12 Standard forms of creating value

1. Subscription

1.1. provides more predictable revenue

1.2. certain level of revenue

1.3. as long as you continue making customers happy

2. Resale

2.1. Retailer

2.2. purchase from manufacturer as inexpensive as possible

2.3. find potential purchasers as fast as possible

2.4. sell as high as possible

2.5. Book Retailers

2.6. close relationship 2 businesses

3. Lease

3.1. asset durable enough to rent over time

3.2. protect from loss & damage

3.3. Housing

3.4. charge enough before asset loses value

4. agency

4.1. team up with sb who offers value

4.2. earn commission or fee

4.3. find a seller with a valuable assets

4.4. literal agents

4.5. good agents can find assets worth purchasing, keep from bad deals

4.6. key: fee high enough to payoff your transactions & time

5. audience aggregation

5.1. selling access to a 3rd party

5.2. identify group of people with a common interest

5.3. without alienating the audience

5.4. advertising obnoxious: tolerated up to a certain state

5.5. advertising - attention - buyers

5.6. bringing in new customers

6. loan

6.1. have some amount of money to loan

6.2. find people who want to borrow the money

6.3. immediate access otherwise too expensive to pay at once

6.4. credit cards

6.5. mortgages

6.6. interest rate

6.7. underwriting critical to lenders

6.8. if loan not payed: risk to borrower

7. option

7.1. movie concert tickets

7.2. exchange for a fee right to attend at a particular price

7.3. identify some action some people might take in future

7.4. enforce the specified deadline of action

7.5. flexibility: more: viable business model

8. Product

8.1. Software

8.2. E-Books

9. 11 insurance

9.1. transfer risk to insurer

9.2. spreads risks over a large number of individuals

9.3. more premium payments than paying

9.4. minimizing premiums, minimizing claims

10. 12 Capital

11. Help&Service

12. shared resources