Tuesday, March 4, 2008

Ride the Ups and Downs with Multiple Revenue Streams

When I started my first business in 1979 a tax attorney told me to never let one customer get more than 10% of my time. Another way to say this is, the more customers you have the better! To protect yourself over the long haul, develop multiple revenue streams.

Donna Baase , founder of Cowgirl Enterprises, had a vision about skincare products that come from botanicals -- herbs, flowers, roots, etc. In the dry air of Colorado, especially in this mile high city, she knows women need and want skin moisturizers that really work.

Though she started her business on her kitchen table, blending twelve oils from plants and roots (Cowgirl Cream), she quickly learned to outsource key parts of her business and to focus on her unique strengths. She was also very smart not to depend upon what she thought would be her best distribution channel. She expanded from natural product stores, to spas to boutiques.

Develop multiple revenue streams to protect yourself from market ups and downs.