Wednesday, April 25, 2012

Business Model


To develop your blog as a money machine would need to develop its business model. Especially when it involves the investment of building a blog which means needs more business model.

The business model basically describes the sources of income from your blog, related costs and quantitative data supporting for the income and expenses, including the investment that  need to develop the blog. The business model is also described the added value that can be provided by the blog to the client and how the added value you generate.

In the business model define the target of benefits and milestone  / time lines to create added value which will be given blog. These targets will be used for benefit tracking and as basis for monitoring the business model implementation.

Among the quantitative analysis needs to be reviewed are the ROI and BEP. ROI stands for return on investment which is essentially as comparison of the total income earned on investment bloggers with the total cost within a specified period. The higher the better its ROI value. BEP stands for break even point, indicating the time period required by the income from the investments that cover costs. If BEP shows lower, the investment made more effective.

With BEP and ROI investment value better means your machine money more effective to make you rich.

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