Are Online Businesses a Solid Investment?

By Mohit Tater | Digital Assets

Apr 03
Are Online Businesses a Solid Investment?

Investing in any business is a risky proposition. Everyone wants to invest wisely, and no one wants to lose his or her life savings on a venture busted from the beginning. Any experienced investor knows that though there are no one hundred percent safe investments, some investments are safer than others. The challenge for a good investor therefore is to find these “solid” investments.

For years, investors looked to the real estate market and housing as solid investments. The housing bubble and the global financial recession of 2008 put an end to that. In the modern tech-driven world, financial markets can take unexpected turns that are hard to predict in advance. A good investor does not keep fingers crossed and hope for the best that a business venture would produce results. Whether an investment is outstanding or a complete disaster is determined by strategy and prior knowledge on the part of the investor.

There is no magic formula to determine which investments are good and which are bad. Essentially, there are three ways to determine the stability of an investment. The first is to assess how the business is impacted by the fast growing technologies. If the business can withstand and adapt to new technologies, then it’s a go. Secondly, the business venture should be evaluated based on the kind of growth it can create after the initial investment. If the business venture has the capacity to grow and create value in the future, then that’s a market for a good investment. Thirdly, the business venture should indicate steady growth over the years. Failing businesses do not make solid investments.

Finding a solid investment that checks all the three boxes is difficult. Stock market investments don’t even come close to being a solid investment category due to market volatility. Real estate, too, is subject to market volatility and its ability to create growth in the future is mostly based on speculation rather than fact. This doesn't leave you with too many choices for investing your money.

Enter online businesses. While the idea of investing in an online business might sound intimidating to you, it is in fact not. If you think I am talking about investing in startups and what you need to have big money to be able to invest, then you are mistaken.

What I am talking about is investing in revenue generating and cash flowing online businesses. I have been buying and selling online businesses for myself and my investors for over 4 years now and I am very happy to say that this new asset class trumps any other asset class when it comes to the ROI. Just to give you a taste, I have managed to get 200%+ returns on some of the online businesses I bought.

The Internet has drastically changed how we function today, and particularly how we trade. Everything from a supermarket to a rare book business can be done online. It’s not just how well businesses like this can function over the Internet, it’s how profitable they can be. Most people today spend a big chunk of their day on the Internet. They connect with people on social networks, they get their news online, they listen to music online and they buy things online. There’s no data to indicate that this trend is going to go down anytime soon. In fact, the reliance on Internet is only going to increase with advancement in mobile technology. All this indicates lucrative long-term investment opportunities for online businesses.But how solid are such investments?

Online businesses, for the most part, seek to defy the typical hurdles faced by many traditional types of investments. For example, property investment often goes wrong due to high transaction costs, too much turnover, short-term tax rates and getting emotionally involved with a place. Online businesses are of course not immune to investment problems, but they largely steer clear of problems as those faced by traditional businesses.

What is a W​​​​eb Property/Digital Asset

Web property

Web is unquestionably the only sector in the world which is undiscovered in terms of investment. Only a handful of people with big money (Angels and VC’s) are completely aware of the techniques of investing in web properties.

A web property or digital asset, in layman’s terms, is a website that is already generating revenue and is profitable. This is unlike startups which are more often that not, not profitable and run on investor money in the hopes of being acquired one day.

A digital asset can be any of these:

  • E-commerce store
  • Affiliate website
  • Content and Media website
  • Membership and Subscription website
  • Software product or SaaS
  • Lead Generation website
  • Service based business
  • Marketplace and transactional website

Each of the websites above is capable of generating revenue and are therefore, called “Digital Assets”. But a very few people in the world are aware of the concept of “web investments” and ever fewer have the know how of how to invest successfully in these businesses, for it is a relatively new and upcoming asset class.

Gone are the days, when you had very few options to invest your money and these were mostly in bonds, stocks or real estate. You had little to no control over the returns you would get from these traditional investment channels but with web businesses, you have much more control on your ROI.

Digital Assets is the most undervalued asset class because of limited information in the market. It may not be mainstream for now but won't remain for long as more and more people learn about it. But there is no doubt that investments in web assets can be eminently rewarding. The financial gains that one can receive is proportional to –

  • Knowledge of different kinds of websites.
  • Knowledge of different revenue generation methods.
  • Experience of investing in web assets.
  • Working with the right people to run your web business.
  • Willingness to learn and invest in web properties rather than just traditional investments.

We, at BlackBook Investments, have more than 4 years of experience in Web Property Investment. With 200+ clients from all parts of the world, we are one of the best digital asset investment companies in the industry. Our team has expertise in website management, investing, evaluating, growing and trading. Knowledge of web asset trading has come from years of experience of buying and selling different kinds of digital properties. Our core expertise is in –

  • Buying and selling digital assets.
  • Investing others’ capital into Web Assets to give them good financial returns.

It is our primary mission to educate people about this new type of investment so that they can reap great financial fruits from intelligently investing in the right web assets at the right time.

Why Should I Prefer Web Asset Investment Over Traditional Investment?

Web asset investment

As we have seen in the past 10-15 years, growth in the number of websites has been exponential. The numbers are still rising at the same rate. Millions of revenue generating websites are hovering over the web. Just like investment in traditional assets like Stocks and Bonds received an overwhelming response after their rewards in the financial market, so would be seen by digital assets in the time to come. Major reasons why investing in web assets is way beneficial over investing traditionally are –

  • Solid financial gains on low investment value.
  • Upcoming market in the field of investment.
  • Almost no sharks in the investment arena.
  • Great opportunity to explore and learn.
  • Appreciation in assets with time.
  • Availability of different types of web properties to invest in.

Web Assets are undoubtedly going to see an exponential rise in the investments because of their ROI (Return on Investment). Just like the growth of the internet, it is going to see an unexpected rise in the near future.

What better than investing now and enjoying the returns when everyone else would be just thinking of getting knowledgeable about investing in digital assets? It takes time, knowledge, experience, experimentation and failures to enrich in digital asset investment. BlackBook Investments has seen it all to polish themselves on this pitch. Our plan is to involve maximum people in this high-yield investment garden to take this kind of investment to the mainstream.

Since it is an undiscovered asset class, investing through a trustworthy, knowledgeable and experienced web asset investment company is emphatically significant. Only an experienced and expert investor can help you invest in the right digital assets to optimize your ROI. One can easily check out a company’s employees, their management, their headquarters, their sales and other important factors to analyze the investment potential in the company. But, with a digital asset, these things are not possible since their presence is just over the web. Therefore, things to consider before investing in a website are –

  • Earnings - See how much does a website makes monthly, quarterly and annually.
  • Traffic - What is the number of visitors on the website at different times of the year?
  • Monetization Strategy - What are the methods employed by the website (like ads, lead generation, product offerings, affiliates etc.) to generate revenue?
  • Conversion Percentage - How many visitors on the website actually buy products/use services contributing to the overall revenue?
  • Location Preference - People from which area or time-zone constitute maximum to the revenue generated.
  • Traffic Diversity - Where is the maximum traffic coming from among the Search engine, social media, email subscriptions, direct sales etc?
  • Marketing Channels - What all marketing channels have been utilized by the website to promote itself and what are their analytics?

Considering all these factors is of great significance in the area of Web property investment. Extensive due diligence is required because of the absence of any sort of “Securities and Exchange Commission” in the Web Asset Investment. It is the sole responsibility of the buyer and/or the company he is investing with, to fetch the minutest details of all the factors that need to be considered before investing in a digital asset.

Who is this Website for?

This website is beneficial for the one who is keenly interested in learning the art of investing in digital assets. The information we share is exclusive and adhere to our experiences with web investments in the past. Obviously, you need to have some capital for investment.

We encourage our investors to not put all their eggs in one basket and employ their financial resources in different types of web properties to minimize the risk of failure and optimize overall ROI. This not only keeps them in the profit zone but also helps them attain knowledge of different categories of digital assets.

If you have some capital to be invested and eagerness to learn the art of investment in the most undervalued asset class, this is the place you should be at.

About the Author

Mohit Tater is the founder and CEO of BlackBook Investments through which he helps people invest in online businesses and digital assets. Apart from advising clients on SEO and marketing he also blogs at mohittater.com.

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