Website Business Tips

How much money do you have in the bank right now? I read a sad statistic the other day that said the average US family has less than $3,500 in savings.

It just blew my mind!

How can a family work every single day at a job for 15 years and only have $3500 in the bank to show for it?

There are a few problems with our society. One is overspending and the other is people working for low wages.

My solution to this problem is, start an internet business.

I think everyone should start a web based business. They really aren’t that difficult to do. And, by starting a real company (an LLC can be formed for about $200), you can get some GREAT tax advantages and write offs for your new business.

When I was thinking about writing this article, I thought a magic number people would like to see in their bank account would be $100,000. Wouldn’t it be nice to see six figures sitting in your savings account?

Then I was thinking about the fastest way to get there. Here’s what I came up with…

- Start a website
- Run the website for 15 months
- Sell the website

The reason I chose this path is because it’s proven to be successful. I’ve followed this exact process myself several times and it works great.

Now, let me show you exactly how easy this is.

What I typically do is think of the end result that I want to achieve and work backwards.

So, if you want to have $100,000 in the bank 15 months from now, here’s what you need to do.

Multiply your desired amount of money by 2.60%. In our example, that’s $100,000 x 0.026 = $2,600

To have $100k in the bank 15 months from now, you need to make an average of $2,600 per month from your website (or $31,200 per year). That might sound like a difficult task, so let’s break that down again.

Divide the $31,200 per year by 365 days and you will find that you need to make just $85.48 per day with your website.

So, if you can make just $85.48 per day, you will have $100,000 in the bank after 15 months! That’s really not that hard to do.

Based on $85.48 in profit per day from your website, here’s how you will get to the $100,000.

$85.48 per day x 15 months comes out to $38,978 over the next 15 months. That’s how much money you will have made while running your website.

Then you sell your website for 2 times its annual profits (Annual profit of $31,200 as explained above x two = $62,400 - website sales price).

That’s all there is to it. After 15 months, the website will have generated $38,978 and you will have sold the website for $62,400 giving you a total of $101,378 in the bank.

See how easy it is?

The key is to break down the numbers so it’s not so overwhelming. Making $86 per day doesn’t sound nearly as hard as making $100,000 from your website.