I intend to spend £10,000 to start a small business and make a good £70,000 - £90,000 at the end of the year

I intend to spend £10,000 to start a small business and make a good £70,000 - £90,000 at the end of the year.

Anyone here who started a small business can tell me how much they made their first year and any mistakes they should have looked out for but did not?

Well what is your business about?

most businesses fail.

The ones that don't fail certainly still don't make profits like that in the first year.

those are statistics from pre computer integrated world.

what are you trying to do OP,

lo fuckin l my man

here we go, now he thinks he's Bill Gates...

Hey man, have faith in yourself always. But there must be reason and logic behind it. Depends on what kind of business of course. Don't ever give out your scheme s or ideas ever. Be vague.

I am Bill Gates, I peruse this forum occasionally just to see whats going on. I also have psychological profiles run on people who say interesting things. Just for kicks

Sharpie in pooper with timestamp

I could photoshop a realistic enough image of bill gates putting a sharpie in his pooper and time stamp it but thats a waste of my time

Your time has no value, therefore it cannot be wasted.

Not gonna tell you smucks since I don't want any of you stealing my idea.

But the market is niche and constant of people with a lot of disposable income and the only manufactures of the product exist in the middle east.

Oh to be unenlightened.

don't expect to make 700-900% return on investment the first year would be one thing that comes to mind.

...camel dildos?

In highschool I spent 35$ on a 1/8th of weed and turned that into like 30k by the end of 8 months. That was like a decade ago. And I pent most of my money on dumb shit and more weed. But there's an example.

Sameish market but not even close.

So don't spend it on dumb shit? Noted.

>start business with 10k
>90k by end of year

900% in 16 days, where the fuck do I sign up

Lol I'm sure he means in 1 year. A coffee shop in a busy location can make that money. Especially if you bake your own cakes, brownies and make your own panini and sandwiches etc.

I started an ecommerce store selling travelling related products. I invested £9k and in my first year I barely made enough money to live. First year profit was around £12k.

I did this with a strong marketing background, your goals are completely unreasonable.

This.

You won't be making a 600% return on capital doing anything legal.

Do contracting.

this the tile guy. I started my business with about $3k. I'll gross around $65k this year, probably net about $55k.

>I have no idea what you are doing but it can't work it just can't!

I was offered that by my uncle lol but I am a weak shit who can't lift for shit and useless with my hands.

gib marketing advice please. Where do I start learning about that shit?

It's a meme degree don't trust marketers, they will give basic ass advice and ask for millions to make a shitty advert no one will like.


With the amount of rain you probably get, there is probably mold and mildew in your area. Start a pressure cleaning business. Low starting costs and it pays well if you do the work. All you need is a pick up truck. A pressure cleaner and a business license.

dirty bombs?

>that much profit in one year

I stopped right there. No start up has made that much money -- unless it was a really niche market, noncompetitive and high demand. Realistically, however, you're probably going to have net losses. But over the years as you establish yourself and your brand (business) you'll gradually get to that point.

Good luck.

>wants a 1000% return on investment in the first year

You could try cooking meth.

>thinks ROI applies to businesses
doesn't work since most businesses sell the owner's time, which doesn't cost anything to procure. ROI approaches infinity.

1000% ROI is really low for most biz.

He wants to start a small business you retard. He is investing 10,000 but his labor is also being put into the business. Your math doesn't take that into account.

What are you selling you little cunt? Since you said you were selling to the middle east, to people who have """"disposable income"""", I assume you mean the gulf becasue everyone else is piss poor.
NEWSFLASH FAGGOT, the gulf, especially the UAE, Qatar and Saudi already have everything they need there, they dont want some dirty kufar like you selling them shit.
Unless you target their faggot children who get like 10 g's a week from their oil rich parents.

I got 6k out of 3k, getting 70k out of 10 is idiocy

>I suck at business
>you will too

Yeah man sure. Can you tell me what is the most important thing for any business? Also 1000% ROI is low for most biz? Is that a year? A decade? You realize that means most 10k start ups are supposed to profit 100k a year of PROFIT then?

>You realize that means most 10k start ups are supposed to profit 100k a year of PROFIT then?
ironically enough, most successful ones do.

back to class with you.

hookah lounge

Well you like to make yourself sound like an idiot don't you?
>1000% ROI is really low for most biz
>MOST SUCCESSFUL BUSINESSES DO
Nigger what? Most businesses are okay with 10-20%. Apple makes around 13%. Is apple a shit business than?

>Most businesses are okay with 10-20%
>he doesn't know most businesses AREN'T retail

ah, kids.
you're only aware of the businesses you personally buy from. Most businesses won't sell to you so you don't even realize they're there.

Let me teach you a little about MOST businesses:

MOST businesses are small businesses
MOST businesses are sole proprietorships
MOST businesses are self-employed tradesmen
MOST businesses have one employee
MOST businesses cost less than $10k to start
MOST businesses net almost exactly $100k per year.

Apple isn't most businesses, neither is Coca-Cola or General Motors.

Most businesses are the dude that paints houses or cleans carpets or does your taxes. And they're making a lot more than 1000% ROI because they have almost no overhead and are selling mostly their own time.

okay grown up explain this to me. I have a small biz, which is growing now. My father owns a factory, uncle has a stable, plastic factory, pharmacy, toy shop, a clothing factory. Tell me, which businesses get you 1000% ROI? I am willing to invest 25k into you right now if you tell me this. Just answer these simple questions:
1. What is the time frame for the 1000% return?
2. What do you even mean by 1000% ROI, do you account for taxes and expenses?
3. What about growth investment?
4. Name me at least 3 businesses that have done so?
5. How old are you?

Well no shit, your relatives run businesses that depend on physical processes. Of course they can't churn out plastic material with zero waste and zero downtime and it eats into their profit. That doesn't refute his point.

>I am willing to invest 25k into you right now if you tell me this.
>implying I need or want your investment.

haven't answered my questions. And actually my fathers factory is run 100% on waste.
Can you answer my questions? What 250k a year is not good enough for you then?

You are fucking retarded.

>Can you answer my questions?
I already did.
>What 250k a year is not good enough for you then?
I generally make more than that and I don't need $25k from you to do it.

You have not. You have not even defined the time frame. All you did is avoid giving an answer and throw empty insults. I guess fair enough, autistic people love to roleplay

if a business costs $10k to start and nets $100k in a year, what is the timeframe?

You wat cunt?
Breaking down your jibberish:
0 × X = 1000%
0 × Y = ~infinity%

Kys

what's the timeframe, dipshit?

exactly, you got it.

the formula doesn't work, it's nonsensical. What exactly is invested? Easy enough to calculate when it's cash, but it becomes absurd when you realize most businesses don't run on investments of cash.

Don't run on investments of cash?!
Oh boy.

>be small business owner
>wakeup, yawn, stretch and get ready to apply my free investmentless time to my business
>can't eat breakfast, that costs money.
>got no tools to do anything with
>can't market or be contacted at all by the public
>realize that I woke up in a bin
>sheeeeeeeit

A. any cash spent is generally a reinvestment so it never went to the bottom line to be counted as profit much less investment. It's an operating cost, nothing more.
2. Most businesses operate on their owners' time and labor, which has some nebulous cash value but doesn't actually represent a cash investment with a calculable ROI.

All I'm going to say is don't plan on your supplier being reliable and don't think you can make a buck with any less than 25% between their wholesale and your MSRP. I'll limp across the 5 year line but my business is terminal because of how hard both of those fucked me.

>selling retail
>to the public
these are 2 very common mistakes to avoid, OP.

Man you must be a billionaire now. So okay a year, now answer the others. Damn man its like you think you're the kang of biz cause you read about b2b in a business for dummies text book.

>you think you're the kang of biz cause you read about b2b in a business for dummies text book.
heheh
did I make you feel stupid again?

2. if you count expenses as investment you have to also count them as ROI because they're technically both. You can't reinvest money you don't make. So you can't compare expenses to net, you have to ratio it to gross.
3. see above.
4. check your yellowpages for local carpet cleaning companies.
5. you know how old I am.

the one truly cogent point you made is regarding taxes.

business owners pay significantly higher taxes than the employed. So in reality the bottom line is cut by a significant margin by taxes.

Unfortunately ROI is traditionally calculated as income before taxes, so it's a moot point.

but in practice those average business owners netting $100k per year are roughly equivalent to an employee netting $60k a year and full benefits. But that inequity is offset somewhat by the intangible benefits of being self-employed, and at least some people find the benefits of freedom and financial agency to outweigh the costs in taxes. So we're again left weighing intangible benefits against largely intangible costs.

>we're again left weighing intangible benefits against largely intangible costs.
though if we look at opportunity cost we see that the gains potentially outweigh the losses.

You'll likely never become a millionaire as an employee (exceptions exist, mostly in applied science and professional services). So people may be willing to take the loss when it improves their chances of gain. And owning a small business does significantly improve the chances of gain over being employed in most fields.

Man I know business always trumps employment. I know business gives good returns, I simply don't get where you get the 1000% figure from and why you consider it low. If you talk about some guy buying a knife for a dollar of Walmart and reselling it for 10x the value than sure, but realistically speaking that doesn't scale. Also can you just answer my questions straight without running off to some "I know it all you don't land?"

>I simply don't get where you get the 1000% figure from and why you consider it low.
I'm just guessing that if it costs you $10k to make $100k your first year your expenses the next year will probably be lower. And 10:100 is 1000% already, so it's just better and better from there. Until something important breaks.

>can you just answer my questions straight without running off to some "I know it all you don't land?"
it gets you to respond. And I am an asshole. I know I don't know everything, and I don't really discount your knowledge. I'm here to learn too.

but I also know you can handle the bants.

bottom line my point is most businesses sell primarily the owner's time, and the return on something that costs nothing is huge.

oh you wrote a whole novel of replies havent event noticed this one.
>4. check your yellowpages for local carpet cleaning companies.
jesus christ man i didnt know we're talking about such grand enterprises. I know they make okay money, but that is your example? Sad, i thought you had something of value to add for a minute
>did I make you feel stupid again?
no just sad about all the autism.
I'm just guessing that if it costs you $10k to make $100k your first year your expenses the next year will probably be lower. And 10:100 is 1000% already, so it's just better and better from there. Until something important breaks.
no, it wont cost you less, if you invest into something valuable it will take more than a year to pay off, if not you buy it constantly.

>jesus christ man i didnt know we're talking about such grand enterprises.
MOST businesses, remember?
most businesses aren't grand enterprises. They make more than the businesses you imagine as a percentage of investment or as a profit margin though.
>no, it wont cost you less,
again, MOST businesses
most businesses won't survive constantly increasing costs.

How does that make sense? If you get 100k out of 10k accounting for expenses, with 100k to reinvest, how can they not survive more expenses with a 1000% roi?

>how can they not survive more expenses with a 1000% roi?
intangible costs.

if you reinvest 100% of profits you're better off flipping burgers at MickyD's. Or at least that's how most people would see it.

the value of the owner's time is the variable here, and the owner is the only person that can say what that's worth. Personally I didn't go into business to make less than an employee, so I have to pay myself more.

so I could technically survive expenses increasing ~1000% per year...
but I won't.

another way of putting it:
would you work a job where your salary DECREASED every year?

no?
neither would most entrepreneurs.

Sorry, but what you are saying is BS. If you increase investment value by 1000% so if you invest more into the business then you can get out more money. 10k gets you a 100k, you put 20k in you are supposed to get 200k out, according to you. So it would only make sense if this is a 1 man business, which would cap its growth due to the amount of work you can do. So if the business has no growth potential it will either be swallowed by competition or remain at this low figure.

>if the business has no growth potential it will either be swallowed by competition or remain at this low figure.
kek

now you've got it. If it's swallowed you can expect a payday of a quarter million for NOT WORKING.

If it remains at this low figure it's still a great fucking salary.

and there's a SLIM CHANCE it will be the one doing the swallowing and the owner will be a multimillionaire.

it's a gamble, but any way you cut it the odds are better than being somebody's employee.

So you basically you say you suck at business and hope someone will pick up your slack?
Do you really understand what you are saying?
>1000% ROI is for most businesses
>Most businesses dont survive investment into them at 1000% ROI
>Only option is to be low level biz or to get bought out
>Carpet cleaning companies are the bomb
>Growing your business is for idiots beyond a certain point
But you want to get bought by that idiot who grew his business. Are you serious here?

I've bought 5 businesses in my career and lowballed another 3 out of existence.

I'm not saying what I would do. I'm talking about the odds of success for an average joe that starts a small biz.

chances are he'll get bought out by bigger fish for way more than 10X what he put into it.

if not, maybe he'll be smart enough to become the big fish doing the buying. But there's always bigger fish out there.

I have no aspirations, I do what I do without worrying about the future. I assume you do the same. But an average mcdonalds fry cook could do way worse than starting a roofing business and selling it for a quarter million or more. What's that, a decade of pay at mcdonalds salary?

You can stop trying to make sense here. Good luck with your future projects.

I know you're smarter than that.

>that much profit in one year
you should see girls on Twitch
cause that's what OP is trying to do

t. Roleplaying Autist

Literally a child