We’ve talked about whether you’re the right kind of person for an online business, and whether it’s the right kind of business for you. So today let’s talk about what resources you need to have if you want to start an internet business.
Is it as simple as having an internet connection and a desire to succeed?
(Watch this video…)
Main points:
(Note: for your convenience, there are links within the list below for things I recommend, some of which are my affiliate links)
What you need…
1) A computer
-Doesn’t need to be the latest and greatest
-Can’t be a total dinosaur
-Recommend Windows XP or newer
-Consider a laptop
-spend $200-$1000 for a desktop, $400-$1500 for a laptop
A few places to shop for a computer:
HP Shopping (where I bought my computer and my laptop)
Buy.com (I’ve bought a lot of stuff there including backup hard drives)
Amazon (A good place to compare prices and look for specials)
2) Internet connection (Broadband recommended). I used Qwest DSL (Now CenturyLink) for many years, and they were been good. I then used Comcast broadband for a few years, and loved it, as the speeds were much faster. Now I live out in the foothills, with no DSL or cable available, so I use Skybeam, which is a wireless Internet service. The speeds are not blazing, but it’s good enough for my business, and fast enough to stream Netflix too. If you live in an area not serviced by a major provider, you might want to look into something like Skybeam, or satellite broadband.
3) Antivirus program. I use AVG; their website is www.avg.co.uk.
UPDATE: I believe AVG is still good, however I think there are some better ones. On my main PC, I’ve switched over to Avast, which is also free:
http://www.avast.com/free-antivirus-download
And on my laptop I’ve switched to Microsoft’s free progam:
http://www.microsoft.com/Security_Essentials/
4) Email (free options available). For example: http://mail.google.com/mail/signup
5) Zip program (free options available). This is a good freeware: www.7-zip.org
6) Productivity software (free option available). Here’s a good free option: www.openoffice.org
7) Startup capital (highly recommended). I recommend having at least $200 available.
8] Credit card (highly recommended). If you’re afraid you’ll abuse it, you might want to consider a prepaid visa card.
9) Paypal account (highly recommended). You can get a free account at PayPal. If you live in a country that PayPal doesn’t allow, read this article for inspiration.
10) Business checking account (highly recommended).
11) Business registration (requirements vary – might be optional).
12) Business Entity such as an LLC (Optional). In general, you can probably start as a sole proprietor, and decide later if you want to form an LLC.
An LLC may help save you from paying self employment taxes. It also can protect your personal assets. Consult with an attorney or tax accountant.
If you want to avoid paying an attorney to help with the paperwork, you can often do it the cheapest directly through your state department. I’ve also found LegalZoom to be a helpful shortcut. I’ve used them to form three LLC’s, one non-profit, and two wills.
13) Accountant (Optional).
14) Lawyer (Optional).
15) Telephone (Optional). If you have broadband, you might want to consider Skype for your phone service.
16) Insurance (Optional).
17) Backup drive (Highly recommended). I added this one after making the video. A decent external hard drive can be purchased for $100 – $400. It’s not so important what kind of drive you get; what’s important is that you use it to backup all the files on your computer on a regular basis. I’ve bought several hard drives (including Maxtor, Lacie, and Western Digital) from Buy.com with good results.
There are a few other things that you’ll need which will be specifically covered in upcoming lessons, so don’t worry about them for now.
Action steps:
1) Go through the list, and make sure you have everything that is required. For the highly recommended ones, do as best you can to get them. For the optional ones, do some research and decide whether it’s something you need.
As I mentioned back in lesson 3, you don’t need to be a computer expert, but there are some things you’ll need to know. I’ll go through those basic computer skills in the next lesson.
As always, you are welcome to post your questions and comments below.
Have a great day!
some of them may be real, some may be scams. I talk a bit about it here:
If you think it may be a scam, don’t buy it.
10) in the US, it’s important to keep your personal finances and your business finances seperate (although you can legally combine them as a sole proprietor). Therefore it’s best to have a seperate bank account for your business.
11) Some places require all businesses to be officially registered with the local government.
Hi everyone.
Is AVG still as good these days as Eric recommends? Are there any better right now?
Thanks
As to getting a domain name is it best to wait until you have built your website? I’m on lesson #8
Hi Eric, I have the basic essentials for an online business. Thank You!
I generally register a domain as soon as I’m sure of the niche, or if I think of a cool product name and just want to reserve the domain. I explain domains in lesson #23
Good question. I believe AVG is still good, however I think there are some better ones.
On my main PC, I’ve switched over to Avast, which is also free:
http://www.avast.com/free-antivirus-download
And on my laptop I’ve switched to Microsoft’s free progam:
http://www.microsoft.com/Security_Essentials/
Eric YOUR AMAZING! THANK YOU SO MUCH!
I am very happy with Norton 360. Norton used to be a resource hog, but the latest version is getting top ratings in the magazines. Licensing is for 3 PCs and there is backup software built in.
hi..there..
it has been great to pay attention to your lesson..of course a little bit tip..
about computer i have my own one and it worth right now 1000$,BUT MINE IS SEVEN YARS OLD NOW AND IT IS STILL WORKING..SO WHAT I DO IS CHANGE DIFFERENT THINGS ..AND I THINK IT IS GOING TO SUVIVE FOR THREE MORE YEARS..I CAN DOWNLOAD AN UPLOAD THINGS.. AND MY HARD DISK IS ONLY 26 GB.
BUT IT IS WORKING…ONLY 30%BUSSY..
SO VISIT PLEASE MY SITE AND LET MNE KNOW WHAT MORE I CAN DO WITH IT..
THANKS A LOT AND I AM A WRITER…I AM WRITTIN MY FIRST E-BOOK..JUST BECAUSE OF YOU AND I FELL SO GREAT..
THANKS A LOT ERIC..
Hi Eric,
Lesson #8 was great. Until I started with your lessons I did not know starting an online business required so much. But with your step-by-step instructions, you make it seem so easy. I look forward to the ride. Thanks Eric!
Eric
Finished Lesson-8. I am definitely learning from these lessons. Not only are they teaching me things that I need to know in order to succeed in the future with the online business ventures that I have planned, plus information that will help protect me financially as well, they are also giving me an idea of what I can wait awhile on purchasing, especially things that I cannot afford to do for now.
Also, when it comes to the purchasing of technology, I personally prefer to purchase merchandise from a particular dealer located in the same area where I live at. That dealer is Best Buy. And, depending on the item I am buying, I also purchase their extended coverage for the item–we learned this one the HARD WAY with a laptop. This extra coverage does cost a little more, but it is DEFINITELY worth the price. The item you’re buying, in some cases, may come with a manufacturer’s warranty–the extra coverage, however, goes so much further. It will also cover accidental breakage of the item for up to two years, which can definitely save you a lot of money, just in case, plus there are other perks as well.
Keep up the good work, Eric.
Thank You
Great lesson on the needed tools for the business. I have many of the highly recommended tools already, and I will fine tune the check list further. I will look forward to lesson #9…Friends, Lloyd.
your so valuable..
Hi Eric, thank you again for this lesson. My question is: since this is a serious business, will it eventually require a physical office (such as a spare bedroom of kitchen or a rented space somewhere) since we will probably be hiring staff/personnel to help in running it? Is it part of the list, too?
Thanks, Buddy.
ARSI
No it will not require any physical office. Even if you hire people, they can be virtual… working from home too.
Wow!! Thanks for that info, Eric!! That really helped!!!You’re the greatest!! God bless!!
ARSI
I just wanted to mention Gary and Wendy at http://www.yourentitysolution.com. They incorporate in 50 states and what they don’t know is not worth knowing. They are used by among others Loral Langemeier and Bob Proctor.
A question, if you only do affiliate marketing and create an LLC for that purpose, do you sign up as a company then, at Clickbank etc, when you sign up for your affiliate link?
Yes. You could have your domains, CPA accounts, PPC accounts, bank accounts, everything used for your business, in the company name using the company tax id number.
Hi!,Eric as usual you delivered wonderful tips,everything i need to know,there is an answered here,specially autoresponder. Thank you so much.
Mac or IBM Windows, or doesn’t it matter.
Eric you are a stand up guy. Unlike most internet gurus you are offering clear, concise, useful information for Free. What a concept. Rock on
Hi Eric,
I haven’t seen any mention of McAfee anti-virus which I currently have on all my computers. Would you recommend I switch to one of these?
Blessings!
Love the lessons to date! Simple, poignant, and easy-to-follow; thank you Eric!
I was wondering if you could use an external drive to back up more than one computer?
Blessings!!
Hello Pamela,
Absolutely, just so long as there is enough space on the external drive to fit everything.
Hello Pamela,
McAfee is good as well, and should have your anti-virus protection needs covered! 🙂
Hi Eric, thanks for the completed list things. I’ve heard about (email) auto-responder, could you or anybody describe the software function, how does it work and how to use it and the detail info related to it?
Hello Darminto,
Eric teaches about auto-responders in detail in future lessons.
Here is Eric’s intro lesson on list building:
As far as startup capital, what do you think of small business loans? I am looking into this right now, for domains and web hosting.
Thank you again Eric, I wanted to tell you as a lawyer I have the Prepaid Legal Service, that should do I feel. I have a Magic Jack for phone, but I don’t foresee using the phone much, I feel it’s more for having a sort of presence and giving a security that I can be contacted as an alternative to email. Can you tell me please, What kind of insurance?
Fredo
You don’t technically need insurance, and most people don’t have any. If you’re working from home, then your homeowner’s insurance should cover your computer and stuff. There are several situations where you would want to look into getting business liability insurance, like if you’ve got an office outside the home, or hire employees, etc.
I would try to avoid a business loan if possible. The startup costs of this business are minimal (possibly under $200) so I would recommend trying to find a friend or family member who is willing to invest in your future by giving you a bit of money.
Dear Eric,
thank you very much for the tips, but after all lessons I was listening to, I just need your advice please, am I able to do such Marketing affiliate from Dubai, UAE? and are those big companies like ebay or Amzon accept to authorize someone from this area? an asking before I get involved and wast my time.
thanks in advance,
Bassam
Yes you can do affiliate marketing from UAE. Each affiliate program is different, so I don’t know which ones will accept you, but it is certainly feasable. Also, I am teaching a business model where you sell your own products, rather than just affiliate marketing.
I cannot play the Lesson # 8 video.
What I found helpful is to get a “to do list” and add the notes I learn from this site and put it on there then set up priority ranking.
Thank you
Hi, Eric,
I am grateful for all you’ve been doing over the years. I am at a loss over what to do, I am interested in doing online biz but don’t really know what to do and and how to go about it. The web is so wide and large that each time i try i just get overwhelmed with all the info. What do i do? How do I start? Where do I start from? What do I need?…Can you help me out?
Hello Ken,
Thanks for letting us know.
Here is a link that should help you to be able to view the lesson properly:
Hello Ay,
Have you tried out Eric’s free Writing Cash Program?
http://www.writingcash.com/
Many have found this program to be a great place to begin their careers as internet marketers.
Hi Micah,
I have tried the writing cash , looking for a way to earn some money after work and replace it but once in step 3 PARTNERING link for sides is not working any suggestion on how to go around it Thaanks Ileana
Here’s the new link!
http://www.clickbank.com/marketplace.htm
Eric…Thanks for all the great basic information…I have the equipment…have the drive…just purchased you 50 PLR pkg…waiting for lesson #9..Let’s go!!!!!
Hi Eric, this is very good on lesson 8 and i have all of this now and this is change me now for the better and doing what i need to start thanks
and Q i did not get lesson 7 at all in my email
Q on my article the price i see is this a one off or monthy cost?
thanks regards David
Hi Eric,
Your tips helped me a lot. keep up the good work.
Regards,
Gawie
http://www.sotechhomebusiness.com
http://sotechhomebusiness.blogspot.com/
Hello David,
The next lesson will be sent to you soon. You can also visit EricsTips.com to see the latest lesson updates and revisit earlier lessons:
http://www.ericstips.com/tips/category/lessons/
Here is the direct link to lesson 7:
If your email happens to block some of the lessons, we recommend that you view this tip on whitelisting an email address:
What product are you attempting to purchase? Please contact our helpdesk, and we’ll do our best to help you: http://www.ericsupport.com/
I back up everything, but I made a very costly mistake. By sharing I hope I can help others not to do this. I left both my laptop and my external hard drive in my car–briefly! It was broken into and both stolen. My home owners insurance with a $1000 deductible doesn’t even cover the laptop and hard drive, but the information on the $100 hard drive is priceless and what is really heartbreaking. Use a backup and learn from my stupid mistake. DON’T KEEP IT WITH YOUR LAPTOP.
Great Lesson!!!! Thanks for the information. Looking forward to lesson #9.
hi eric,
i am bless everytime i see your teaching. i just lasted now i payed for this domain name today and payed for the hosting with hostgator.com. i am confused to design my site becos i did not see a site builder i can use in there c pannel.
i really want to make money on this since i have heared from you, carol, and anthony morisson concerning the reality of making money through affiliate makerting. i want to help support poor childre family in africa through the money i will make.i hope i can fulfill my dreams ?
how long will it take me to start making money on this since i want to devote all my time to it?