What Type Of Online Store Should I Start And How Much Will It Cost?

If you want to start the next Jumia or the next Konga, you’ll probably need a large amount of upfront cash to jump start your business. If you want to start the next Aliexpress, you’ll probably need to invest a large amount of money to hire engineers and web developers.

But if all you want to do is make enough money to quit your job and start a “lifestyle” business, you don’t need much money at all!

And depending on what your end goal is, you can get started with an online business for as low as ₦15000 a month.

In terms of ecommerce, you have 2 basic choices.

1.You can start a dropshipped online store.

2.You can start a traditional online store and carry inventory

When it comes to starting an online business, your startup costs will depend on several factors!

Here’s a list of some of the other things you need to consider as well.

Revenue Velocity – How long after launch do you expect to make significant money?

Barriers To Entry – How hard do you want it to be for someone to copy your business?

Portability – Do you want to be able to run your business from anywhere?

Scalability – Do you want the business to scale easily once it grows?

Depending on which path you want to take and your goals with respect to the 4 factors above, your startup costs will vary.

For an in depth analysis of how much it would potentially cost you to get started, please check out this resource that I created on my blog.

Click here to find out how much it would cost you to start an online store depending on your business model

To Our Success,

Taiwo Adefala

Free spirited programmer, An Internet Entrepreneur and A Gentleman.

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