With books like The 4 Hour Work Week by Timothy Ferriss (which was on the New York Times  best seller list for 75 weeks), thousands of people everywhere have  been trying to make money online by capitalizing on new, virtual  business models. The appeal of reaching a global audience while  generating passive income is irresistible… I read the book, I drank the kool-aid, and I love the philosophy. But outsourcing your company is risky business. 
My BFF is an infopreneur  in the mind/body fitness industry. Tired of trading her time for money,  she decided to “virtualize” her business last year and take her  personal training practice online - complete with a virtual gym, DVDs  and iphone apps :-) But now it’s a grueling 1 year later, and she’s  found out that creating a business in the cloud is a bigger deal than she thought. In fact, she barely weathered the storm. Here is one girl’s account about outsourcing in cyberspace…
 Hot on the trail after reading Ferris’ book, she hired some developers in India to build her an open source  site using Joomla, which was to be a virtual gym and e-commerce store  with the ability to deliver digital products as downloads. They promised  her a fully functional site with all the training she would need to run  her online business. She had fun working with them on Skype for months  on end, getting the “look and feel” down and the content exactly where  she wanted it. She said it was interesting to work with people on the  other side of the planet, their accents were cute, blah, blah, blah, but  the long (and sad) story short is that when her site was delivered, it  looked great, but she had no idea how to run the CMS (the back end) nor how to arm the back end with the necessary marketing tools needed, like autoresponders,  list management panels, newsletter generators, etc…. all the things  that are crucial in creating a successful online business! Duh.
 Furthermore, she realized her IT guys in India weren’t necessarily  direct marketers, they hadn’t gone to the conferences she went to, they  didn’t know a sales funnel from an affiliate tracker from an opt-in page to a landing page  to article marketing and beyond. And that’s cool she said (I told her  it was not) but she was still understanding and said “you can’t be an  expert at everything.” “One area you do need to manage,” she said, “is  your site, you need to understand it from the back end forward. It  doesn’t matter how cool your site looks on the Web, if you can’t update  it behind the screens and run it yourself, it’s not going to work.”
 “And don’t think that what you save in money by outsourcing  (sometimes $3.00/hr) you don’t spend in time. That old adage, ‘Time is  money’, still holds true, right? The Internet hasn’t changed that! But  add in the sometimes 12-14 hour time difference, communication issues  regarding the subtle nuances of our native tongues, and the need to  discuss complex technical matters, and you have a recipe for a  time/money suck!” Oh boy, I could tell things were not proceeding as  planned. And BTW, she’s smarter than the average bear especially when it  comes to geek stuff.
 She was near tears by now and going on and on, “Face it, this “ain’t  your daddy’s business world” anymore. Employers are lucky to have an  employee stick around for a year, let alone 50! The Internet has  revolutionized the way we work, the way we communicate, and the way we  are creating --and replacing-- jobs, and not just in this country but in  the world.” There was no consoling her at this point so I let her go  on…
 “This supposed technology that was invented to help us “save time”  and “make life easier” has not gone exactly as planned. If anything it’s  complicated and it’s a major time suck. People today work, date, play,  and essentially LIVE online. Okay it can be fun sometimes but look at  the millions of people actually living virtual lives on 2nd Life! What is that all about?!” I started to explain but she was already on to the next rant-and-rave…
 “From big corporations who outsource their customer service calls to  companies in the Philippines, to infopreneurs who outsource their  website to developers in India, we are officially a global community. It  truly is a global work force. But you know what? That may be a  beautiful thing in theory, but I’m seeing first hand now how it has its  share of draw backs.” So what’s your takeaway I ask? Our lesson? Your  next step?
 “Make sure your outsourcers understand the look you want and the  functionality you need out of your site. Because, 9 months later even  though my site looked great, full of rich content and pretty pictures  there was one big problem. The outsourcers had hard coded it instead of  using the plugin Joomla modules that anyone can use. They said they  would teach me how to do this...or I could pay them a maintenance  retainer. REALLY? I want to run my business not become a Joomla  goddess!” I completely agreed.
 Frustrated and tired of being lost in translation on late night Skype  calls, my friend decided it was time to hire a U.S. based, Joomla guru  to get her virtual business up and running. Of course, this would cost  double the money, but half the time. So, running out of resources, what  did my little entrepreneur do? She shelved her old site and built a new  site on iWeb in about 4 hours. She signed up for 1shoppingcart.com  (which has built in autoresponders) to manage the entire back end from  one console panel. She’s like “Sheesh, 1 year later, and it’s the little  site that could!” And I’m like, okay fingers crossed, I just want it to  work for her. She’s virtually virtual, and when she transcends once and  for all, that will only be a good thing.
Stay tuned,
Erin