What is the right business model for you?
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Ravi Abuvala
The Good, Gruesome, and Great Business Models
- Gruesome
- Capital Dependency
- Difficult/Costly USP
- Low Profit
- Local Talent Pool
- Good
- Non-Capital Dependency
- Difficult/Costly USP
- Predictable Client Acquisition
- Streamlined Fulfilment
- Global Talent Pool
- Great
- Moat
- Non-Capital Dependency
- Short Sales Cycle
- Predictable/Profitable Client Acquisition
- Streamlined and Scalable Fulfilment
- Global Talent Pool
- Business models are like savings accounts.
- Great -> High interest that increases as time passes.
- Good -> Decent interest rate that can be earned on deposits added.
- Gruesome -> Little to no interest rate that requires you to keep depositing money to keep original investment alive.
- Can transition between stages.
- A real estate agent who learns how to do lead generation, then do lead generation for other real estate agents and charge them, finally they teach other real estate agents everything they’ve learned.
- I made this transition from advertising agency to business accelerator.
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