• SumoMe

Over the past few weeks I have discussed the first three steps of the 5-Step Business Evaluation System: Fills a Need / Proven and Easily Duplicated Business System / Leverage.

Now we are going to talk about the main factor in why we are looking to start a business in the first place: to make money! Yes, the next step in this evaluation is to find a business that has Strong Cash Flow and Great Profitability.cashflow

Let’s face it, the main reason anyone is looking to start a business is to make money.  There’s no reason to hide that. But the question becomes; how much money and at what cost?

The key is going to be finding an opportunity that will meet or exceed your financial requirements without robbing you of your time.  Really, what good is it to have tons of money if you have no time to spend it- doing what you want, when you want and with the people you love?

Remember, the purpose of a business is to make money for the business owner.  There are millions of opportunities available and countless ideas. So the real question is: how profitable is the business and when will I begin to enjoy the profits?

Every business is different. This is great because that means that there is probably a perfect business for you out there and available. It’s just a matter of you finding it.

Each business differs in the amount of startup capital required, the ongoing capital to maintain the business and the time necessary to properly operate the business.  The key to building wealth is to find an opportunity that will maximize your profits and minimize the time and expense required to generate the income.

Remember, true wealth is not only having Financial Freedom, but to also have the Time Freedom to enjoy it.

When you’re looking for a business you will want to ensure that it possesses the characteristics that I have previously shared AND has a compensation plan or cash flow model that has an immediate and tremendous profit potential.

While you are evaluating potential businesses you will need to take a good look at the cost of doing business versus the profits you can expect to generate and analyze how long it will take you to recoup your initial investment.

The ROI for many businesses run in the terms of years, especially for brick-and-mortar businesses.  For those looking for a quicker return and less capital investment, Network Marketing is a great alternative.  Provided the business model incorporates great products, a powerful system and leverage, then just about any motivated individual can get started in Network Marketing and become profitable very quickly.

When you are going through this process, make sure you know your income goals and look at the ‘dollars-and-cents’ of any business to ensure that the business you do select will give you the opportunity to achieve them.

Coming soon: the 5th step in the 5-Step Business Evaluation System. Until then, make it a great day!