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The Top Income Generating Mistake New Business Owners
Make - This One Could Prevent You From Becoming a
Millionaire.

 - by Todd Jensen

(c) Todd Jensen - All Rights Reserved
 http://www.theprofitengineer.com
 http://www.freebusinessstartupinfo.com

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Are you looking for the next Pet Rock, Furby or Red
Bull?  Have an idea for the next new thing you know
will make you a millionaire?

Hold on there.  Before you throw your life savings into
that “new idea”, you may want to spend some time with
the tried and true.

Starting a new business with a new idea may sound
exciting, but you better have some deep pockets for
your start up budget.  You also better plan on working
twice as hard to get income in the door.

Think about it.  Your business is new.  Your product is
new.  You not only have to convince people they should
buy from you…you have to convince them they need your
product in the first place!

The number one thing you need to make your business
successful is income.  Your first priority every minute
of every day should be making sales.  Businesses with
income and profits survive.  Businesses without income
crash and burn quickly.

Customers buy things they like and know.  They are wary
of “new”.  Experience has taught them that “new” is not
always better.

Your new business has a much better chance of being
successful if you start with a product or service
that has an established market.  By all means,
find your own twist and make it better than the
competition, but please avoid the unfamiliar.

Most fads are not overnight success stories.

Red Bull created the market for energy drinks, but the
founder lost more than a million dollars in his first
two years of operations.  It took six years for the
company to become profitable.  Dietrich Mateschitz has
moved well beyond millionaire status in the last 17
years, but he had to come up with a million dollars in
start up capital (half was his) and risk his life
savings to make energy drinks a worldwide phenomenon. 

Beanie Babies took off so quickly they seemed to be an
overnight hit, but the truth is that this business
success was hard earned.  H. Ty Warner started Ty, Inc.
in 1985 with a $50,000 inheritance, a home mortgage,
and his life savings.  The company’s sales grew to an
estimated $1 billion in 1998 after Beanie Babies
launched in 1993, but Warner was not a newbie to the
stuffed toy industry.  He had 20 years experience at
Dakin Inc., a San Francisco stuffed toy manufacturer,
prior to his plunge into the toy industry.  He marketed
another line of stuffed toys for eight years before
Beanie Babies were created to launch him beyond
millionaire status. 

You may think your great business idea will be the next
Pet Rock (Gary Dahl became a millionaire in a matter of
months back in 1975), but your chances of this
happening are a lot like buying a lottery ticket.
Lottery millionaires exist, but a heck of a lot of
people buy lottery tickets to create that handful of
millionaires.  And a dollar spent on a lottery ticket
does not compare to all the life savings wasted on
unproven business ideas.

Running a business is complicated.  When you start,
it’s best to sell something that has a proven track
record.  You will be better prepared if you spend a few
years working in your chosen industry before you start
your own business.  If you don’t have industry
experience, make sure you either beg, borrow, or buy a
system to help you get going.  Even better, find a
mentor that can help you through the rough spots.

Save the new ideas until you have something going.  If
you provide good service, sell a good product, and do
what you say you will do when you say you will do it,
your income will grow steadily.  Establish your
customer base first.  It’s much easier to sell new
products to customers that already know and love you!

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Todd Jensen, “The Profit Engineer”, has helped hundreds
of business owners make their business more successful
and profitable.  For tips and strategies on how to
boost your business success as well as increase your
profits, visit
http://www.theprofitengineer.com or
http://www.freebusinessstartupinfo.com
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