...and it seems like we do too. HA!
If you're launching a business, and especially if you're launching one of 1409812348091234 new internet businesses, you need a business model.
Why, you ask? Here's a few reasons:
- Folks are blaming the Web 1.0 (the stuff waaaaay back in the late 90's/early 2000's) dot-com crash on the fact that money was plowed into businesses who had great concepts and ideas, but lacked the ability to carry these to fruition and a business model. Uh oh.
- They establish how you plan to make money. As much as we web-2.0-dot-commers hate it, a business is nothing without a revenue generating engine. And umm...last I checked, "selling to Google, Yahoo! or Rupert Murdoch based on the number of monthly hits we get" does not qualify as a business model. Shucks!
- They help your potential investor understand where you're headed.
- Because the Venture guys say so."Do you do everything they say?"No. But this one, I'm going to ride with. We've got the ideas and they've got the deep pockets ($$$). If they say you NEED a business model to trade, why WOULDN'T you make one?!
- The basic process flow indicating how a business operates: including how business functions are linked together
- The fundamental value proposition that defines a company's presence in the market
- A representation of a company's revenue stream, benefits to the customer and architecture (schema) to deliver those benefits
- ITS basically how you do what you say you're going to do and how you make $$$
...and they say business isn't sexy. :ha:
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