How did Elon Musk become one of the world’s richest entrepreneurs? He didn’t simply launch one firm; he was involved in multiple game-changing ventures, including PayPal, SpaceX, and Tesla. The same can be said for Richard Branson, who has started over 400 firms, and Oprah, who has founded or acquired significant shares in various companies such as Weight Watchers, True Food Kitchen, and Oatly.
While some entrepreneurs are satisfied with starting a single business, scaling it, selling it, and retiring to a life of leisure, others are compelled to accomplish more. Perhaps they want to make the world a better place, or perhaps they simply want to keep active and build their enterprises.
Should you want to follow in the footsteps of some of the greatest businesspeople ever and creating several revenue sources, you have three choices:
1. Build Several Enterprises One At A Time
A visionary entrepreneur may find the concept of founding many firms enticing. However, when reality sets in, business owners frequently learn that running a single business is difficult enough. Fortunately, there are ways to establish many businesses while staying afloat.
First and foremost, you cannot operate many enterprises on your own. You require collaborators.
Second, don’t establish numerous enterprises at once. Start one, focus intently on it until it becomes lucrative, make it into a self-managing entity, and then use your revenues to create the next.
Third, discover ways to align your businesses and generate synergies so that each can expand quicker and more efficiently.
2. Purchase existing businesses
Warren Buffett got his money by purchasing businesses rather than starting them. Could you use the same strategy? Remember that the success of any acquisition is dependent on who (and what) comes with the company.
The “who” is simple: the people who are currently employed by the company. These folks may like or dislike the company. Neither of these is inherently good or evil. If they like the company, they may stay, but that could also mean they don’t want you to change anything, even if it’s for the better. If they dislike the company, they may leave, but they may also give many suggestions for how to improve things.
The question of “what” can be more difficult. Businesses can come with tax requirements, legal entanglements, and other complications. This is why many acquisitions do not include the purchase of the complete organization, but rather an asset buyout in which only the components of the business desired are purchased. Regardless, make sure you do your homework, so you know precisely what you’re getting yourself into.
3. Outsource Building Businesses
Many business owners outsource aspects of their operations, such as marketing, but what if you could outsource the entire operation? When starting a business nowadays, there is a lot of complexity and rivalry. You have to deal with product sourcing, transportation, and supply chain management, not to mention the fact that these things are continuously changing. Complete outsourcing of the function makes more sense for many companies and investors.
An ecommerce store is one of the simplest types of businesses to outsource because so much of the process can be automated. Business automation is critical to maximizing an entrepreneur’s potential. It’s how you make money while you sleep, but most entrepreneurs are unaware of the automation systems and tools available – which is why, for many, focusing on vision, brand, and marketing while outsourcing everything else makes sense.
Many publications and social media “experts” will teach you how to develop many sources of income “overnight” or as a “side hustle.” The concepts I presented above are not get-rich-quick schemes or side hustles.
These are time-consuming tactics that necessitate considerable sums of money and work, but the payback can be substantial.