STARTUP – Set up a distributorship of other people’s products with little or no cash. This allows you to get into business as fast as possible with as little risk, and create an extra income for retirement.
DISTRIBUTION PHASE – Sell other people’s products and earn commissions. Selling other people’s products allows you receive cash flow right away, avoid holding inventory, and build a distribution channel. Your distribution channel will be your most valuable asset at this stage and further steps if you wish to evolve the business further.
Note: For many, the cash flow of a distribution business is enough.
PRODUCTION PROTOTYPE – Your distribution has begun to bank up money, and your coffers are filling up.
With your banked money, you can start to experiment with producing your own products. You own the distribution channel, so selling your product through your distribution is the path of least resistance at this stage.
MASS PRODUCTION – If your innovative product is successful, mass produces your products and reap the highest profits available to any business anywhere.
At this stage, you are earning commissions on the sale of your products plus the high-profit margins of your production. This is the sweet spot where you scale the business as large as possible.
ENDGAME – bank the cash that is now flowing in from your booming business. At this point, you become a bank of sorts and buy out competitors or form a cartel or monopoly to dominate the market.