Affiliate marketing can be run as an online home-based business,
but is by no means a get rich quick scheme. It has a learning curve, but
by putting in effort it is possible to generate income overtime by
selling someone else products. The affiliate is in fact an online
salesman and not the middleman as is often thought. If he represents the
product or service correctly on his website, the individual will click
on the link to the merchant's website. The merchant is the one who makes
the sale.
Changes put in place by Google and FTC makes it difficult to run an affiliate business without a website. Initially it is best to create a website with content which you are passionate about to lessen frustrations often associated with an online business. A website also ensures the merchant you have a place to display their advertising banners and links. With a website, affiliate managers can easily ensure that you are promoting the merchant's products correctly and that you operating within the strict guidelines set out by the federal laws.
The products or services you promote as an affiliate marketer must blend in with the market niche of your website. If not, you may find that your website visitors will rather click away quickly instead of spending extended periods of time there. Niche market research can easily be done by using internet search engines such as Yahoo, Google and MSN. A word of warning, ensure that you don't steal or copy the site information of others.
It is necessary to register your business as a legal entity within the state that you live. Contact your local government and department of Treasury regarding this as situations differ. You will also be expected to pay taxes, irrespective if your source of income is local or from overseas. Federal and state taxes needs to be paid on a quarterly basis; viz., by April 15, June 15, September 15 and January 15. The estimated tax is payable is calculated by subtracting your estimated expenses from your estimated income for the year.
As a home-based sole proprietor you can deduct a percentage of the mortgage as business expense. This is calculated by determining the percentage of your home floor area used for the business. Using the same formula; telephone, garbage and internet connection expenses can also be calculated. Other expenses related to your business include supplies, advertising and business account bank charges.
Changes put in place by Google and FTC makes it difficult to run an affiliate business without a website. Initially it is best to create a website with content which you are passionate about to lessen frustrations often associated with an online business. A website also ensures the merchant you have a place to display their advertising banners and links. With a website, affiliate managers can easily ensure that you are promoting the merchant's products correctly and that you operating within the strict guidelines set out by the federal laws.
The products or services you promote as an affiliate marketer must blend in with the market niche of your website. If not, you may find that your website visitors will rather click away quickly instead of spending extended periods of time there. Niche market research can easily be done by using internet search engines such as Yahoo, Google and MSN. A word of warning, ensure that you don't steal or copy the site information of others.
It is necessary to register your business as a legal entity within the state that you live. Contact your local government and department of Treasury regarding this as situations differ. You will also be expected to pay taxes, irrespective if your source of income is local or from overseas. Federal and state taxes needs to be paid on a quarterly basis; viz., by April 15, June 15, September 15 and January 15. The estimated tax is payable is calculated by subtracting your estimated expenses from your estimated income for the year.
As a home-based sole proprietor you can deduct a percentage of the mortgage as business expense. This is calculated by determining the percentage of your home floor area used for the business. Using the same formula; telephone, garbage and internet connection expenses can also be calculated. Other expenses related to your business include supplies, advertising and business account bank charges.
Posts
0 comments:
Post a Comment