Money is in sales not development

woz.jpgDo you know who Steve Wozniak is? You might cause if you’re reading my blog, most likely you’re a geek. But i don’t think most people know who this guy is. People know who Steve Jobs is. Steve Wozniak is the creator of Apple computers. He is the one who made the computer. He is one of the first people who made the personal computer. He is the genius. But most people believe it’s all Steve Jobs. No! Steve Jobs is the sales man. He’s the marketer. He’s the one that makes all the big bucks. He’s the guy that the mac dorks worship.

Money is a funny thing. It doesn’t necessarily attract to smart people. Money doesn’t stick to engineers, designers, or geniuses. Money is made by salesmen. I was talking to a friend who wants to start a business. He wants to start a restaurant in Los Angeles. I warned him that risk vs reward is not good and how restaurants statistically are the least successful business investments and blah blah blah. I tried to convince him to wait about a year and buy an investment property instead. And take the remainder of that restaurant money and go 50%-50% with me on an internet business. He’s has around 300k that he wants to invest. Guess what he said. He went on about how he doesn’t know anything about computers or internet. He doesn’t know how it works. He doesn’t even know to register a domain name. I told him that’s not important. We can hire the guys who knows these things. We just need a great idea. We don’t need to do the code or design the website. We just need to believe in the idea enough to invest money into it.

I think entrepreneurs are different from regular folks. We have the gamblers mentality. We tight rope conventional thinking. We have balls. We have the audacity to start a business when we don’t know shit about it. That’s an entrepreneur. I can honestly say that i’m a complete noob when it comes to the internet. I don’t really know how html code works. I don’t understand why certain texts can change the look of a website. I don’t even know how computers link to each other. I can follow patterns. I can compare prices. I know what can be done and i know how much it will cost. That’s all you need if you want to start a web business. If you’re a tech noob, don’t be afraid. Don’t think that you can’t start a web business. Even if you don’t know computer code, or internet language, you can still become rich online. Look at most internet millionaires, they aren’t web geniuses, they are salesmen.

Let me give you another example. My dayjob is real estate development. I either directly invest my companies money or i take a commissions, usually 4-8% of the total development. There have been a couple of projects where i didn’t make much off the the project. I had to cover some of the construction delay costs, upgrades, and etc. The real estate broker i used for that project made around 6 percent on some of the units. I think i made less then 4% minus my initial costs. So i made around 2%. I had to do most of the work but i got 2%. The real estates agent made 6 percent on dual contracts. All she had to do was show a few pamlets(that i made) and show the model unit and take 6%. Easy money. I don’t want to switch over to sales cause i rather enjoy developing property, but i do know that money is in sales not development. Selling something is easier and pays way better. You don’t have to do much but you’ll still get paid the most. That’s how important selling is. If you want to make a lot of money, think sales, not development. Web works the same way. Don’t try to develop the next youtube, just take an existing site or technology and change it up so you can sell it. Market it and you’ll make the big bucks.

I’m currently working on two websites. One is real estate related and one deals with blogging. Both projects i’ve invested over 13k each into it. I only work on the marketing. I’m going to be selling the service or product. I’m just the salesman. I hired the designers and programmers. I hired the developers. I’m taking the risk but if it becomes popular, i’ll be the one that becomes rich off of it. The developers, and designers will only get what i paid them. Like the post title says, money is in sales not development

15 thoughts on “Money is in sales not development

  1. solacetech

    That’s not cool dude. lol… Woz is not an opportunist. What made apple so explosive was Steve Jobs Salemanship, I agree, but without a good product, your nothing…

  2. bloggernoob

    i love my iphone and both my macs. but i think my dell is more useful. mac is sexier trophy wife type, but i know my pc will take care of me when i’m old, fat and gray. apple has cool stuff, but it’s all marketing. seriously. and myself and a lot of “cool” people have bought into the hype.

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  4. Richard Abelson

    Hey also on a side note…

    Steve Jobs knew how to be an euntreprenaur he knew it so well that even though it hurt him when he left apple he wasn’t worried on what he was going to do next.

    He saw the an opportunity in the technology of computer animation. Did he know how he was going to put it all together? Nope, he just saw the technology and knew he had to get his hands on it.

    He put intelligent people that knew what they were doing and pushed them to their limits to create something.. He then reaped the rewards.

    I know my short summary doesn’t do him justice but its worth a read to get his biography.

  5. Tom

    Noob, really like your blog…refreshing honesty.

    Shoemoney said in a recent Q&A that 99% of people who start web businesses will fail. What’s your take?

    (My hunch is that the 1% figure might be right if you factor in the fact that 96% of people won’t actually get started.)

  6. Ben

    See I am just the opposite of you. I am a programmer (I prefer coder) and not a marketer. So I hire marketers (more often than not work out deals with them) to do the sales for me while I create and develop the idea.
    I learned the hard way that if you want to be creative you can’t do everything, hiring the right people to take of the business side of things allows me to keep creating.
    Steve Jobs and the Woz were a good pair. The Woz did the creating and Jobs handled selling the creation.

  7. the noob Post author

    solacetech- i want to learn more about linux. i have two old computer that i installed linspire and ubuntu on, but i honestly don’t know how to use linux’s power. hopefully i’lll learn more in the 2008.

    traveller- hmm. how do you mean used it. i own two macs. i know it has a lot of bells and whistles but i honestly prefer my pc. i take my powerbook to borders tho. much cuter.

    richardabelson- don’t worry rich. i can’t spell either. yeah i’ve read two books about apple and steve jobs. he’s an interesting guy. he’s no genius tho. he’s a great marketer and salesman. he’s a money magnet. midas touch. still think woz is the genius. steve jobs would be nothing without woz. and vice versa. his success post apple could be argued as money. money begets more money. he wouldn’t have been able to do pixar if he wasn’t the apple guy.

    tom- thanks. i guess i agree with shoe on that. not really a fan of shoe but he did get that right. your guess of 96 percent not starting is probably right too. who knows for sure, but i honestly believe that 95 percent of bloggers quit within the first month.

    ben- nice input. i didn’t even think about the opposite. coder hiring marketer works too. maybe works better. salesmen are a dime a dozen, one can argue that good salesmen are hard to come by but regardless. i wish i had some coding skillz. yeah woz and jobs are a great pair. i need to find my woz. u know what tho ben, seems like you’re background is in programming but you have the businessman’s ballz. i know a lot of coders who are career salarymen. no balls to start their own business. but seems like ur an entrepreneur.

  8. solacetech

    Why do Mac users get so sensitive,it’s not a religion,is it? Every time I use a mac I feel like I’m in kindergarten. That’s me. This is an odd question Noob but I had a 7/10 pagerank this morning and by the time i finished adding more links,it went down to 0/10 is that normal? I need your help Doc,lol. Thanx.

  9. the noob Post author

    solacetech- it is a religion. maybe not a real religion. more like lord of the rings and startrek geek type of religion. hmm. you’re asking the wrong person about PR? haven’t you noticed the big 0. :) I think mattcutts, mattnutts and courtney tuttle and the griz should know more. U should try asking them. i know they response to most every questions or emails.

  10. Bruce

    The real truth is what you said about Jobs being nothing with out Woz and vice versa. I hate to say it, but you can’t sell a website without know at least a little something about how websites are developed. What are you going to do if a prospective client starts to ask technical questions? The guys making your site should also be aware of how and who you intend to sell it to. They may make it too simple or complex for its users.

    You should always know some things about what you’re investing in, and the guy developing should know something about how its going to be sold. Only the combination will make for success.

    And yes, the salesman at the end of the day will get the $.

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