While for the past two years or so on this blog I have only talked about the benefits of running an internet business – mobility, recurring commissions, user generated content. When you are working towards a goal it is easy to look past any flaws or negatives in your plan, which has prompted me to put together this list for Problogger’s group writing project.

1. Difficulty in explaining to people what you do

If you meet people for the first time it is never easy explaining what an affiliate or internet marketer does. Especially without it sounding like you are running a dodgy money making scheme.

2. Obtaining bank finance

If you would like to launch a new internet business which requires capital it could be very difficult to obtain finance from traditional sources.

3. Limited human interaction

Your customers are more than likely in a different part of the world and your only contact with them might be over the telephone or through email.

4. Long hours sitting at a computer

No matter how much you automate or outsource your business you will need to spend long hours sitting at a computer and not too far away from an internet connection.

5. Limited physical assets

Traditional businesses build their value by increasing their physical assets like, property, stock and machinery.