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Such business will have customers everywhere. People like to have fun. If you give a home comfort for your clients then they will give you a very good income.
Maybe you are right, but not for all cases. I told my own opinion about this, because if I want something, I will search for it. I am so bored with advertising, that I don't need it in my phone. And about "fans", business must have then and when it has - it don't need advertising ...
If they ask, then you send. But I don't think you can give much info via SMS.Mostly people don't read full text of big SMS. SMS with text "New goods are available" or "New services are available" is not effective.
I work for internet provider. Clients of my company have many problems with their PC's and networks, but company don't offer such services as PC and network repair (provides only internet access to clients). I have many clients who need such services and they call me private. Clients are glad...
I think you need new insurance(simply ask your insurance company)
You can give certificate of death to your bank, they know what to do.
I don't konw what to tell you about 3rd question.
I agree with Officeangel. Think about giving your services in your local area. Earn perfect reputation and then you don't need to search customers, then will search you.
Search for some programs that are created to support junior software developers. If you have some interesting idea. Try to interest some software giant with your works, maybe it will invest.