Office Space Expenses

$0

$7,000

Employee & Freelancer Expenses

$151

$352

Website Costs

$223

$7,215

Business Formation Fees

$600

$4,700

Software Expenses

$150

$2,794

Advertising & Marketing Costs

$0

$3,000

Total Startup Costs

$1,124

$25,061

Lucidpress

lucidpress.com

12,966

Viewst

viewst.com

155,976

Biashara

biashara.co.ke

253,499

MarketGrabber

marketgrabber.com

348,644

Make My Newspaper

makemynewspaper.com

379,948

Ethiopian Business Directory

etyellowpages.com

515,447

NUGL Inc

nugl.com

664,075

onepagerapp.com

onepagerapp.com

753,829

AD Los Angeles

ad-la.com

774,960

Viscap Media

viscapmedia.com

944,399

Santa Clarita Magazine

santaclaritamagazine.com

1,202,987

Flexibility

You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own.

Ability to start your business from home

It's not necessary to have a physical storefront or office space to get your business started. You can do everything from the comfort of your own home, at least in the beginning!

Rewarding work

Starting a online ad creation business can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.

Traffic to your website

A online ad creation business gives people a reason to visit your website and to keep coming back to you!

Meaningful business connections

You never know who you will meet as a online ad creation business. This could be the start of an incredible business opportunity!

High customer retention rates

Once a customer invests in your product, they've invested their time and energy to utilize your product/service which is highly valuable to them. Typically, your product or service becomes indispensable to your customer.

Motivation of employees

If you plan to have a sales/content team on board, finding creative ways to motivate them can be a challenge. It's important that you're able to offer great incentives and a good work environment for your employees.

Low margins

The gross margins for your online ad creation business are typically around 23%, which can make it more challenging to incur new expenses and maintain profitability.

High employee turnover

In the online ad creation business, employee turnover is often high, which can be quite costly and time consuming for your business. It's important to try and avoid this as much as possible by offering competitive pay, benefits, and a positive work environment.

Taxes

As a online ad creation business, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it.

High overhead expenses

With starting an online ad creation business, there are overhead expenses that come with selling a physical product. You will want to make sure you strategically budget for these overhead costs. We discuss this more in the startup costs section below.

Churn

In this business, customers can cancel their membership or subscription for your services - which can make revenue forecasting challenging and unpredictable. It's important to focus on your churn rates and trends so that you can prevent this as much as possible.