Showing posts with label costs. Show all posts
Showing posts with label costs. Show all posts
Wednesday, September 30, 2015
How to Be Your Own VoIP Provider (4 Steps)
Research several VoIP hosts. Their service must be reliable and consistent in order to successfully sell it over time. Stick to reputable and trusted companies such as QuantumVoice and Net2Phone.
Choose a host whose service, agreement and costs align with your budget and preferences. If you want to manage as much of the business as possible, avoid turn-key options which handle most of the technical work for you.
Invest the proper time and money into your business. You may have to learn about technical systems or hire an IT professional to help you best promote your products and provide customer service. Many hosts offer training and materials to aid in these efforts.
Market your VoIP service. Regardless of which type of reseller package you choose, nearly all of the marketing responsibility is yours. Start by advertising your new services to your existing clients, offer an introductory rate, referral credits or an affiliate program. Always market creatively.
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Thursday, September 24, 2015
How to Design a Membership Program
Choose the focus of the membership program and create a business plan around it. Are members paying for access to information and content, supporting a larger mission such as saving whales or funding eduction, or are they paying for training of some type? Decide what content will be provided and what member levels and fees will be available. Decide who the target audience is by identifying their demographics, such as age, gender, income levels and education. Decide what format the membership will be delivered in.
Create a budget for the membership program. Expenses to consider include staff and computer services needed to manage the program, advertising and publicity costs, office supplies and miscellaneous expenses, mailing list acquisition, program maintenance and gifts and freebies for members and prospective members. Costs may increase as membership increases.
Plan the infrastructure and delivery method. Infrastructure refers to the internal process for accepting membership payments, managing member accounts, loading and maintaining content and tracking the progress of the program. The delivery method may be through email, a website with login, strictly through regular mail or a combination of all of these.
Create the content and delivery schedule. Writing content may require hiring writers or assigning the job to an employee. Requests, materials and content will need to follow a schedule in order to arrive in the members' email or account window at the appropriate time. Content can be a mix of blog posts, updates from experts, articles, audio or video scripts, reports or lessons.
Create a membership recruitment campaign. Plan online advertising, direct mail or other campaigns that draw in new members. Potential members must see the value in joining the program.
Plan a maintenance process. Getting new members is only the beginning of a membership program. Retaining and maintaining the membership will keep monthly income flowing into the business. Compelling offers at renewal time or automatic renewal built into the initial sign-up campaign are several ways to retain members. Continuous advertising and brand recognition can also help maintain membership numbers.
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supplies
Tuesday, September 22, 2015
How to Set Up a Web Store
Find a marketable niche and determine the items that you want to sell, based on that niche. For example, baking goods, herbs and spices are part of a cooking/baking niche.
Build your main site first to act as a gateway to your online store. The main site will be content pages that introduce the items that you are selling, possibly the costs, and other important pertinent information you deem necessary for the main site.
Create several web pages that showcase your products. Creating extra web pages will provide more key-rich content on your web store to get a heavier traffic flow.
Place a link to your web store on your site's main page so that customers can make a purchase. By creating a main page first, you build up more traffic because search engines will rank your page higher.
Set up a secure payment system. Paypal and ClickBank are two secure online transaction centers that are approved by the Better Business Bureau. Provide your name, address, Social Security number and banking account information to register for a free account with Paypal. ClickBank requires the same information but also requires a fee. ClickBank applicants are also subject to an account approval.
Create an E-commerce affiliate web store. If you do not have a product or service to market, sign up for an affiliate web store like Amazon or ClickBank, to earn a commission for selling the other party's product. To set up an Amazon store, provide the necessary banking and personal information to get a free account with Amazon Associates. Use its templates to design your web store and to determine the types of items you would like to sell from its web store.
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Thursday, September 17, 2015
How to Find Cash Flow An Make Money For Investment Property
Determine Your Mortgage Payment
Your mortgage payment is the most important part of the cash flow calculation. The 4 factors that determine your payment are, price of property, down payment, Interest rate, and length of the loan.
Try using an online mortgage calculator, just Google 'mortgage calculator'. Use it to determine a range of payments from the lowest to the highest.
For example, use best and worse case scenarios. In one scenario use the highest interest rate you could get. Next, use the lowest rate you could get.
If you want to make money with investment property, know your mortgage payment!
Determine The Expenses For The Building
Find out the yearly costs for taxes, insurance, waste removal, water & sewerage. If you want to buy investment property and make money you need to estimate these cost accurately. So do your research!
I purposely left out utilities such as phone, cable, heat, and electric. These bills should be paid for by the tenants.
Add Maintenance Costs
You need to set aside money each month to cover maintenance expenses. Such thing as, a new roof, water heater, windows, painting, rugs, need to be accounted for and included in your cash flow analysis.
Depending on the size investment property, set aside 1-4% of the value of the property per year.
Example, if the house is tiny use 1%. If the house is very large use 4%.
Predict a high maintenance cost for your cash flow estimation. This will insure your investment property makes money.
Rental Income
Determine how much money each unit can be rented for.
Compare your investment property to similar ones and find out how much people are paying for rent.
Once you determine a solid estimate....subtract 5-10%!!! For instance if rent is going for $1000 per month, subtract 10% or ($100). Use $900 for your cash flow estimation.
Discounting rental rates is a good way to avoid unexpected downturns in the market. It will also help lower your chances of loosing money due to inaccurate cash flow estimations.
FYI, CHARGE THE GOING RATE! Just because you estimated lower doesn't mean you have to charge less.
Determine Cash Flow Of Investment Property
ADD: Your rental income for the entire year
SUBTRACT: Step 2 and 3
SUBTRACT: Entire year worth of mortgage payments at the highest interest rate you can afford.
Whats left is how much you will make or lose for the entire year.
One last thing, subtract 30% for taxes. This is your net income or Cash Flow.
Is The Money Good
Make sure that your return is at least 8-10%!!!!
Example, If your down payment is $10,000 and your net Income = $1000, your total return equals 10%! ($1000 divided by $10,000)
You should make at least 8-10% on each investment property. Any returns lower than this is not worth your efforts. Plus, if your predictions are accurate, you can count on making more than just 8-10%.
Tips and Explanations
I did not include depreciation expense in my cash flow estimation. I left this out purposely to give you a conservative way to predict cash flow. If I included depreciation your return will increase. Yes, I said increase!
If your return is under 8-10%, negotiate the price of the building and the interest rates on your loan. Negotiation is a great key to making money with investment property.Finally, try to be conservative!!! This will ultimately make you more money than you expected. It also avoids make bad investments. Remember, if the numbers don't work...don't buy it!
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