What Would You Do with $200k to Invest in Your Business?

I recently read a post over at the Warrior Forum that asked, “If you had $200,000; what would you invest it on?”  I loved the question!  But I was terribly disappointed in the answers (at least at first)!

I figured being on an internet marketing forum, people would surely discuss different ways to invest $200k in an internet marketing business.  After all, if anyone is going to truly believe in the potential of an internet business, it will be these people!

Well, check out these first few answers:

  • “LEAPS on Apple!” (stock options)
  • “Scrap Gold”
  • “I would invest it in real estate”
  • “I’d buy a property to live in.”
  • “start with take out $1000, and save $199,000 for a house boat or car or something”

Okay, seriously?  What happened to investing in your internet marketing business!  I was actually getting angry the more and more I read of this post.  But before I “lost it”, a few people actually pulled through and added some great ideas on how to invest $200k on internet marketing.

Here’s a couple of great ideas:

  • “I’d invest in and only in DOMAIN NAMES”
  • “Hire programmers and develop a game on facebook maybe”
  • “I’d buy a bunch of Amazon affiliate sites with it”
  • “Buy an established website from Flippa”
  • “I’d invest the majority of it in large scale media buys to promote various CPA offers”

There were some other pretty decent ideas as well.  But what would I invest $200k in?

How Would I Invest $200k?

Okay, this is a tough one.  I would probably take $100k and invest in building 5 or 6 niche websites…surprise!  I would focus on some great keywords that get lots of traffic.  The majority of my money on these niche sites would be spent on content creation and link building.  With this kind of money to invest, I would be able to go after some really great keywords that might be a little bit higher competition (but not too high) and pay a team to do the manual link building for me.  I would follow the exact step by step instructions I have shared with you on this blog for months.

However, I would take the other $100k and invest in some sort of product that does not rely on the search engines for diversification reasons.

First, I would discover something that I am passionate about. For me this would be internet marketing or small business ideas.

Second, I would discover a need that I wish I had or find a problem that people in my niche are having.

Third, I would create a product that meets the need that I discovered.  This might be an informational product, a piece of software, or any number of other products.  It really depends on what the product is, but you can create a product for as low as a few hundred dollars or you could use the entire $200k here.  I would focus on a product with development costs of probably around $10k to $20k.  Personally, I would focus on a piece of software.

Fourth, I would start to establish myself as an authority in my niche.  This might be through a blog or a free giveaway product to join an email list.

Fifth, I would build a large email list of subscribers.  This is where a good chunk of my money would be spent.  You can build an email list very quickly if you have some money to spend.  I would probably invest up to $50k or more building my subscriber list in a very short period of time.  This could be done with Google ads, media buys, paid forum posts (like WSOs), or other advertising networks.

Sixth, I would continually improve my product or create spin-off or upsell products.  Once I have built a large list, I would focus on keeping them happy.  In addition, I would create additional products that would be beneficial to the niche.

Finally, I would continue to spend on building my list, promoting my products, and potentially selling affiliate products.

Anyway, you could see that you could built a pretty significant online business with $200k.

What Would YOU Spend $200k On?

You might say that this is all a pipe dream or that its a useless exercise.  I don’t think so.  I think it helps you to really focus on your business and why you do things the way you do them.  Why don’t you spend money to grow your business?  Is it because you don’t have anything to invest, or is it because you never realized how quickly you could grow your business if you did?

Anyway, I would be interested to hear your thoughts in the comments below.

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13 Responses to “What Would You Do with $200k to Invest in Your Business?”

  1. Spencer,

    If I had $200k to invest in my business, I would first take $60k of that and pay myself a yearly salary. The way I see it, if I’m going to drop whatever I’m doing that currently brings me full-time income, then I need to be compensated for my time (e.g. time interviewing candidates for VA duties, following up on projects and objectives, etc).

    Secondly, I’d invest up to $20k of that money into an existing website for sale either through private sellers I know, or via search websites like Flippa, etc.

    Lastly, I’d invest the remaining funds into hiring a programmer to create apps for me (not necessarily for Facebook) as well as spend money on domains from NameJet, content creation, a few years worth of hosting, etc.

    As you can see, $200k can leave your fingertips rather quickly, but if you spend it wisely, you can certainly get a decent ROI rather quickly (I’d say within 2-3 years). :)

    • Yolanda, I think these are some great ideas! Thanks for sharing! I also think buying an established website is a great way to go for stability. Then app development could provide the much higher ROI that everyone is looking for…

    • Yolanda, I love your ideas when paying yourself 1 year paycheck and dive into the business to stay focus.

  2. I would build more sites through outsourcing with $100k and spend $95 k on link building.

    I would save $5 to expose the Warrior Forum for the back slapping,incestuous,dishonest pit it has become.

  3. I would definitely invest a chunk in outsourcing – both content creation for niche sites, backlinks, as well as programming apps for the iPhone and Android. I would also hire a VA to manage my writers.

    I like Sylvia’s idea of setting aside a year’s worth of expenses so you could just devote yourself to creating a business. Also, buying aged domains could really increase the speed with which you would see results.

  4. I would by websites that have been established & are proven money makers so i have income right off. I would then spend money to build email lists for each of these, provided it makes sense to do so in that niche. I would then spend the money to make them better, link building, ppc…the works!

    • I think Buying established websites is certainly a good safer investment than starting something from scratch. (Although it typically has lower returns as well).

  5. Well i would get straight into property development, its my dream desire :)

  6. If i would have 200k, i would continue to build my online business. I will create or buy several authority sites in big niches. i will hire a full staff ( 2 employees) to help with the increase develope and work of these sites.

    you can buy a site and create 1000 sites but if you dont prepare to maintain these site your ROI will drop.

    I am feeling lucking… i am playing the lotto tonight… LOL

  7. I would invest all $200,000 in building backlinks, articles written, press releases and video marketing. I would probably have to hire full time staff