E-commerce today is saturated with 20-year-olds that have been generating income from their online businesses since they were in their teens. An advice for internet entrepreneurs: start out like these kids did. Go back to the garage, find something innovative, and take advantage of virtual space.

One important advice for internet entrepreneurs is to always research the competition. Know what others are offering and where competition is tight. Online resources such as Business.com, KnowX.com, and Hoovers.com will give you an idea which markets can give you an opportunity to shine.

Get your customers involved by adding surveys, guest books, auto responders and other interactive features to your website. This will also help you learn more about what your fan base wants and needs.

Update your site frequently. Search engines love fresh content, and regular updates result in faster indexing of your site. As you add new information about your products and services, you slowly become an authority on that subject and ultimately you will be able to dominate that niche market.