What could be better than running a business without ever leaving your home? I bet a lot of us want this dream job!
While this sounds too good to be true, there are actually a lot of successful home-based businesses in the US. In fact, this sector has been enjoying positive trends and statistics. According to this infographic produced by the US Small Business Administration, around 50% of small businesses are operated from home. This sector generates annual revenue of $427 billion; with some 20% of home-based businesses earning between $100,000 and $500,000 annually – not bad for someone working from home, isn’t it?
According to business brokers that help to sell business in Orlando, Florida, operating a small business from home isn’t that simple. In fact, it can be more complicated than your regular 9 to 5 work. It requires developing long-term vision, industry knowledge, management skills and so much dedication.
Here are some great tips to help you set up and run a business from home.
1. Do a personality check
Anyone can start a home-based business but not everybody is destined to succeed. Most of the time, it is the personality of the business owner that greatly affects the success of the business. As such, it is important for you to discern and assess yourself prior to starting a business. Running a business from home requires tremendous amount of focus and discipline. If you are a procrastinator or easily lose focus, then home-based business might not be your turf.
2. Choose a feasible home-based business that you are passionate about
Find a business that is close to your heart, perhaps a hobby or a skill or anything that you love doing. Remember that your home-based business is not just a one-time thing. Setting up a business is a continuous journey that requires your inner motivation.
3. Stay organized
Designate a workspace in your home. Organize your files, both paper and digital files. It’s easy to lose important documents especially when working at home. Consider organizing paper files in colored, labeled folders. You can also use cloud-based programs, such as Trello, to help organize your tasks. As much as possible, keep members of your household, especially children, away from your workspace – these little tots can cause chaos to your workplace.
4. Be mindful of your time
It’s ironic that one of the perks of working at home is also its greatest challenge – being free and owning your time. Make sure that you stay disciplined and consider your home-based work seriously. It would help to make to-do-lists so that you work on schedule. However, you should also balance your work and home life. You don’t have to be at work all your waking hours. Take some break times and vacations too.
5. Establish linkages and collaborations
Join local business organizations and meet fellow home-based business owners from whom you can learn a lot. Usually, it is here businesses connect with each other and build support networks. Participate in trade fairs and establish partnerships with other businesses. These can greatly help in your marketing campaign.
6. Hire an accountant
Regardless of how much you know the business, you still need to entrust tax matters to an accountant. It might be a costly expense but it definitely outweighs potential costs should you fail to comply with various tax liabilities.
7. Update your tech
There are a lot of tools and programs available that can help make your work-from-home environment more efficient and organized. Enterprise Nation lists ten digital tools, that include Slack, Google Hangouts, Wunderlast, and Pocket, that home business owners can use. You might need to consider investing in these technologies. Also make sure that you have appropriate technologies and equipment in your workspace. For instance, you might need to update your broadband package from standard home package to business package.
8. Set up a contingency plan
As mentioned above, home-based business is not for everybody. As such, it is recommended that you have a backup plan. If you feel the home environment hampers your motivation, you may have to find a leasable place to transfer your operation. In case your business grows at an unexpected rate, you will also need to have plans for expansion and hiring of additional staff.
Hopefully, you find these eight tips helpful in running your home-based business!