• Filip Boksa

Tight Budget? Don’t Start With Paid Advertisement

If you're starting a business on a tight budget, it's a terrible decision to start with paid advertisement. You'll most likely spend all of it without seeing any results forcing you to quit before you even get into the good part of business.

Play it safe and invest your time into channels that will produce recurring revenue at minimal or no cost. Recurring revenue is what you want because it provides a safety net. You'll always know that next month money will be deposited into your account. When I started, I picked the right industry because everyone needs cleaning regularly. All we had to do was focus on getting around 20 clients which eventually led to over $1,000 in recurring revenue. Then, it turned into 5k in monthly income and so on.

After 5k it gets easier

Once you reach $5,000 in monthly recurring revenue, things start to become easier. Assuming you get at least $1,000 in profits, this gives you room to experiment with other marketing strategies. Later, when you lose it all, you at least know that it will be back next month and you can test again.

Don't blow your only budget on a paid advertisement when you start unless you're 100% sure that you know what you are doing.