Choosing a Business Model | 5 Practical Examples for You

Owning a business is an exciting idea. There are many types of businesses to choose from these days. There are business models that allow entrepreneurs to earn better profits more easily than others. That is why it is important to consider what type of small business you should venture into. Learn here some tips for choosing the right one to invest in. Also, take a look at the most practical business models you should consider.

Tips for Choosing a Business Model

Picking the right business model is a crucial step. A business model explains how your company creates value and earns profit. There are many choices to consider these days. Determine which is most suitable for your preferences. Always consider your goals and resources.

The Importance of Market Research.

You must know what your customers are looking for. The data you gather can be very helpful. Businesses from the same industry may have different offerings. Each has a unique way to pique the attention of their target audience.

Why Would Customers Choose You?

Your business model should match what you can offer. See what factors lead customers to select your product or service. Find out in what ways your business can provide value to your customers. Knowing the reasons behind why your customers would choose you can help tailor the products and services you offer.

Ways a Business Brings in Profit

A strong business can provide customer satisfaction. At the same time, it should allow them to maintain their financial health. Some businesses use a mix of different ways to make a profit. They look for ways that can help them become more financially stable. You must have a dependable income. This will lead to a solid business foundation.

Consider the Costs and Resources

Each business model has its own unique funding requirements. Some may cost more to launch and maintain than others. Think about the resources you currently have. See how you can keep up with the financial demands of your business. A simple business model would be easier to handle. This will allow you to gradually expand without putting too much strain on your funds.

See Possible Growth and Expansion

Business owners will always consider the possibilities of expanding the company. That is why they always keep scalability in mind when choosing a business model. Some models can be scaled more easily than others. Also, some businesses are more challenging to grow. Make sure your model matches your long-term goals.

Be Adaptable

Industry demands may evolve. Choose a business model that can keep up with the industry changes. You can always start with a simple method. Slowly adapt as your business grows. It is important to remain flexible to maintain a positive customer experience. Being adaptable can help build trust and reliability.

5 Business Models Worth Exploring

There are many business models out there. However, not all can be suitable for your preferences. You need to find one that can withstand the rapid changes and demands of the market. These five business models are worth looking into:

Selling Digital Products

This is a very popular business model in this digital age. Many are selling different digital products because of the increasing demand for them. This type of business is simpler to expand. The rise in demand for online education has made these products more valuable. This kind of business requires some initial work and effort. You need to have the right skills and knowledge to come up with digital products that you can profit from.

Franchising

This is a pretty straightforward business model. A company allows individuals or other businesses to operate using its brand and existing model. The franchisee pays a fee or royalties to the franchisor in exchange for support and the right to sell products or services. This remains under the franchisor’s name. Franchising is highly recommended for beginners. It allows you to benefit from a proven business model. You will be offering products and services that are already familiar to your target audience. Franchising offers investors a simple way to own a business.

E-commerce

More consumers now prefer to shop for products and services online. They look for better deals compared to what is offered traditionally. An e-commerce business can keep its costs low. That is simply because it does not require overhead expenses. This allows them to provide top-notch services. It can easily adapt to what customers require and keep up with the changes in the market. This is why it’s simpler to manage compared to other business models. It is highly recommended for those who are just starting their businesses.

Skilled and Specialized Services

This often covers services that require physical work. You can now offer such services online. This makes it simpler for business owners to make their name more visible to their target audience. There’s a high demand for these services. You can now find specialized services online from different industries. These are services that customers will surely pay for. They are available locally, but good reviews and recommendations can help your business stand out.

Subscription-based Business

This business model provides a reliable income for business owners. They provide exclusive services to customers through membership-based models. These services help build long-term customer loyalty. The tailored experience will make them feel valued. They will continue paying for the subscription-based services you offer as long as they are satisfied and happy with the experience.

Conclusion

Every business is unique. Each model has a way to buffer against inflation and economic demands. That is why business owners are seeking ways to keep up with the challenges that their industry may bring. A reliable source of income does not always start with a huge startup budget. Sometimes, it requires less but has the capacity to withstand economic changes. Starting a business doesn’t always mean big money or prior experience— Bizop.org offers a range of easy-to-start opportunities. Concentrate on business ideas that can thrive in a competitive environment. Make sure that this new venture is successful and can thrive for a long time.

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More Recommended Ebike/Scooters

Check out these other ebikes and scooters I've reviewed:

Urban Arrow Ebike – Last year, I made one of the largest purchases I’ve ever made – I bought a $9,000 electric cargo bike from Urban Arrow. In my Urban Arrow review, I will discuss what it is and why I decided to buy this bike, as well as discuss how impactful a bike like this can be on your journey to financial independence.
Troxus Explorer Step-Thru Ebike – The Troxus Explorer Step-Thru is a fat-tire ebike that I’ve had the pleasure of riding for a while now. It has amazing power, great looks, and awesome range. If you’re looking for a great fat-tire ebike that offers a lot for the price, the Troxus Explorer Step-Thru is definitely one for you to consider. Check out my Troxus Explorer Step-Thru Review.
Hovsco HovBeta Ebike – The HovBeta is a folding ebike with great specs and a lot of interesting features, and importantly, it’s sold at a good price point. I’ve had a blast commuting with it and using it to do deliveries with DoorDash, Uber Eats, and Grubhub. Check out my Hovsco HovBeta Ebike Review.
Vanpowers Manidae Ebike – The Vanpowers Manidae is a fat tire ebike that I’ve been riding as my primary winter commuting bike and have also been using it to do food delivery with apps like DoorDash, Uber Eats, and Grubhub. After clocking in a decent number of miles with this ebike, I wanted to write a post sharing what my experience with the Vanpowers Manidae ebike has been like. Check out my Vanpowers Manidae Review.
Sohamo S3 Step-Thru Folding EBike Review – A Great Value Folding Ebike – The Sohamo S3 Step-Thru Folding Ebike is an entry-level folding ebike that offers a lot of value for the price point. I’ve been riding the Sohamo S3 for a while now, putting the bike through its paces, and I have to say, this bike has exceeded all of my expectations. Check out my Sohamo Review.
KBO Flip Ebike – The KBO Flip is an excellent bike. I’ve had a great time riding it and think it’s a versatile bike that can be used for a lot of purposes and can fit a variety of lifestyles. It’s worked out great for me as a general commuter bike and as a food delivery bike. Check out my KBO Flip Review.
Hiboy P7 Commuter Ebike – The Hiboy P7 is an excellent electric commuter bike that’s offered at an affordable price point. The range and speed of this bike are both very good, so you won’t have any trouble getting anywhere you need to go with it. As a food delivery vehicle, this is also good – with how much range it offers, you’ll be able to work all day on a single charge. Check out my Hiboy P7 Commuter Electric Bike Review.
Himiway Escape Ebike – The Himiway Escape is an interesting bike for anyone looking for a moped-style ebike. If you’re a gig economy worker, the Himiway Escape is particularly interesting and it’s possible to think of it as an investment, especially if you can opt to do deliveries with the Himiway versus using a car. It’s not cheap, but you can definitely make your money back when you compare the mileage you’ll put on your car versus using an ebike. Check out my Himiway Escape Bike Review.
Espin Sport Ebike – The Espin Sport is a good ebike for someone who is looking for an ebike that feels and rides more like a regular bike. There are many ebikes that are really only bikes in name. In reality, they’re basically electric mopeds. The Espin Sport, by contrast, is a bike you could probably ride without the battery and you’d feel like you’re just riding a regular bike. Check out my Espin Sport Review.
Varla Eagle One Scooter – The Varla Eagle One is an excellent scooter that can make sense for a lot of people. It can work as a primary mode of transportation. You can use it to work on gig economy apps like DoorDash, Uber Eats, and Grubhub. And it can also be a recreational vehicle if you’d prefer to use it for that. Check out my Varla Eagle One Review.
Varla Falcon Scooter – The Varla Falcon is an excellent scooter that offers a good amount of power at a lower price point compared to more powerful scooters. It’s not exactly an entry-level scooter, nor is it a high-powered scooter. I think it fits somewhere in-between those two categories – an intermediate scooter if I had to give it a category. Check out my Varla Falcon Review.
Hiboy S2 Scooter – The Hiboy S2 is an excellent entry-level commuter scooter that's perfect for someone looking to save some money in transportation costs and improve their commute. Check out my Hiboy S2 Review.
Hiboy S2R Scooter – The Hiboy S2R is one of the more interesting electric scooters I’ve been able to test out. It’s not a high-powered scooter, but for an everyday transport option, it’s very useful, especially given some of the unique features that it has. Indeed, for the price, the Hiboy S2R might be the best value scooter I’ve used. Check out my Hiboy S2R Review.
Fucare H3 Scooter – The Fucare H3 is a fun scooter and I’ve enjoyed testing it out. For a daily commuter or quick trips or errands, the Fucare H3 is probably the scooter I’ll use. It’s portable and easy to maneuver, so it’s just easier to take on the road when I need it. Check out my Fucare H3 Scooter Review.

More Recommended Investing App Bonuses

For additional investing app bonuses, be sure to check out the ones below:

M1 Finance ($100) – This is a great robo-advisor that has no fees and allows you to create a customized portfolio based on your risk tolerance. You also get $100 for opening an account. Check out my M1 Finance Referral Bonus – Step-By-Step Guide.
SoFi Invest ($25) – SoFi Invest is an easy brokerage account bonus that you can earn with just a few minutes of work. Use my SoFi Invest referral link, fund your SoFi Invest brokerage account with just $10 and you’ll get $25 of free stock. I also have a step-by-step guide for the SoFi Invest referral bonus.
Robinhood (1 free stock) – Robinhood gives you a free stock valued between $2.50-$225 if you open an account using my referral link.
Public (1 free stock) - Public gives you a free stock valued between $3-$70 if you open an account using my referral link.

More Recommended Bank Account Bonuses

If you’re looking for more easy bank bonuses, check out the below options. These bonuses are all easy to earn and have no fees or minimum balance requirements to worry about.

Ally Bank ($100) – Of all the banks out there, Ally is, without a doubt, my favorite. At the moment, Ally is offering $100 to customers who open an eligible Ally account and meet the requirements. Here are the step-by-step directions to earn your Ally Bank referral bonus.
Chime ($100) - Chime is a free bank account that offers a referral bonus if you use a referral link and complete a direct deposit of $200 or more. In practice, any ACH transfer into this account triggers the bonus. This bonus is easy to earn and posts instantly, so you’ll know if you met the requirements as soon as you move money into the account. I wrote a step-by-step guide on how to earn your Chime referral bonus that I recommend you check out.
US Bank Business ($900) – This is a fairly easy bank bonus to earn, since there are no direct deposit requirements. In addition, you can open the Silver Business Checking account, which comes with no monthly fees. Check out how to earn this big bonus here.
GO2Bank ($50) - GO2Bank is an easy bank bonus that I recommend people take advantage of if they have an easy way of meeting the direct deposit requirement. I like that it’s easy to open the account and that the bonus pays out quickly. Check out my step-by-step guide on how to earn your GO2Bank $50 referral bonus.
Current ($50) – Current is a free fintech bank that’s offering new users a $50 referral bonus after signing up for an account using a referral link. Current is an easy bonus to earn and also gives you access to three savings accounts that pay you 4% interest on up to $2,000. That means you can put away up to $6,000 earning 4% interest. That’s very good and makes Current an account I recommend to everyone. Check out my step-by-step guide on how to earn your Current Bank bonus.
Novo Bank ($40) - Novo bank is a free business checking account that’s currently offering a $40 bonus if you open a Novo business checking account using a referral link. In addition to being a good bank bonus, Novo is also a good business checking account. It has no monthly fees or minimum balance requirements and operates a good app and website. Indeed, it’s the business checking account I currently use for this blog. Check out my post on how to easily open a Novo account.
Varo ($25) – Varo is a free fintech banking app similar to Chime or Current. It’s currently offering a $25 bonus to new users that open a new Varo account with a referral link. The bonus for this bank is very easy to meet, all you need to do is spend $20 within 30 days of opening your Varo account. Check out my step-by-step guide to learn how to earn this bonus.

Kevin is an attorney and the blogger behind Financial Panther, a blog about personal finance, travel hacking, and side hustling using the gig economy. He paid off $87,000 worth of student loans in just 2.5 years by choosing not to live like a big shot lawyer.

Kevin is passionate about earning money using the gig economy and you can see all the ways he makes extra income every month in his side hustle reports.

Kevin is also big on using the latest fintech apps to improve his finances. Some of Kevin's favorite fintech apps include:

SoFi Money. A really good checking account with absolutely no fees. You'll get a $25 referral bonus if you open a SoFi Money account with a referral link, and an additional $300 if you complete a direct deposit.
5% Savings Accounts. I'm currently getting 5.24% interest on my savings through a company called Raisin. Opening a Raisin account takes minutes to complete, it's free, and all of your funds are FDIC-insured. I explain how it works, why I'm now using it to store my emergency fund and any other cash savings I have, and why I recommend everyone check it out in this review.
US Bank Business. US Bank is currently offering new business customers a $900 signup bonus after opening a new account and meeting certain requirements.
M1 Finance. This is a great robo-advisor that has no fees and allows you to create a customized portfolio based on your risk tolerance. You also get $100 for opening an account.
Empower. One of best free apps you can use to monitor your portfolio and track your net worth. This is one of the apps I use to track my financial accounts.

Feel free to send Kevin a message here.