Minimum Start-Up: $10,000
Average Start-Up: $100,000
Revenue; $100,000 - $2.5Mil
Profits; $25,000 - $250,000
One Person Business: Yes
The high cost of maintaining a full-time employee contributes to the growth
of the temp-help business.
Advancement in computer hardware and software enables companies to staff
mean and lean, preferring to hire temps during peak seasons rather than lay
off workers during slower times. On any given day, over 1 million people
work on temporary assignments. By 1995, trade statistics estimate that
1.25 million jobs will go by way of “temps”, creating an aggregate annual
payroll of about $10 billion.
These figures suggest that the temporary help business is here to stay. It
is one to watch through the turn of the century. Unlike the temp boom of
the late 70s, today’s temp-help has gone beyond clerical help, with 37% of
placements involving professionals.
JOB MATCHMAKER
A temporary-help service acts as a matchmaker between businessses seeking
temporary help and induviduals who want a job. The temporary agency pays the
employee on a weekly basis a set rate, and in turn bills the business/client
a predetermined rate, usually 10% to 15% more than was paid the employee.
START-UP HURDLE
If there is a single hurdle that makes starting a temporary-help agency
“difficult”, it has to do with your ability to cover the payroll up front.
As a temp agency, the demand for cash flow presents a two-sided problem.
While you are expected to pay your workers on a weekly basis, you are also
expected to extend your clients 30 to 60 days credit. So while you’re
waiting to get paid, you need to have enough cash to cover your payroll.
For example, if you place 10 workers at 40 hours each for the week, at a
rate of $8 an hyour, it would require $3,200 cash for the week. That’s
$12,800 in 4 weeks!
To avoid this problem, it is advisable to hire your workers as independent
contractors. You can act as their agent, and collect your commission when
they are paid.
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Minimum Start-Up: $1,500
Average Start-Up: 10,000
Revenue: $25,000 - $5Mil+
Profits: $20,000 - $1Million
One Person Business: Yes
In this information Society, we have an insatiable appetite for knowledge.
Add to this our desire to network with people who share our intersets,
professionals in our own trade.
For these reasons, seminars and expositions have continued to grow. At a
time when the explosive growth of electronic systems offer abundant ways
information can be delivered, we continue to prefer the old fashioned,
person-to-person contact with our peers.
As seminars become more and more specialized, the number of seminars
contunue to grow. According to industry statistics, there are over 1000,000
seminar sessions each year. There seems to be a wide spectrum of topics on
which to develop a seminar.
The Business Opportunities market is at a strategic crossroads where new
economic opportunities intersect with our growing disenchantment with
conventional employment.
Thus, our continuing search for a “better way to earn a living” makes
Business Opportunities Expos and Seminars one of the most profitable
products.
Remember, where our economic interest lies, we are all opportunity seekers.
And that’s a huge market.
TABLE-TOP EXPO
The most cost effective way to produce a “Start A Business” seminar is to
have sponsors cover the cost of promoting the expo/seminar. In exchange,
you can arrange for sponsors to have a mini expo. Compared to conventional
expos that use booths for exhibits, a “table-top expo” can take place in a
foyer or hotel lobby.
A number of tables can be arranged where different, non-competing sponsors
can consult with attendees regarding business opportunities being offered.
THE $10 EXPO/SEMINAR
If all your marketing and production costs are paid for by participating
sponsors, your revenues will depend exclusively on admission.
In a city of 1 million or more people, it is reasonable to project an
attendance of 2,500 to 3,500, each paying $10 for 3-hour seminars and
an on-going consultation-style tabletop expo.
>
Minimum Start-Up: $500
Average Start-UP: 10,000
Revenue: $25,000 - $250K
Profits: $10,000/Month
One Person Business: Yes
Most Travel Clubs are organized on the premise of building a sizable
membership capable of negotiating discounts with various travel providers.
The Travel Club makes money earning a commission every time a member
purchases airline tickets, books a hotel room, or goes on a cruise. Today,
things have changed quite a bit.
SELLING MEMBERSHIPS
With a swelling membership basis it is difficult for travel clubs to ignore
the profits of charging for membership, no matter how insignificant the
amount. With 10,000 members, a travel club charging only $20 a year will
earn $200,000 in membership dues. This revenue is over any commission the
Club earns when a member travels.
SPLIT DISCOUNTS
A Travel Club normally acts as a travel agent for the exclusive use of its
members. As an “agency”, it gets standard agent commissions from airlines,
hotels and cruise lines. This can range anywhere between 10% and 18% of the
purchase price. What travel clubs usually do is offer its members a rebate
equivalent to 50% of its commission (meaning 5% to 9% of their purchase
price). If the member spends $1,000, he/she gets back anywhere between $50
and $90. This is enough reason for people to join a travel club, especially
if the membership dues are just $20 a year.
ALL-CRUISE
As today’s market shifts from the “all-in-one” and “do-it-all” service
companies to that of “specialized” services, so do travel clubs. Based on
industry statistics, the best area to specialize in is the Cruise business,
the fastest-growing segment in Travel.
YOUR BUSINESS
Sell memberships to your All-Cruise Travel Club and offer rebates on all
cruises and peripheral services the member books through the club. Find
products or services that you can give as bonus for signing up for a year’s
membership.
You may even want to seek distributors who will purchase membership cards
in advance, at 15% of the retail price. This means that if the membership retails for $20, a distributor buys it from you for $3. If you sell 10,000
memberships this way, you’ve just earned $30,000. Then, add to this revenue
from commissions when members take a cruise.
C.L.I.A.
The Cruise Lines International Association is a trade body representing the
interests of the Cruise Lines segment of the travel industry. Membership to
the Association is only $245 per year. The Association also has a
certification program that can bring your business immediate credibility by
being able to sell direct all-cruise packages.
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Yellow Pages, a California-based research company has been extensively
doing studies on U.S. ZIP (Zone Improvement Program) Codes. They can now
predict, with certain percentage of accuracy, what you ate for breakfast
based on your zip code.
ZIP Codes are the smallest, most organized accumulation of information by
which we can evaluate the demographic flavor of a given area.
From a marketing standpoint, most retail businesses use ZIP codes along with
the Perretto Principle that 80% of your customers reside within the ZIP
codes that connect to your collection. In theory, they live no more than
7 miles from where you are.
A CHANGING MARKETPLACE
The phonebook we have grown accustomed to was developed over 30 years ago.
The only way it has grown in in terms of thickness, weight, and aesthetic
design.
From a marketing perspective, except for its dominance and near monopoly,
it has been rendered useless by a more mobile and more efficient market.
When the Yellow Pages were first introduced, the world of “malls”,
“strip malls”, “executive centers”, and “postal & mail box centers” were
unknown to American consumers. Today, it is easier for us to dial directory
assistance than to use the phonebook.
USE OLD PATTERNS
To make it easy for advertisers and consumers to swallow something new, make
it look like it’s old. So, use simple patterns and designs borrowed from
old phonebooks, including rates charged for your territory. Establish your
advertising rates based on the number of homes and businesses your ZIP Code
phonebook is going to.
You can have as many ZIP Codes covered, just make sure you do not pile up a
marketplace too large you are practically competing with the phone company.
The best rule of thumb is to break the phone companies general distribution
area into 7 phonebooks.
GTE used to have what they called “The Neighborhood Phonebook”. I think the
reason it died is that it broke down its neighborhood either very
conceptually or too similarly to the way all other phonebooks do.
Advertisers want solid numbers. ZIP Codes are solid. Just ask the postal
service.
>
Maps serve a purpose. People use them for directions. They trust them and
depend on them to get them where they want to go. It tells them where the
local attractions are, and other places if interest, particularly among
tourists - the people who use maps the most.
Considering the credibility and the power of maps as a printed medium, it
takes an entrepreneur 2 seconds to realize that there’s money in maps…as
an advertising vehicle.
You can design your city map to be as large as 28″ x 40″ which can be printed
by commercial print houses with large format presses. Or you can use the
11″x 17″ format and bring it to your neighborhood quick printer.
THE MAP
What you’re going to make a map of is as critical as deciding about how
you’re going to do it. These are the two questions that will make the
foundation of your business.
Big cities are very seldom a great market for City Maps. However, if you
break them apart and make maps for selected business districts, even down
to selected neighborhoods, the taking is plenty.
Focus on dense retail districts. Target those with neighboring restaurant
rows, historical spots or other tourist attractions.
Purchase reprint rights of already existing maps as this would prove
significantly easier and more cost efficient than producing one yourself.
“Cartoon” maps may be visually entertaining, but they are seldom useful.
You will probably attract more advertisers if you can equate your
advertising rates with potential use.
Advertisers position advertising blocks on the outer edge of the map area.
Depending of the size of your map and the paper you plan to print it on, you
can have as many or as few “blocks” to offer for advertising. Encourage your
advertisers to buy more than 1 block of advertising. This will not only make
your map look more exclusive, but it will also make your selling task much
easier.
>
The next money-maker in the long distance telephone business will be
focused on the way we buy and pay for long distance service.
PAY PHONES & OTHER STUFF
In the last 4 years, technological advancement in telecommunications
services has opened doors for entrepreneurs to make money selling Ma
Bell’s services.
Private-Party-owned Pay Phones spread like wildfire, and 25Cent-Per-Minute
Long Distance Flat Rate Billing was introduced and gobbled up by an excited
marketplace.
PAY NOW, CALL LATER
Pre-Paid Long Distance service is nothing more than a marketing person’s
dream of being able to charge for something that need not be delivered
right away.
Here’s how it works:
1) You walk into a convenience store and buy a Phone Card for $10, or any
denomination it is being sold.
2) When the time comes for you to use the card, simply dial the toll-free
800 number and enter the 14-digit code printed on the card.
3) An automated operator’s voice comes on the line and announces that you
have $10 worth of long distance calling available to you.
4) A dial tone comes on and you enter the area code and phone number you
want to call.
PLUS & MINUS
Pre-Paid Long Distance and collecting Phone Cards are now a big craze in
Japan. Phone Cards are now being traded like baseball cards, with values
in excess of $1,000. Companies giveaway free long distance service as
premiums and incentives, and then print their names on the Cards that they
giveaway.
But in spite of all thes fads, Pre-Paid Long Distance has some built-in
disadvantages that need to be corrected to guarantee its success.
Here are a few:
1) We are a credit-based society. We are not accustomed to paying in
advance for services we are not using at the time of purchase.
2) The rates marketing companies are charging are relatively higher than
basic phone company rates.
3) As a business, long distance resellers and marketers will be competing
for the same consumer “penny”.
Mixed with something novel or commercially accepted, pre-paid phone cards
may just make it big in the U.S.
>
Although this money-making is continuously being marketed as “a way to make
money with your answering machine”, new technology has actually rendered
this idea obsolete.
With the proliferation of voice mail, fax-back service, and very inexpensive
computerized voice processing systems, the answering machine, with its
limited one-call-at-a-time capacity, is no longer ideal for making money.
With the advent of these new technologies, the concept has also expanded to
a variety of processes which you can use to make money.
PEOPLE MUST CALL
With answering machines, the only way you can make money is when people call
you. Since an answering machine is hooked up to a specific phone number,
and since it does not advertise on its own, you will have to establish ways
to attract people to call your phone number so that people can listen to the
message recorded on your answering machine.
THE MESSAGE IS THE KEY
The message recorded on your answering machine is the key to your ability to
make money. The message can instruct people to send money for information
about any subject matter, or instruct callers to leave their name and
address so you can send them a sales brochure. The information you have
recorded on your machine should be encouraging and convincing enough to
motivate the caller to do what you have instructed.
THE 1-MINUTE SPIEL
Think of your recording as a radio commercial. Since callers have short
attention spans, and are used to hearing radio and tv spots that are not
more than 1 minute long it is advisable that you limit the length of your
message to about 1 minute, 2 minutes tops!
GETTING THE CALL & COLLECTING PAYMENT
Whatever it is you are selling, and by which you are using your answering,
your primary challenge will be in two areas: (1) How you can advertise and
make your telephone number known to a lot of people, and (2) How you are
going to collect payment for whatever it is you are selling. One of the most
popular topics sold on “answering machine schemes” is information abourt how
people can make money with their answering machine. This is worn out and
very unimaginative. More than likely, your caller will feel insulted and
not order whatever literature, report or booklet you want them to order.
Remember, if you want to have a recorded sales message over the telephone,
use a voice mail service, which may cost you around $8 a month.
>
Minimum Start-Up: $2,500
Average Start-Up: 10,000
Profit Margins: 50% to 75%
One Person Business: Yes
Brandel Communications is currently developing a newsletter that will be
released on Compact Discs, mailed to you once every two months.
The subscription rate is $195 a year. (Our production cost: around $3 per
CD. With 6 CDs a year, our total cost is $18 per subscriber.)
Instead of print or video, we have decided to tap the CD market, the fastest
growing communications media.
OPPORTUNITY SEEKERS
To offer a subscription to this (still unnamed) newsletter, we are running
full page ads in opportunities magazines, as well as implement a direct mail
campaign.
Our initial marketing thrust will be directed at individuals seeking to
start their own business, or a second source of revenue.
The BizOpp market is at a strategic crossroads where new economic
opportunities intersect with our growing disenchantment with conventional
employment.
This market thinks! And it is quick at recognizing new opportunities.
This is why we decided that the growth of How-To CDs depend on the variety
of titles available.
WE CAN REPRESENT AND SELL YOUR CD TITLES.
While we are selling subscription to our newsletter, we offer customers the
opportunity to purchase other CD titles. We also have a regular New Titles
ad which lists new PowerGuides and How-To CDs available.
Every time we send out a newsletter and a catalogue, we include your CD on
our title list and orders are sent directly to you. We do not take a
commission or a percentage of your sales.
Your customer’s orders and payments come directly to you. You fulfill the
orders and keep the money. We will design and print your ad for you.
CREATE YOUR OWN NEWSLETTER
We will accept advertising from those of you who plan to produce your own
CD newletter. Producing a newsletter on CD allows you to collect
subscriptions in advance, which is extremely helpful in generating cash flow during your start-up stages. Producing a newsletter gives you a
continuing link with a market that shares your common interests. Consider
also the the interest factor for a newsletter in CD form is quite high.
PRODUCTION NOTES
As of this writing, it is still uneconomical to try and produce your own
CDs in-house. It is still cheaper to create a master program and then have
it produced by a replication service who can produce copies of your CDs
in quantities of 1,000 or more, at under $3 a piece.
>
The guy who thought of giving away free rolls of film every time you have
your films developed at his photo center - is a genius!
You know the rest of the story, and so do thousands other photo centers
around the world who copy this excellent promotion.
STRETCHING DOLLARS
A budget conscious market is always out looking for a free lunch. For
this reason, you can build a marketing system that self-liquidates its
associated cost, distributing gift certificates that offer free this or
free that - all the customer has to do is pay a minimal shipping and
handling charge.
FREE SOFTWARE
In Las Vegas, I met a poker player who sells software he put together for
$29 and higher. To double the volume and reach other markets, he decided to
repackage his software. He gave it a new name, made a new floppy disk label,
and offered it at a ridiculous price:
FREE
To receive the software, all you have to do is fill out the gift certificate
and send it back to him with $8.69.
THEY WENT APE! He was giving the certificates to schools, businesses, and
stores who give away the certificates as their own promotional gifts to their
customers. Because the cost to produce and mail this disk is 60 cents, he
was making $8 with every certificate that was redeemed for the free software.
$800,000 IN 27 WEEKS
Take a snapshot of this picture: Say, a total of 1 Million certificates
were circulated. Let’s say you paid half a penny to print and distribute
these million certificates. Your cost is $5,000. If you generate a 7%
conversion, you’ll earn $560,000.00
NUMBERS GAME
If you give other people permission to make copies of and give away your
certificates, your cost to circulate 1 Million certificates will go down.
But your opportunity to make money remains the same.
1% response = $80,000
2% response = $160,000
3% response = $240,000
5% response = $400,000
10% response = $800,000
>
It is not the intention of this publication to proliferate or encourage
sexually oriented merchandise. However, as an observer of entrepreneurial
activities, this medium would be naive and pretentious to ignore a
profitable, legal business that could possibly be of interesdt to others.
The concept is plain and simple. Renting video tapes is profitable business.
Renting adult videos is even more profitable.
Most adults will watch x-rated tapes only occasionally. This attitude does
not warrant them to purchase video tapes. They would rather pay a premium
to rent the tapes that they want.
BUY WHOLESALE Sources for adult videos include local distributors,
used tape distributors, and catalog houses.
The average adult video costs $40. In volume, you can buy them
wholesale for around $15 each.
RENTAL REVENUES Since adult videos are not sensitive to release
schedules, they do not get dated in the same manner as theatrical
films. As a result, adult videos generally enjoy a longer shelf
life.
Because of this, it can be rented more often and over a longer period of
time. Where the average video can be rented approximately 40 times over a
period of 12 months, adult videos can extend well in to 50 or 60 times.
If you rent your videos even at $2 each, you can expect rental revenues of
around $100 per tape per year.
If you purchased the video for $15, you have just multiplied your investment
4 times. Furthermore, you can offer your year-old tapes for sale for around
$12 each. (Note that selling adult videos across state lines is a Federal
offense. Ifd you want to sell tapes, sell them to your members in your
local area. Likewise, you should check your local zoning regulations
regarding this business.)
OTHER CLUB BENEFITS
An adult video & book club can be more attractive and more profitable if
the benefits and activities offered to members go beyond books and videos.
You can offer club members special cruises where members of the opposite
sex can be paired and offer special discounts available to couples . You
can also organize parties that charge admission, where single people can
meet.
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