I was asked on my Ask.fm account to make a short blog post about how I started Response Commodities so I decided to follow through and make a post about it. Pardon my rambling here, I just whipped this up quick and didn’t go through the editing process much.
I’m not going to go into too much detail because a lot of it is trade secret, but I’ll go through the common sense stuff. I was interested in trade for a long time before starting the business and I first began networking with other people in the industry. I did research and first thing I found where niches that had high profit margins and new trendy items. I picked tobacco products, electronics, and clothing – all high profit niches.
The next thing I did was look on Alibaba for people selling products in those niches. I found sellers, contacted every single one, then negotiated test buys. Most people selling things, I’ve found, are scammers. I negotiated smaller buys upfront, purchased from multiple people, got their skype screen names, and waited for the orders to come in. Some purchases came in, some didn’t – I had to cut my losses.
When the small ones came in I tested selling retail to gauge interest. I also looked at the quality of items I was buying to see if it would be suitable to sell without having to deal with complaints. After selling the items retail and building relationships with the merchants that delivered high quality product fast, I slowly increased my order size until I reached a point where I was ordering in bulk.
Obviously, the larger the order the lower the price per unit. To experiment, I opened up an operation that cold called businesses in my related niches to open up a line of communication where I could begin negotiating rates for bulk orders. In many cases, I ended up being able to drastically undercut their prices off the bat. To propel sales, I fronted inventory to retail operations so they could sell and pay once items where sold.
I slowly began getting into bigger ticket items like electronics, which ended up being bigger margins for me. The biggest challenge with the business now is ordering the correct amount of product, keeping up with the latest technology, and maintaining cashflow while I front product to retail outlets.
Now, I’m still at the very early stages of the business and other things have caught my interest more – but the company has potential and is earning money. Obviously I’m not in Wal-Mart or anything like that yet – but if I put my full focus on it I could grow is dramatically. The biggest challenges I’ve faced with the business is the cashflow required to scale it, and the risk I take when I over order product inventory and it doesn’t sell. For example, I didn’t predict trends correctly in my electronics division and over ordered hundreds of a certain product, only to have the next version released. Now, I’m sitting on inventory of a product that it far more difficult to sell because it’s old technology and I’m going to have to take a loss selling it – plus it’s very difficult to find someone to buy it.
As part of my employee hiring process for Sidago Outsourcing, I build up trust with new members by slowly reviewing work quality, affordability and reliability. I assign new employees “low risk” tasks that can be used to learn without costing me a client or important deadline. I use RyanEagle.com as the task testing ground because it doesn’t matter if something breaks and I get all these random features I’ve always wanted but never had time.
One of those test-tasks was to locate, remake and host all of my published affiliate guides in my archives section. The guides are original, unedited and in some cases not relevant in today’s game – but there are some solid gems. First Read Legal Disclosure:
- Plenty of Fish Guide
- Advanced PPV Target Building & Niche Selection
- Promoting Game Offers
- International Dating Reference Guide
- Plenty of Fish Dating Targeting Guide
- Promoting Dating Offers on PPV
- Common Plenty of Fish Advertising Questions
- Promoting Credit Reports on PPV
- Promoting Ringtones on PPV
- Increase Image CTRs with Social Traffic
- Keeping Facebook Campaigns Profitable Longer
- Finding the Right Demographic for Social Traffic
- Scaling PPV Campaigns
- When to Stop a Losing PPV Campaign
- The Importance of Testing with PPV
- Obtaining Triple-Digit ROIs with Dating
- Facebook App Install Dating Guide
- Promoting Grant Offers Guide
- Promoting Credit Reports via Media Buys
- Optimizing Landing Pages
- The Affiliate Mentality Guide
- Promoting International Dating on Facebook
- … see all guides
Response Commodities grew to a point of being self-operating, freeing up my time to start new businesses that I’ve been working on behind the scenes for a bit now. It finally became time to ‘go corporate’, so I formed the umbrella corporation xCell Fund & started developing corporate sites. xCell Fund holds six businesses that do affiliate marketing, web development, outsourcing, factoring, cryptocurrency trading, and angel investment. Additionally, I’m starting a nonprofit organization to memorialize my brothers passing. The websites for all of these companies are slated to be released within the next 3-4 weeks. [close summary]
Summary Over the past year or so I’ve stayed pretty low key and have had no necessity to actually build out corporate sites for businesses that I’m operating. Additionally, the entire process was complicated by a series of legal battles[info] – but thankfully, slowly but surely, everything is passing and I’ve emerged from the other side.
Most of you already know, before closing Eagle Web Assets I started Response Commodities[profile], an import / export company and that’s where I spent most my time after the shutdown. The business has grown dramatically and in 2014 we expanded into ecommerice sales, complimenting the already successful wholesale side. Like I do with all my companies, I get them started by myself and then quickly hire employees to manage duties & tasks. Now, most of Response Commodities’s day-to-day operations are handled (ordering, shipping, logistics, etc). The company is essentially running itself now, I primarily manage the float[define] & oversee employees. To say the least, it’s a slow flow and mainly a waiting game at this point in time : buying inventory from overseas, selling inventory domestically and internationally, and waiting for bulk shipments takes time and cashflow to build up. Because the business is low maintenance, I’ve had free time to start additional businesses. Let’s go over what I’ve been doing…
This business will be acting both as an parent corporation[define] for my entities and an angel investment firm[define] that works with new entrepreneurs. This is basically the centralized parent company on top overseeing all the operations, employee functions, hiring, business updates, and other corporate related tasked. There are currently six of my public businesses and five private investments that it holds. I’ve been investing into others since 2010, but this time around I’m not restricting my investments to internet related companies. I actually plan to advertise this company on various entrepreneur communities, blogs, and websites to get the exposure and find new potential investments. Diversification has always been key in keeping me afloat – if I had stuck with any of the businesses that I was in since starting, I’d be living in my Mom’s basement now. The website began development on April 3rd and should be released within the next couple weeks.
Sidago Integrated Solutions
Sidago is a full service outsourcing consultation business that provides a wide array of consolidated and organized services ranging from small tasks like copywriting to a large-business focus on outsourcing[DEFINE] employees and workflow improvement for businesses. My main goal would be to approach companies and be able to cut their bottom line down drastically by outsourcing divisions of their business affordably. I actually had this business planned this business originally on November 7th, 2012 but after all the craziness I’ve been through I’ve never had a chance to get it off it’s feet. The planning process for this company began on April 14th, 2014 and is slated for released within a month.
After taking an interest in the cryptocurrency[define] game, I decided to get my hands dirty and start investing into alt currencies myself. It’s funny, when I first started trying to buy my first Bitcoin[define] I asked all the people that supposedly invested themselves and nobody could give me a straight answer on how to buy a single damn Bitcoin! I eventually ended up connecting with a long-time friend of mine that actually talked the walk and he patiently explained to me the process. On January 22nd of this year I purchased my first coin, entering me into the league of neck-bearded nerds. This set me off to the races and I began buying and actively trading all different types of currencies, hitting my first huge success with Dogecoin. The trading industry is fast-paced and never sleeping so I can work on trades any time of the day. The planning process for ECC Investments website, began on March 31st and was announced publicly for the first time on April 3rd. The site is expected to be released within the next three weeks.
Xinda Global Financial Services
XindaGlobal is a financial company offering factoring services[define] including : media funding, merchant account financing, invoice buying, factoring, rolling credit lines, expansion capital and general financing. I first came up with the idea to turn this into a business all the way back in November, 2012 – but there was too much turmoil going on with my current businesses to get it off the ground. Over the past couple months I’ve been buying receivables and charging a premium for it – so I figured I might as well turn it into a business to offer my services to more people. As much as I hate float, factoring, and extending credit – I always seem to go back right in the mess. You can’t teach an old dog new tricks, what can I say? I decided to finally take the jump and make it into a real business on March 6th, the website should be released within the next couple weeks.
ionBuzz Media Group
Even though I pledged to stay away from the affiliate game, I just couldn’t resist the urge to get back into it. After being immersed on the network side for so many years I decided to get back to basics with straight-up affiliate marketing. In May of 2013, I restarted my internal media buying operations – focusing niches I’ve had little experience in. I started off with two foreign components – SEM & PayPerCall. To say the least it was a refreshing change to try new things, I love the challenge of not knowing what the hell I’m doing. It’s amazing how logical and predictable Google can be – it’s clear why they are the leaders over other popular traffic sources like Facebook, Exoclick, EngageBDR, ad infinitum. The business grew, I hired media buyers and specialists, and branched into several different traffic sources (including those complained about above). The sites development began on April 9th and should be released within a couple weeks.
99Limes Web Development
Once upon a time I started a company called EWA Web Design and absolutely hated the experience. I hated dealing with clients, I hated how many changes people wanted, I hated mockups. So what do I do? I start another company doing the same thing,! I’m not the quickest learner, am I? Since starting that first design company I’ve progressed a lot as a businessman, changing from being a one-man-shop to a boss that employs people to do my dirty work. I’m going to take the lessons learned from the past design company, the project management skills I’ve learned over the past couple years, and finally my ever increasing good looks to take this business to the next level. Additionally, I’m going to focus on the web and software programming tasks rather than design tasks, due to the higher margins. On March 7th I began development of the website and we should be ready to launch by mid-next month.
The Kyle Eagle Foundation
After reconnecting with Kyle’s old business partner I was able to retrieve the domain KyleEagle.com. On March 5th, I published a temporary placeholder site memorializing my brother with the eulogy I said during his funeral. After releasing the quickly designed site, I decided we should do something more to keep his memory going and began the process of forming a 501(c)(3) Nonprofit Organization. To be totally honest, we’re not entirely sure what we’re going to give towards – we have a choice between either animals, nature, or continuing the old EWA Kids Nonprofit under his name. My family is working together with Jennifer Barker, his ex-fiance, to figure out the right path to take. Since launching the site, I’ve worked with my mother, father, and his ex-fiance to create eulogies along with a biography to permanent his place online. Creating this is website and charity helping me deal with pain and grief.
Over the course of the last couple weeks I spent time developing an interactive Personal Timeline that covers personal highlights, business highlights, and goals that I have achieved. For a shortened version, I’ve created a Timeline Overview and also divided sections including a Business Timeline and an Achievements Timeline.
I’d like to preface this post with one point – RyanEagle.com is divided up into two general categories of content : for me and for visitors. Most, if not all, the content on RyanEagle.com is for me and my personal records; especially sections like the historical site archive and the goals page . The latter half is for people interested in finding information about me (like my companies , contact me , etc).
Over the past couple weeks in my spare time setting up a personal timeline – and to say the least actually completing it made me feel great. For the first time in my life I have actual chronological dates of my business experiences, personal experiences, and goals. I’ve always had to guess the dates of my achievements and major life events but now I finally have something to go back to and reference. Pinpointing important dates like my first business idea, my first girlfriend, when I got my dog, and other events has been challenging but fun. I’ve worked with my parents on a lot of the personal events, and utilized tools like Archive.org and Domain Tools to figure out other specific business events. Currently, I’m in the process of working with my parents to compile a year by year archive of personal pictures – something nice to digitize considering nobody looks at old photo albums anymore.
Rather than requiring people to sift through the complete timeline, I’m in the process of creating subpages including : a Timeline Overview, a Business Timeline and a Goal Timeline. I hope to provide more refined or specific information information on these sub-timelines. Additionally, over the next couple months I’m going to be writing expanded detail sections (ie: 2014 Expanded) for date ranges where I go more in-depth to events of that year(s). Quite the undertaking, but it’s going to be nice to complete everything, knowing that going forward I can keep better records.
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