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Investing $3000 on SEO

Discussion in 'Black Hat SEO' started by K114a, Dec 27, 2016.

  1. K114a

    K114a Junior Member

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    Hi, folks.

    I got an investor who can shell out $3500 to invest in my business. I'm thinking off to start 5 affiliate sites and buy PBNs, etc.i, etc. The thing is I'm worried that, if I failed then I would be in massive debt to repay the initial investment.

    And, if I made profit i have to pay 50% monthly to the investor.

    So, Is it a good deal? Any suggestions?

    Thanks.
     
  2. BigLeague

    BigLeague Newbie

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    Sounds like it might be more of a loan than an investment. Aside from that you have to ask yourself if $3,500 is enough to part with half of your business going into the future. And if the resources of the investor could benefit you greater than other options.

    Another thing is that profit splitting is a difficult thing to manage because business expenses are out of the investor's control. It is more common to see a percentage of sales going to investors.
     
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  3. mangoodi

    mangoodi Jr. VIP Jr. VIP

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    Dear mate,

    It depends upon your skill experience and management.
    If you have good experience in affiliate sites and PBNs you can go for it.
    But if you going into this for the first time you should not accept this deal.

    Moreover your deal itself not good. If you got profit he will share with you. If you lose he won't. That is not business Mate.
    I Don't think, worth to give 50% share in profit for investing.
     
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    Last edited: Dec 27, 2016
  4. Nut-Nights

    Nut-Nights Jr. VIP Jr. VIP

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    You want to take loan for creating aff sites and PBNs ? Really ? Not a good idea OP
     
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  5. Peter Ngo

    Peter Ngo Jr. VIP Jr. VIP

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    Well only take this deal if you know what you are doing, and the only thing you do now is scaling.

    If now you don't have any working proving model then i suggest you not too, if this is your first IM project then say helllll no, the failing rate for first few projects is extremely high.
     
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  6. knowing25

    knowing25 Elite Member

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    Your investor is bad investor because he believe to invest his money to someone that dont have good portfolio in business, and you in this case dont know what business you need to run, your business plan is suck, if you still asking this than you not worth getting this investor.
     
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  7. xjapan

    xjapan Power Member

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    use the money wise then
     
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  8. WeWontBeAlone

    WeWontBeAlone Regular Member

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    I wouldn't do it, he can only gain and you risk a loss (if you come up short) He's a smart person and he's playing you.
     
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  9. Donbuffy

    Donbuffy Jr. VIP Jr. VIP

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    Looking from the business point of view, its a bad investment.... i would advice you back off for a while until you are sure of what you want to do
     
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  10. Sristy

    Sristy Jr. VIP Jr. VIP Premium Member

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    If 50% is shaved off from your profit then the same applies to loss also.
     
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  11. K114a

    K114a Junior Member

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    yo. bhw is love! thanks fellas. declined it. going to invest my own money rather than using someones money.
     
  12. GringoMonkey

    GringoMonkey Power Member

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    Only shell out on seo if you KNOW the keywords make you money.

    Otherwise use paid traffic to see which keywords make you money first.
     
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  13. Nargil

    Nargil Jr. VIP Jr. VIP

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    Bad idea. Plus $3500 is not enough to make 5 affiliate sites with PBNs at all. Maybe one, properly done and ranked with a decent PBN targeting some easy keyword. And yeh, it will take a few months at the very least. So think over your strategy again.
     
  14. SEO Pearl

    SEO Pearl Jr. VIP Jr. VIP

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    I don't think it could be a great deal. If you can do it yourself as successfully then go ahead with this deal otherwise you can better to skip it.
     
  15. bartosimpsonio

    bartosimpsonio Jr. VIP Jr. VIP Premium Member

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  16. BlogPro

    BlogPro Power Member

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    A good rule of thumb is to always solicit investments for scaling, never for creation.

    If you have a proven business model that could use some marketing and resources and in turn become even more profitable, then get the money. There are still risks, but they are considerably less.

    If you're asking for money to invest in the creation of something, which could potentially be profitable, you're doing it wrong.
     
  17. drogon

    drogon Elite Member Premium Member

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    This is not an investment really. Investment is not paid back if you fail so its a loan. And if you succeed he gets half your business. Very bad deal.
     
  18. LeanLow

    LeanLow Jr. VIP Jr. VIP

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    Option A. Get a loan that you will have to repay if the project fails + give 50% of what you make if the project succeeds.
    Option B. Get a loan that you will have to repay if the project fails don't give anything if the project succeeds.

    With that type of logic I would look for a different carrier path than Aff marketing/SEO.
     
  19. K114a

    K114a Junior Member

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    can anyone guide me how a perfect business plan should be and what type of plans should an investor have, whether the profit share, etc?
     
  20. ZhoronoX

    ZhoronoX Newbie

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    Some people from 50$ can make A LOT of money but other from 5k$ can make even 0 :)
     
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