How to Make a Career Out of a Home Business Opportunity

People from all walks of life are really hurting these days and the forecast for most people does not look any better. Across the board there has been pay cuts, job loss, vacations and benefits taken away, foreclosures, which has lead to most people scared about their futures.

People are hurting from all over and looking for anything to help them keep their heads above water. Scams have always been around but they seem to come out of the wood work when times are really bad. With so many people looking for help it’s easy to see how people get taken advantage of.

No matter what you have heard or what you have experienced in the past, the truth is some home based businesses do work. There are bad ones out there and you need to be careful when looking for one.

It would be hard to list all the reasons why people fail at a home based business but I will cover some of the main reasons. First lets look at the facts of a traditional business

- An average of 145,000 new businesses start up each year in this country
- An average of 137,000 businesses declare bankruptcy each year
- 8 out of 10 new businesses fail within the first three years.
- 80% of new businesses fail within their first year.
- Businesses with 20 employees or less have a 37% chance of making it to 3 years
-They have a 9% chance of surviving 10 years
-Restaurants have a 20% chance of surviving 2 years
- About half of those who survive the first year will remain in business the next five years.

Now it is said that 90% of people who try a home based business fail. That is not surprising when you look at the numbers for the start up of a traditional business. Most people who start a home based business do so for less then a $1000.
Depending on what the traditional business is that’s being started up you could be looking at a price tag of $60,000 – $300,000. Is it any surprise that the numbers of failed home based businesses is a bit higher? People do not have any money invested into them. You can say they do but when you are really looking at the numbers it is easier for people who start home based businesses to walk away when things get hard.

For most home based businesses failure is not the fault of the company but the fault is in the people who do nothing with them and give up.

A large part of this is because people get told that it is easy money and they don’t have to do anything to make it work. So they sign up and sit back doing nothing and wonder why it is NOT working!

Again this is not always the fault of the companies. In most cases it is the fault of the people bringing them the opportunity.

You might have heard before that you get what you give. In most cases for any business this is true which means the more you put in, the better your chances of getting fast results.

I say a chance of getting fast results because nothing is guaranteed which is why it’s called a business adventure. One thing is for sure though, if you start a business of any kind then don’t show up for work YOU WILL FAIL….

When starting a home based business you need to realize that things will not always go as planned. You will have to put some money into any business that you want to start. You just need to figure out how much you are willing to spend and how long are you willing to give it to start making that money back.

It is an investment and if you look at it any other way then you will be very unhappy when all that money is not back in your bank next week. It is going to take Money and a PLAN with GOALS to stand a chance of getting success.


There are some very important questions to ask yourself when looking for a business to start.

-How much is the start up cost
-Once I have my business how much do I have to pay for inventory/ qualify/ any hidden cost (There will ALWAYS be something) If you have a business that is $200 to join there will be SOME kind of package you have to buy to get started. Could be anywhere from $100- $1600
-How much will I have to pay monthly (Watch out for companies that say you don’t have to buy anything or you don’t have to worry about that because everything will sell itself.) NOTHING sells itself….. PERIOD In many cases even if you have things left over from the month before you still have to buy NEW Product the next month!
-How much do I make from sales
-How much do I make from other people joining my business
-Where does the money go that I paid for joining
-What does it take to promote
-Can I ever lose my promotion
-What happens if someone under me promotes? Do I lose that money?
-Are meetings mandatory and how much on average do they cost?
-Do I have to buy books or CD’s from the company every month? (More hidden cost)
-How much does it cost to renew my business at the end of the year?
-Can I promote without signing anyone up?
-Can I see the entire pay plan before I join?
-Can I find information on the services or products before I join?
-How do I get paid and when do I get paid?

I could list many more but these are some of the main questions you should be asking when looking for a business to join. If the person you are dealing with does not give you CLEAR answers or avoids certain questions, then run away.

Anyone who joins a home based business has the chance for this to happen but don’t jump the gun. First find the company that is right for you. Then make a business plan with set goals. Set days and times that you will be working on those goals. Figure out how long you need to work your business to get the results you are looking for. Then figure out how much money your business needs to be bringing in CONSISTENTLY before you tell your boss to shove it.

You MUST plan on things not always working out the way you plan and running into a lot of bumps. If you have what it takes to stick with it then you can and will succeed if you picked the right business to do.

Find a company that has a product or service that you REALLY believe in. If you hate to ride bikes and never do it then you should not be out working a business selling bikes. If you don’t back the service or product your selling you will never get anywhere.

Most people join a home based business without even looking at what they offer because all they see is the money. Once that money does not get made in the first week they drop out.

Make sure that the product or service you are selling will be around for the life of your business. You do not want to build upon something that will be gone in 10 years.

When looking to start your business find out if you will be receiving help. You need to ask the person you are dealing with what their plans are for helping you and what they expect from you. If they give promises of easy money or that they will build it for you, then walk away. They should be able to tell you upfront what they are willing to do and what you need to do in return.

Home Based Business Ideas: Energy Efficient Products and Services

Have you ever taken a look at a home based business in the network marketing or direct sales sector? If the answer is yes, that’s fantastic; you have an idea of what network marketing is all about. The awesome thing about a home based business idea in network marketing is that the cost to start your business and buy into a proven system is minimal. Most home based business ideas in the network marketing sector are pretty much under $1000.00 and most are $500 or less. Now we come to the success rate of people who start businesses in the network marketing sector for under $1000. What I have noticed is that when you have not mortgaged your home and entered into a major contract with another company somehow the urgency of owning the home based business and the drive to succeed seem to diminish. Before we ever get into the various products and services available in the network marketing sector in today’s climate we have to discuss the psyche of the person wanting the freedom they are requesting. I have spoken to so many people who start out with a bang and kind of loose their gusto in 3-5 weeks. Sometimes people will last for about 4-6 months then the fire diminishes. Why is that? Well, I know one thing, if I had 50k or more invested into a home based business idea it would not take 4-6 months before I throw my life savings away. Although, since many network marketing business are under $1000, most people don’t have enough on the line to take their network marketing home based business ideas seriously enough to succeed. Let’s assume you have the drive to move past that 4-6 month mark. This seems to be the mark where unsuccessful people stop and successful people continue to push forward. Now you have to decipher if you are in the right business model for optimal success.

Most network marketing companies have traditionally been in the cosmetic, weight loss and health and wellness sectors. In recent history (the last 15 years) there has also been a big surge of technology home based business ideas also such as cell phone businesses, satellite home based business, Wi-Fi home based businesses and others. Even more recently, in the last five years to be exact, there has been a huge push in the energy efficient products and services industry.

I get excited when I think about the history already made by the first two residential energy companies to offer their services to consumers by way of the network marketing home based business model. According to Jim Melloan, project manager of the Inc. 500/5000 project Stream Energy grossed $848,000,000.00 for the year 2009. This company was founded in 2004 and officially started doing business in March of 2005 in Texas. Home based business owners are able to start a business with this company for less than $500 and are able to refer their friends and family to save money on their electricity and/or gas bills. They later expanded to Georgia in 2008 and are now expanding to Pennsylvania.

Next we have another notable company named Ambit Energy, founded in Texas in 2006; it followed Ignite’s footsteps offering the home based business idea for less than $500 in the Texas market. It soon expanded to New York in 2007 and Illinois in 2008. I know because I was part of the excitement! In 2009 the company had a record 20,369.4 percent growth with revenue at $325,000,000.00! So with these numbers in the home based business/network marketing sector you would assume there are some winners that are just like you and I, who are making a percentage of that success right? Of course there are and I witnessed this happen first hand. For under $500 in both companies, multi-millionaires were created! There are several thousandaires and many people who have found an additional income that has saved them from foreclosure, replaced car payments, paid for their children’s educations and much more!

So far I have discussed two companies with astounding numbers reported that concentrate on doing one thing, saving the average family money on their electricity bill. There’s another trend happening in the energy business. A new company called America Approved Energy Services Direct., LLC has emerged offering a home based business in the same space but with a few tweaks! For one, America Approved Energy Services Direct., LLC aka AMA Nation was founded in October 2009. Peter Jensen, Robert Gries and Scott Turner came together to offer a home based business opportunity in the network marketing sector with the product once again being residential electricity. AMA Nation started out in Connecticut, and then soon expanded to New York City. Over the last year they have have a lot more territory than the first two. Currently, America Approved Energy Services Direct., LLC is the marketing arm for several suppliers which allows them to provide this home based business idea in 8 states for opportunity seekers wishing to concentrate on the residential market which include NY, NJ, CT, MA, RI, PA, MD and TX (soon to be 9 with IL)! So with the astounding numbers posted by Ignite and Ambit in only two and three states respectively, AMA Nation will certainly shock the industry with their three-year numbers. Now here’s another shocker, by July of 2010 America Approved Energy Services Direct., LLC has also allowed their home based business opportunity seekers to acquire business in the commercial sector of energy deregulation as well. Opportunity seekers looking for home based business ideas are also able to do business in 15 states on the large commercial side of energy deregulation. So when it comes to energy deregulation, America Approved Energy Services Direct., LLC now has the largest footprint in the industry. By August of 2010, America Approved Energy Services Direct., LLC also added over 200 energy efficient products and services to its repertoire allowing home based business owners to also make money in other emerging markets such as solar panels, Led Lighting retrofits and much more. The most impressive factor in all of this is that you have the income potential of a major franchise in a network marketing business model for less than $225. So many people are recouping their initial investment within the first week of being self-employed in the energy business.

My team and I have been getting many ideas about how to build our business from local news happening around the world! For instance, the article titled All Agua Fria high schools will have solar panels written by AZ on 16, 2011 at 07:30 PM gave us the idea to start calling the schools our children attend to discuss the energy saving options and grants available. Another article written by discussed how IKEA Aims to Extend Solar Power Trend to Costa Mesa which gave us the idea to start going after department stores and restaurants in the California area. So with AMA Nation, my team of independent home based business owners and I have found this business model to be much more lucrative because we are able to tap into the entire energy efficient products and services industry.

For more information on how you can start a home based business in the energy products and services industry contact Tene Williams, the top female income earner with America Approved Energy Services Direct., LLC she has teamed up with several leaders in the industry and has helped hundreds of home based business owners see success with her hands on approach to seeing you to and through success without just the ra ra you see with other network marketing companies, but the knowledge and the training to help you close these large commercial projects and the wherewithal to train you where to look for business. Today, she is directing her Pennsylvania team to prepare for a major event happening in PA tomorrow 1/29/20. The Philadelphia Inquirer posted an article this morning letting consumers know that there will be a 1-day electricity bazaar to aid power-shoppers… and PECO will be on hand from noon to 6 pm near the food court at the Pavilion at King of Prussia Mall to explain electric deregulation.

How to Buy a Business When a Bank Loan Is Hard to Get

If you have been following any of my recent blogs you would have read that I have touting from the top of my lungs that now is the time to be buying a business. And in case you haven’t been following my blogs I will restate why I think now is a great time to be buying a business.

Why? Well one of the reasons is that business valuations have come down in price. Businesses that were selling for 3 to 4 times their net profit are now selling for 2 to 3 times their net profit. Or if they were selling for 5 to 6 times their net profit they are now selling for 4 to 5 times their net profit. This is a substantial reduction of price from a few years ago.

Now this statement is true in generally all of the business sectors such as the retail and service categories. Of course there are going to be some categories that really hot at a certain time that are selling for a premium, but generally this true now across the board in most of the businesses on the market.

The second reason I think now is a great time to be buying a business is that the cost of money is about as cheap as it is ever going to get. You can get a commercial loan to purchase a business for 5% or sometimes lower depending on your credit and the situation and the lender you are working with.

So let’s say that I have convinced you that now is the time to buy a business because the valuations are down and you can get a good deal on the purchase of a business and the cost of money is cheap. But gee Terry didn’t you know that banks aren’t lending and it is hard to get a loan. If you said or thought that you would be absolutely correct.

Banks do have money to lend, but they have changed the rules on lending or should I say that the Federal Government has changed the rules for lending for them and therefore it has become more difficult to get a loan in today’s economic environment. Yes, all of this is true, but there is still a way to get that loan for the business you are wanting to buy. Yes, the days of getting a 100% loans are long gone unless of course you are working with private investors, but we are talking about a financial institutions today so I will stay focused on such accordingly.

Here is how you get your loan for the business you want to buy today.

Most lenders are sitting on top a pile of cash and they are in the business of renting money. Yes, that is how they make a good profit in the banking and lending business of money. They receive money from people who deposit their money into their bank and pay them a pittance for doing so and then they rent that money out to people like me and you for a profit. It is a very simple formula. Once I understood that banks were nothing more than renters of money it became a very simple formula to understand.

But since the Fed’s have changed the rules and told the banks they must be more prudent in their renting of money the banks have become more conservative in the way they rent out their money, but they still are in the business of renting money.

In the old days before the Fed’s came to town and changed the rules on renting money an individual could buy a business with 20% down and the bank loaning the remaining 80%. Sometimes the bank would keep the note themselves and earn the high interest rate they were charging for the renting of the money or sometimes they would sell it off to the SBA and only retain a portion of the loan thereby allowing them to keep money in their bank and repeat the process again and again. Either way it was a good deal for the individual that needed a loan to buy themselves a business.

Now though the rules have changed and if you have spoken to a lender recently you would then understand that they will are still willing to loan you money for that business you wanted to buy, BUT it better have a solid cash flow and they are not going to loan 80% of the purchase price. No, more than likely they are going to be willing to loan you maybe 50% to 60% of the purchase price of the business.

But wait you say. I don’t have much money! Heck, if I was buying a business for $500,000.00 then instead of having to come up with $100,000.00 (20%) now I have to come up with $200,000.00 to $250,000.00. That is crazy I don’t have that kind of money. Doesn’t the bank understand that I have good credit, this is a good business, there are no jobs to be had in the market place and if I had that kind of money I probably wouldn’t be in the situation that I am now?

Well to begin the bank doesn’t really care about any of that. All they are concerned about is keeping their job. So it is better to tell you no and keep their job than to make a loan to you that could get them in trouble and they lose their job and then they would be just like you (except they wouldn’t have as much money saved as you have) so this is what we call a lender making a career decision. It is easier not to make the loan and keep their job rather than to take a chance on making the wrong loan and possibly losing their job. (I actually had a bank President tell me that one time). But I am straying from the point.

The point is since there are new rules and the banks want more money down and you don’t have the money how do you get the loan? The answer is right in front of us. We are going to get the additional capital we need from the seller of the business. He should be aware of how difficult it is to get a loan in today’s marketplace and if he isn’t he must have been living without a TV or access to the internet to see what has been going on with our banking system. But just in case the Seller of the business is not cognizant of what is happening in today’s marketplace in regard to the lending environment then I would ask the Seller of the business to go visit his local and long established banker to ask him for a loan to refinance his business. Yes, have the Seller go down to his old banker buddy who he has had a long relationship with and have him ask him how much money he would loan him against HIS business. Now remember this is a business that is a good business and has been up and running for quite a while. This is what we would call a reality check, because the Seller of the business will find out real quick what is going on in the world of lending for businesses. Hey, if I am wrong about this then great everyone gets the loan they wanting and you can totally disregard this article. But I don’t think I am wrong on this one.

But back to getting that loan. Here again it is really simple math. First go talk to some lenders and find out what is their criteria for the loaning money for a business. Some will want 30% or 40% or maybe 50% as a down payment towards the purchase of a business. Don’t argue with them just get the details. Then work your formula backwards and when you have found the business you are interested in explain to the Seller that you are a qualified Buyer and that you have the needed funds available to purchase the business with the normal amount of funds needed being 20% and that in today’s marketplace that lenders are requiring 35% as a down payment and you will need the Seller to carry 15% of the purchase for a limited time. By this I mean have the 15% amortized over the same time period as the lender is requesting, but agree to refinance the 15% in a shorter term like 3 or 5 years from the date of the purchase of the business.

Some Sellers will not like this idea and will not go along with it, but a Seller who wants or needs to sell their business understands that it is much better to get the bulk of their money now and have the business sold than to just sit and wait and hope that things are going to change later and still not sell the business.