How does your business generate income?

[Nightmare]

Every business man or organisation who is involve in any sought of business or marketing would have to note this down . this is because it will help you to be aware of your business status in terms of source of funds or income .

How dies my business actually generates income ?
For every business, there must always be profit, but it got to be in different ways and styles .
To be able to identify or know how your business generates it's income then you will have to take out some brief and quick observation about it .
For instance, if your business is a type associated with the selling of goods, services and commodities . the first thing you do is to Check out the productions rate.
Yeah, you can just easily calculate how much you spend in terms of producing the products , then you compare it with the terms of distribution or discharging it go consumers or people . Any of the two stages that tends to require low spending is said to be the source of your income of your business .
As far as any business is concern, there ought to be a source of income for it , so fish out yours if still in process .

 

[Learners Quest]

There are a few ways that businesses generate income:

1. Selling products or services - This is the most common way for businesses to generate income. They produce a good or service and then sell it to customers.

2. Renting out space - Another way businesses can generate income is by renting out space. This could be office space, storage space, or even parking space.

3. Investing - Some businesses generate income by investing in stocks, bonds, or other assets.

4. Advertising - Some businesses make money by selling advertising space on their website or in their products.

5. Government grants - Some businesses may receive government grants that can be used as income.

 

[Augusta]

Yes you are right to a large extent when it comes to any business there's an avenue where the money is coming n from. So it is to find where it is and utilise that go the maximum. Like if one is selling different products it is good to find out the products that you are selling very well and try to amplify it by selling more of it . You can even modify it to attract more customers. it is always good to find what is selling well for you in your business and capitalise on it to gets it right.

 

[niche]

In the internet sector in some countries, it is very difficult for a business to generate income, especially if the business owner is working from home because all the leads, orders are diverted to government employees making fake excuses of security threat. The government employees are then giving the stolen orders to their associates who may be giving them a commission for the stolen order. So some business owners are forced to rely on businesses where orders cannot be stolen, and there are very few websites where orders cannot be stolen.

 

[moonchild]

There are business that do not generate income on the go, example are internet business, they even tend to lose money at the start so, typical example is Uber they just started making money recently, all these years they have been losing investor's money.

If you live in Nigeria, another obvious example is Jumia, they're still losing billions every year, as they are still looking for ways to get profitable.

But you're right for small businesses you have to start making profits on the go, don't wait or settle, figure out a way you can make money from day 1, especially if your business is liquid and you need money to stay afloat.

But if you have bigger dreams and you want to reach the billion dollar mark or high number millions you're better off being cool with losing or not making anything from the start, especially if you're building for a new market.