☑ WHAT YOU SHOULD KNOW BEFORE STARTING A HOME-BASED BUSINESS

A home-based business is one of the most practical options a beginning entrepreneur could take. Indeed, it is usually the only option available to small entrepreneurs with severely limited means but with a great wealth of ingenious ideas to back them up.

The biggest appeal of a home-based business is the free rental space. In the experimental stage of your business, it is best if you can do away with paying for rent especially if you have very limited capital. As a business-person you would want to concentrate on building the foundation of your business (which is product development and customer build-up), instead of worrying about rental payments you know you can never make.

A home business also offers other advantages like, reduced transportation and other incidental expenses. If you have a big family or nice neighbors, a home business could also mean free labor or at least cheap labor. You even get to ask them for their opinion about your product or service and suggestions for improvement.

Being at home while doing business, you are also able to look after your family while earning income on the side. This is often the ideal setup for enterprising mothers with young kids to take care of. Some also find a home-business ideal for retiring employees who wanted to turn their hobby into profits.




Doing business at home naturally presents its own challenges. A business emergency could lead to relegated family priorities and strained relations. Similarly, a major family event or emergency could lead to business inefficiency and setback. Some entrepreneurs are good at handling stress. They can more easily deal with such multiple demands. Those who are less able to cope with this challenge, however, must think twice before turning their home into a business laboratory. At any rate, the key to success is being on top of the business as well as of the household. (This, by the way, also happens to be true even if your business is based outside the home.)

Your business strategy and creativity is your best resource for a successful home based business. An essentially upscale business like a Travel Agency, for instance, usually requires you to rent a modest office in a nice location. Of course you can take it home if you instead offer a travel consultancy services. This way you conduct the bulk of your business by phone, via online means, and personal meetings.

Judgment is also called for when deciding what type of businesses to conduct inside your home. For instance a chemicals-based business could pose a fire hazard at home especially when you have young kids.