How Much Of What You Make Online...

[Lee]

Do you re-invest back in to your business?

Right now, we're currently putting close to 60% of our revenues back in to the business after salaries and expenses have been paid for the last months operating expenses.

I mentioned this to someone earlier this evening on AIM and they couldnt actually beleive that we put that much back in to expanding the business they then told me that they probably spend around 10% of thier gross monthly revenues back in to their online ventures.

When i asked them what kind of business setup they had, he turned around and told me he 'didnt know' because his lawyer had done everything for him :eek:

Is that the general consensus in the industry? Put back a small amount of funds in to webmasters businesses and just blow the rest?

Regards,

Lee

[CJ-KJCash]

Well, that is not the situation with us. I would say we are putting back at least 60% or more of what we make. I wish I could get by with just 10%, but we are in a real expansion phase right now. I figure it will all pay off in the long run and then there will be more to take out.

[Squirt]

This is one of the biggest problems people tell me I have.

I literally put every spare penny I have back into development and and maintenance.

I live off 20% net profits from my businesses and put every dime back into the businesses.

I'm at the point now of investing in more manpower :coffee:

[basschick]

we are reinvesting every dime right now, but never have we reinvested less than 35% in any month - and overall i'd say usually between 60% and 65%.

[Doctor Dre]

Most people will say they re-invest ... but most don't . Honestly if I had a good plan couple years ago, I'd be worth a lot more then I am now ... I started realising how important money was in this business probably 2 years ago... expending since then

[Squirt]

Most people will say they re-invest ... but most don't . Honestly if I had a good plan couple years ago, I'd be worth a lot more then I am now ... I started realising how important money was in this business probably 2 years ago... expending since then

Kind of sucks seeing most the money I make go back into the business when you see all these guys posting pics of their new BMW etc etc. but I think it will pay off in the long run and I don't mine having a used model so screw em.

Remember that investing back into the business isn't guaranteed success either, you still have the people who will rip you off, underperform what you pay them to do, etc. but the more money you put in, the faster you can bounce back. IMO