In this post, a definition given in [4] is used for a micro business.
Many experts agree that to start a micro business a person needs three elements:
-products/services to sell;
-customers who buy the products/services;
-a way to collect payments from the customers.
In practice, problems start with the first element -products/services. Majority of people do not have unique products/services to differentiate themselves from competitors. Selling products/services which are similar to competitors products/services, often, is a high risk strategy with low chances to win in a competition with big businesses.
In this post, we consider a simple way for an ordinary person, with some previous experience, to start a successful micro business with unique products/services.
A person with some experience, in some business field, has knowledge of problems that exists in this business field. Therefore, if this person will find products or services, which will solve the problems, she/he will be able to start a micro business that provides the solutions. Let us consider the following examples.
Example 1.
Ms. X had worked for a corporation, which supplied products to 500 pharmacies worldwide. She was laid off when she was 45, without an adequate financial compensation. Ms. X has some relationships with pharmacists of the 500 pharmacies and she wants to start a micro business, which will monetize the relationships with these pharmacists.
To find unique products/services, which may be of interest to pharmacies, Ms. X searches for products and services of micro businesses with income sharing or multi-level refer a friend programs (because many micro businesses with income sharing or multi-level refer a friend programs have unique products or services).
After some time spent on the search, Ms. X found “Mtest advanced” -a tool to estimate a probability of having a medical condition based on results of medical tests (see [1]). Ms. X knows that pharmacies often are asked by clients such type of questions (what is a probability to have a medical condition based on numbers of positive and negative medical tests), but pharmacists can not answer such questions and refer clients to their family doctors. People prefer to have answers on their questions instead of been redirected to someone other (who is very busy often) to get the answers. This is the problem that exists. Ms. X sees that “Mtest advanced” will solve this problem for pharmacies.
Ms. X contacts all 500 pharmacies to learn if they will be interested to have such tool (“Mtest advanced”) be available to their clients for a fixed price of $300 per year. 400 pharmacies from 500 agree to have such tool if Ms. X also provides support services to their clients (explaining how to correctly use the tool, etc.) for additional $100 per year. They believe that such tool will be useful to their clients and make them more loyal to their businesses.
The final step for Ms. X is to make an agreement with the ISP organizer for “Mtest advanced” that she will be able to participate in the ISP with 30% from each sale and pharmacies will be able to provide access to the tool to their clients. After making such agreement, Ms. X refers 400 pharmacies as customers of “Mtest advanced” to the ISP organizer, collects 30% commissions in the amount of $36,000 and also $40,000 from pharmacies for support services to their clients. In total Ms. X has income of $76,000 per year from her own micro business with the unique product (“Mtest advanced”) and service (Ms. X support of the pharmacies’ clients). In this way Ms. X started her micro business, which allowed her to monetize her experience and knowledge.
Example 2.
Mr. Y had worked for a publishing company. He was responsible for writing reviews of over 2,000 healthy food stores during his employment. He was laid off when he was 50, without an adequate financial compensation. Mr. Y has some relationships with managers of over 2,000 healthy food stores and he wants to start a micro business, which will monetize these relationships.
To find unique products/services, which may be of interest to the healthy food stores, Mr. Y searches for products and services which relate to foods, health, and medicine.
After some time spent on the search, Mr. Y found “SFL” -a tool to list healthy super foods having positive results for a given medical condition (see [2]). Mr. Y knows that some clients often ask questions about lists of healthy foods for a given medical condition, but sales people in the stores can not give answers and in the best case refer clients to books or sites on internet. This creates inconveniences for clients, who want fast answers, but do not want to spend time on searching the required information in books or on internet. This is the problem that exists. Mr. Y sees that “SFL” will solve this problem for healthy food stores and their clients.
Mr. Y contacts over 2,000 healthy food stores to learn if they will be interested to have such tool (“SFL”) be available to their clients for a fixed price of $250 per year. 1,900 stores agree to have such tool. They believe that such tool will be useful to their clients and make them more loyal to their businesses.
The final step for Mr. Y is to make an agreement with the “SFL”provider that he will be able to have 30% commissions from each sale and the healthy food stores will be able to provide access to the tool to their clients. To reduce a reliance on the provider, Mr. Y wants that the healthy food stores withdraw 30% on his behalf from payments to the provider. After making such agreement, Mr. Y refers 1,900 stores, as customers of “SFL”, to the provider, and collects 30% commissions in the amount of $142,500 from the healthy food stores. Now Mr. Y has income of $142,500 per year from his own micro business with the unique product (“SFL”).In this way Mr. Y started his micro business, which allowed himto monetize his experience and knowledge.
Example 3.
Ms. Z had worked as a cyber security consultant for over 20 years in a big company. She was laid off when she was 40, without an adequate financial compensation. Ms. Z has some relationships with owners of over 1,000 small businesses (to which she provided consulting services) and she wants to start a micro business, which will monetize these relationships and her experience and knowledge.
Ms. Z knows that some users do not trust traditional passwords managers to store their online passwords and do not find them convenient to manage and change multiple passwords for multiple accounts. She searches for simple and secure solutions to manage and change multiple online passwords for multiple accounts. After some time spend on the search, she found www.dynpass.online. Ms. Z believes that this tool will solve the problems that exist with traditional passwords managers. She develops online courses to teach users how to use the tool in simple, efficient and convenient ways.
Ms. Z contacts 1,000 small business owners to learn if they will be interested that she will provide the online courses to their employees for $100 per year. All owners agree to buy her online courses.
Now, Ms. Z has $100,000 income per year from her micro business, providing online courses and webinars to the small businesses.
Example 4
Ms. W had worked for a big company as a meeting organizer for business women. She was laid off during the Covid-19 lock-down, without an adequate financial compensation. Ms. W has some business relationships with 2,000 business women and wants to start a micro business to monetize these relationships.
From her experience, Ms. W noted that business women often forgot or lost their portable wireless keyboards and she searches for a simple solution to this problem. After some time spent on the search, she found a simple solution (see [3]). To test the idea, she buys a women business blazer on amazon for $30 and a mini portable wireless keyboard for $15. She attaches the keyboard to the right sleeve of the business blazer and makes a video. She sends the video to 10 business women to see if there will be demand for such blazer. To her surprise, all women liked the blazer and agreed to buy it for $70 and to recommend it to their friends, relatives and colleagues.
In the first year Ms. W sold 3,000 such business blazers for a profit of $60,000. To grow her micro business she makes more videos and upload them to youtube, where the videos go viral.
“LOSERS QUIT WHEN THEY FAIL. WINNERS FAIL UNTIL THEY SUCCEED”
Rich dad of Robert T. Kiyosaki
In the next post we consider a simple way to convert a DeFi project APY to a ROI on a lock-in period.
References
[1] A simple way to correctly interpret results of diagnostic medical tests or procedures
[2] Simple super food lists
https://www.publish0x.com/simple-solutions-to-complex-problems/simple-super-food-lists-sfls-xpzjkrq
[3] A simple way to solve the problem of lost or forgotten portable wireless keyboards.
[4] A simple way to invest into micro businesses
