Website or Store

I am often asked by people wanting to start a business if it pays to pump their money into a store or an ecommerce website. Alot depends on what your trying to accomplish and no answer is right for every individual. But my feeling on it is I would rather pump my mondy into advertising online then rent.

A brick and mortar store comes with all sorts of overhead that a website business does not. A store may pay for utilities, rent, garbage, and a whole lot more. Let’s assume we open up a restaraunt business where we are only concerned about take out. So, there will be no sit down.

In a regular store, I have to worry about insurance, rent, gas, electric, and then advertising. So, you could be looking at $5,000 a month for a small size store. Now, tack on advertising costs. On the other hand with a website, I can take orders online, I can accept orders all day and all night. I also don’t have to have a person taking orders since it’s automatic and I don’t need a cash register.

A store’s startup costs can run you $100,000 dollars where a website would be a fraction of that cost. Now, imagine I take all that money that I would use for startup and monthly rent and funnel it into a good and solid internet marketing campaign. Which do you think would do better?



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