Most people who start an online business want to make some cash, some of them want to become financially free.
It does not matter what is the reason you started your online business but if your main goal is to become wealthy here are my three steps on how to increase your wealth using online business.
1) Build a reserve
Living paycheck to paycheck is the worst way to live, my advice is that when you start to make some money do not buy the biggest house or the most modern car you can get.
My recommendation is to invest some of your money back into your online business and save some of it.
Having some reserve cash will give you peace of mind and it will avoid you to make decisions based on short-term gain.
Ideal you should have at least 12 months of your expenses as a cash reserve, this will give you at least one year to get back on your feet in case you lose everything today.
2) Build multiple sources of income
After starting to make considerable cash online my recommendation would be to start investing in other businesses in order to diversify your income.
For me what I do is that investing in stocks, buying rental properties, and lands back home, you do not want to do all of that, just pick one or two ventures that you want to invest in, give it a try and go for it.
3) Keep the expenses down
I used to run an offline business. I had to pay rent, water, and electricity., I had to buy merchandise, I had to pay for the store to keep my merchandise. Just the cost of running my store was around $5000, this is insane.
Now I run an online business, I pay $25 for hosting, $49 for Autoresponder, $97 for Clickfunnels, and $99 for keyword research tool (Semrush). The cost of running my entire online business is just under $300 per month.
And guess what, I make more money online than I did with my offline business.
I am not trying to tell you to become cheap, what I am trying to convey here is that you can keep your cost of running your online business down and save some cash by looking for tools that will give you the same value but cost less.
Also, you can cut down your living expenses, you do not need that new toy or five cars, cut down those expenses and invest in other income streams and when you make more money now you can afford to buy a new car.
So that is it, those are my three tips on how to increase wealth using online business.
