The pandemic has proven the need for small businesses to seek out alternative revenue streams. When you only rely on one source of income, your finances become very vulnerable. Finding alternative ways to bring in revenue protects both your business and your personal finances. If your primary business isn’t doing well or cannot operate at full capacity, your alternative revenue can help keep you afloat.
Ecommerce has exploded over the last two years, and that trend is sure to continue well into the future. Selling online opens you up to a worldwide market. It also enables you to carry a far greater number of products through dropshipping services without the need for additional storage space. Marketing for online sales is also easier since all you need to do is direct them to a website instead of convincing them to get in their car and drive to your physical location.
Starting a complementary business that supplies your current business with the inventory it needs can significantly reduce your costs and help to expand your customer base. Having a separate business protects you in the case that one of them fails. It also presents some great opportunities for cross-promoting as each company can advertise the other both in-store and online. Be sure to keep both of the businesses separate legally and financially.
New Products And Services
Most businesses periodically adopt new products and services, but in this case, we’re talking about adding something completely different than what you normally offer. Over the course of the pandemic, many businesses started carrying masks, hand sanitizers, and wipes, generating a ton of revenue in the process. Do a little research into current trends and survey your customers to find out what may be a viable source of additional income.
Monetized YouTube Channel
There is a lot of money to be made on YouTube if you’ve got something interesting or educational to talk about. Monetizing your channel allows you to be paid by advertisers based on views. If you own an auto shop, posting videos of how people can fix their own cars can actually be quite lucrative. Restaurant owners may ask their head chef to give lessons on cooking techniques, kitchen safety or simply show how to create a particular dish.
“The subscription business model is a business model in which a customer must pay a recurring price at regular intervals for access to a product.” This can be particularly effective for owners of salons or auto repair shops where regular visits are typical, to begin with. A subscription that offers regular haircuts, styling, coloring, vehicle maintenance, or oil changes not only provides guaranteed income for a set period of time it will encourage customer loyalty.
Opening up additional revenue streams can help protect you in times of crisis or uncertainty. Think carefully about how you want to approach doing so and make sure not to over-invest and leave your primary business vulnerable.
Quikstone Capital has been in business for more than a decade, and we’re in it for the long haul. We partner with our merchants to achieve success, and their success is a direct reflection on us. Quikstone Capital will never put a merchant in a position to fail under the weight of its own debt. Our product is designed for projects that help a merchant’s business grow and increase sales.