounts.

On the other hand, smaller businesses often have to manage their social media marketing internally, but since many smaller business owners are too busy to develop and maintain social media strategies, they are hiring social media consultants or white label agencies to assist in the company’s digital growth at a rate like never before.

As a social media consultant, you will have numerous opportunities for effective marketing strategies, implementation, and placement of content to a target group of consumers. The more successful your social media campaign, the more the businesses that hire you will grow, which will result in a significant increase in your income. 

#4 Work with Advertisers

If you are the owner of a high-quality website or a blog with a good search engine ranking, you can rent a part of your website space to advertisers and make money every time a site visitor clicks on the placed ads.

The ability to broadcast ads can be completely free, but the cost per click (CPC (News - Alert)) and the ability to make a profit on ads per click is based on the realized internet traffic (number of visitors) of your website. In other words, earnings depend on the total number of clicks and the total number of ads displayed.

Certainly, the most popular way to make money on your website through advertising, ie. by clicking on those ads, is registering on Google AdSense or another ad network.

Other ways to effectively advertise online include RSS feeds and direct banners.

#5 Affiliate Marketing: Become a Marketing Partner of Large Companies

One of the easiest ways to make money online is through affiliate marketing.

An affiliate is someone who gets a commission for selling other companies’ products by offering those products on their personal websites or some other third-party websites, such as eBay (News - Alert).

The best thing about affiliate marketing, similar to dropshipping, is the fact that you don't have to develop any products yourself, you simply advertise and sell other people’s  products.

For example, the marketing partners of Amazon, one of the richest internet companies and home to the world's most famous web stores, can earn a commission if they succeed in selling products through their personal ads.

Simply register as a partner and you will have the opportunity to sell the products of the partnered company using your special link, and earn a commission for each product sold without moving your finger.

The commission varies from product to product and can be increased based on how much turnover you generate. In other words, the more products you sell through your link, the higher the commission will be. The highest commission you can earn is about 8%.

That way, affiliate marketing can be a source of serious internet earnings every month, as long as your link is on a website that points to the store you are partnering with. All you need to do is gain interest in the products you promote on the websites where you place ads. Specifically, you need to target your target audience.

Also, affiliate networks, such as FlexOffers or Awin, offer a wide range of products for promotion. Some of the niches, such as health and tech, can bring you serious online earnings in the long run.

For those with more modest expectations, affiliate marketing can also be a great way to generate additional income.

With such unpredictable times ahead of us, there hasn’t been a better time to start your online business. As you can see, with some motivation and a little bit of research, starting a new venture and earning additional income is within your reach.

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