Quick Tips For Getting Your Home Based Business Online

The advantages of starting a home based business outweigh the time and small expense involved in setting up a viable business. For the long term, the overhead costs for starting a business in your home are very low. The government provides several tax incentives for individuals who have businesses set up in their home. There are some strict rules and regulations that must be met to qualify for the home-based business deduction but once confirmed, the tax refunds for having a home based business are very lucrative.

In addition to the tax advantages, home based business owners have no daily transportation expenses. home based business owner has unlimited flexibility in balancing work and family commitments. Using technology for communication and business processes makes working from home a sensible and practical solution to the high price of gasoline, commuting time and costs of buying new clothes.

Home-based businesses play a crucial role in the free enterprise system. These entrepreneurs contribute to the overall economy as well as the financial viability of their families. The ultimate dream of a home based business is to provide financial independence for the owner, their family and the community at large..

Some of the most widely recognized software retailers and cosmetic companies had their beginning in a garage. Companies like Apple Computer, Hewlett Packard, Dell, Microsoft, Lotus and even the cosmetic giant, Mary Kay, were initially started as home based business enterprises.

But, like any other type of business, a home-based business requires initial preparation, start-up capital, registration and ongoing marketing. Home based business are traditionally set up as a sole proprietorship. The home based business owner has to be an expert in all phases of the business. At some time in the business start up process, the home based business owner must know the details of the operational, strategic, legal, financial and marketing concerns.

The following checklist covers the essential points to help you stay focused so that you can set up your own home-based business.

Plan to Succeed

Every business needs to create a comprehensive business plan. The business plan will focus your efforts from selecting a product to sell all the way to the actual marketing of the product. This plan will cause ideas to generate and perhaps new methods of distribution for your business.

The basic business plan contains a, executive summary, mission statement, marketing plans and profits that you want to achieve. The business plan is the blueprint that will guide you to your desired results. It is of utmost importance to prepare a draft of your business plan. The business plan will keep you on focused on your goals. If you intend to seek any type of funding for your business, it is imperative that a business plan is part of the start-up process.

Selecting the Business Structure

The selection of your long term goals for your business will determine which structure you chose for your business. The choices include:

o Sole Proprietorship
o Partnership
o Corporation

There are several different types of Corporation structures that you can choose. There are specific tax implications for each of the choices listed. Deciding on the business structure for your home based business enterprise is perhaps one of the most critical decisions you will make.

You can search online to find out the specific requirements for each of the business structures listed. Your decision will have far-reaching consequences and will depend on important factors like capital, ability to do business in specific locations and the type of your business you are starting.

To register or not to register?

It is important for all legitimate business to register their business name. For tax and other proprietary purposes you should secure all necessary business licenses. Registering your business protects the name of your business. It is also important to become aware of the compliance requirements in your area. Local zoning regulations should be acquired to assure you that the business does not contravene local zoning laws.

Insurance for Your Business?

It is just smart to purchase insurance for your new business if you need to acquire financing. Business insurance is a prerequisite of lending institutions in case you plan to borrow money for your startup operations For online businesses that do not sell physical products, having insurance is a choice.

Purchase Equipments

Remember to keep all of your receipts when you purchase any office equipments or supplies. Your new computer, fax, printer, cell phone stationary supplies, and business cards are necessary business tools and are all tax deductible for your new business.

Time Management

Home-based entrepreneurs also require better time management skills than a corporate employee. Home based business owners must learn how to leverage their time and money. It is easy to get off track when your office is located in your garage, a den or the basement. Decide how much time you will devote to your business each day and stick to your time schedule.

Automate as much of your business as possible so that you are always available to your customers. Schedule each phase of your business day and set up systems that will automatically reply to inquiries. Automation of your menial tasks is a critical element in your overall time management strategy.

Web Site

Businesses are longer restricted to brick and mortar locations. There are no limits to the number of customers that home based business owners can acquire. The home based business owner can no longer limit themselves to doing business in their local community. The Internet allows global business interaction from anywhere in the world. Having one website may not be sufficient to accomplish the level of success that a home based business owner requires.

Home-based businesses compensate for their lack of a physical presence with a virtual presence in the World Wide Web. This presence may take the shape of several websites on several domains.

Organization & Automation

To conduct business in a professional and efficient way, it is important to organize everyday tasks into simple automated processes. Your home office should include everything you need to complete a transaction. It is easier to stay on top of daily tasks when the work-space is well organized. It is so much easier to complete the daily grunt work when these menial tasks are automated.

Inventory and Supplies

For home based business owners who sell physical products, it is important that these products are kept in a specified location. If you use your garage to keep stock you need to know the exact dimensions of your garage that is designated for this purpose. The best way to handle stock is to have the company send and maintain the bulk of your inventory. This eliminates a time lag for your customers. If you sell digital products, this process is handled automatically.

Open the Door and Let Business Begin

You are now ready to open the virtual doors of your home based business to the global community. You have completed all the steps to insure that your business will be successful. You have a product, a website that allows you into the global marketplace.

Gina Sands is graduate of the University of Texas in Arlington. she is the mother of miracle twin daughter and “Nana” to an amazing skateboarder that we nicknamed Tre’ He is third generation. Gina is owner of Dream Businesses and writes articles on creating and maintaining your own unique dream biz online. She writes articles about Making Money Online. Gina is dedicated to finding the most efficient/inexpensive resources to help other home based business entrepreneurs save money as well as make money on the Internet.

5 Benefits Listing Your Business in Internet Directories

You can enjoy a lot of benefits if you have your business listed in an internet directory, such as Top5Biz.com. In fact, the more directories you use the greater number of benefits you can enjoy. Given below are some of the prominent benefits of using these directories. Read on to find out more.

Exposure

We know that proper exposure is required for all types of businesses. The more exposure your business gets, the higher number of visitors will know about your products or services. On the other hand, if your prospective customers can’t find your site, they won’t be able to buy your products or services.

By listing your business website in these directories, you can get the exposure you need. As a matter of fact, a large number of people search these directories in order to find what they are looking for. Their goal is to look for a specific product or service.

Better Ranking

We know that better ranking is important for any website. If your website is indexed in many web directories, it will send a signal to search engine crawlers that your website is authentic. And this will help you get your website ranked on major search engines. As a result, you will be able to enjoy better rankings in major search engines.

These directors get your website ranked better and get the word out about your business. And this is a huge benefit.

Inexpensive Advertising

If you run a business, you know the importance of advertisement. The primary purpose of advertisement is to help clients find your business and know more about it. You may not have a big budget for your advertisement campaigns. This is where you can spend a little money and achieve the purpose by getting your website indexed in internet directories.

Unlike the conventional advertising, business directories are much affordable. Therefore, they can help you save tons of money on advertisement.

Professional Opinion

If you want your business to look professional in the eyes of your visitors, we suggest that you try internet directories. This will help you improve your business status. In other words, this technique will help you make buyers have a professional opinion about your business.

Once your site is listed in these directories, it will look as professional as the top business enterprises out there. Aside from this, your website will be considered an authority in the niche. As a result, you will be able to get more and more customers and clients.

Search Engine Optimization

Internet directories offer another great benefit, which is called search engine optimization. Basically, these directories allow you to get a lot of inbound links. When a visitor finds your site in the directory, they will click he link and get directed to your website. So, this is an effective way of getting a lot of traffic.

The Home Based Business Explosion Is Upon Us!

INTRODUCTION

Perhaps I should start by asking the question “What is a Home Based Business? This is any business operated from the comfort of the residential home of the owner.

The next question is who is a Home Based Business owner? This refers to an Entrepreneur who decides to run his business from the comfort of his home.

I decided to clarify these terms because there is a huge difference between a Home Based Business owner and a Home worker who might be working with a government/private organization but decides to be working from home once or twice during the week.

Evolution of Home based Business

Many businesses operated from home usually start as a Micro or Small Enterprise. Some eventually metamorphose into Medium Scale Enterprise and others eventually grow into quite large companies.

The desire by Entrepreneurs to start operating businesses from home actually started in the 1980s. During this period, a lot of things combined to precipitate this massive desire by people to own Home based businesses.

In the main, the combination of many factors like socio- economic change, improved technology and new management thinking resulted in the loss of otherwise permanent paid employment and this encouraged people to attempt to revalidate their freedom by opting to set up a business at home.

The advent of new management thinking and theories like downsizing to make an organization Lean and more agile and efficient created fears in the mind of the average worker

So mass lay- offs helped create the right environment for some workers to go it alone and set up a Home based business.

The period of late 1990 to 2010 can be appropriately described as the period of massive explosion in the establishment of businesses at home. The use of Computer, Internet and Mobile Technology helped in the growth of this idea.

I strongly believe the idea of setting up business at home will continue to be positive and will remain so for a long time.

The continued upsurge in the desire of people to own businesses has attracted the attention of Universities and other higher institutions. They have responded by introducing different courses and programs on Entrepreneurial studies to cater for these needs.

Unlike earlier belief that businesses run from home are not well managed and don’t make good money, the present situation is that many Entrepreneurs motivated to set up business at home now have college degrees including a lot of high level professionals with business exposure.

The entrepreneurial spirit is innate in all of us and we only need to be adequately motivated to take the necessary action.

It’s really an exciting world out there.

THE HOME BASED BUSINESS EXPLOSION

As stated earlier, though the crave for running businesses from home started way back in the 1980s, what can be termed the explosion of this way of doing business was between the late 1990s and the first decade of the new millennium.(2010+)

This coincided with the time when the setting up of a Home based business became a Fad. According to Mr Lewis of the National Association of Home Based Businesses, Home based business in the United States grew from about 6 million in 1984 to 23 million by 2007.

With the help of modern technology like computers, mobile phones, printers and the huge power of the internet, more work is being done virtually than ever before and more global businesses are routinely being run from home.

According to the 2012 GEM report, 69 percent of American entrepreneurs start their business at home from either a spare room in the house, the dining table or from the garage. The report further revealed that more than 50 percent of entrepreneurs continue to operate from home even after the business has taken off successfully and stabilized.

Again according to Mr. Lewis of the National Association of Home Based Businesses, his own companies do training in 20 countries, import eyeglass frames from China and also develop condominiums.

Mr. Nuyten of the Home Based Business Statistics in America quoted the following statistics as at 2012:

38 million Businesses were operating from residential homes in America

A new business is started from home every 12 seconds in the United States

The Home Based Business sector in the United States earned Four Hundred and Twenty Seven billion dollars.

It revealed that 70 percent of Americans would like to be self- employed.

Entrepreneurship has become entrenched in the psyche of the average person. The Baylor University study of 2005 revealed then that more than 5 million jobs had been lost in Fortune 500 companies since 1980 while 34 million were created in small businesses.

The United States Census Bureau data of October 2012, also revealed that the number of businesses being operated from home have been on the rise since 1999.

The United Kingdom Experience

The continued growth in the Home based business sector appears to be a global phenomenon as the report from the United Kingdom will show shortly.

The United Kingdom department of Business, Innovation and Skills released a report titled ” Backing for Home Business” which revealed that 2.9 million home based businesses in the United Kingdom contributed 300 billion pounds sterling to the UK economy. The report also stated that 70 percent of all new businesses in the United Kingdom started from home.

According to Home Business report compiled by Enterprise Nation, 1,400 new businesses are started from home each week.

This report also confirmed that out of a total of 4.5 million small and medium enterprises, 2.1 million are Home based businesses.

Factors contributing to the growth of Home Based Businesses

There are many factors motivating people to set up Home based businesses such as:

Losing one’s job
Being laid off in a time of economic downturn could be very devastating. With difficulty in getting new job offers, the next best thing would be to start a Home based business.
Flexible lifestyle
You are your own Boss. Literally, you can come and go as you please. You maintain better work/family balance. There are no set opening and closing times. You go for lunch and vacation when you feel like
Reduction in Stress level
The daily commuting, especially with the present heavy fuel costs is avoided. Also those train/bus rides to and from work with all sorts of characters is avoided.
No corporate office politics
You are not thinking of how to always please the boss and climb the corporate ladder. You don’t have to engage with difficult colleagues. Best of all, there are no dress codes.
Cheaper start up and running costs
It’s cheaper to set up a Home based business. A serious entrepreneur can get started with just $5,000. The main requirements could just be a computer, mobile phone, printer and a good internet connection. No rent of physical store space.
Secondary Income
Some entrepreneurs set up business at home to bring in extra income to support a day job. Some people start the business as a part time hobby. Eventually the business may become very successful and the entrepreneur will now take the decision to resign from the day job.
Be your own boss
You are your own boss. You have the freedom to do things the way you want. There is nobody breathing down your neck reminding you of targets.
Job dissatisfaction
An otherwise loyal employee may become unhappy with the company for lack of promotion and motivation. The next thought is to set up a Home based business.
Opportunity to achieve Self actualization
Having your own business gives you the opportunity to make as much money as you desire. This of course depends on how much money you want to make and the amount of time and effort you decide to invest in the business.
Advantages of running a business from home

The desire to get out of the rat race, avoid the daily grind coupled with the power of modern technology make telecommuting more productive.

Together with some of the factors already mentioned above, listed below are more advantages:

Tax advantages
You can deduct some of your expenses as business expenses. These could be utility bills, insurance, mortgage and property tax.
Opportunities for Professional improvement
It is safe to assume that with the day to day running of your business, you will develop more business management skills.
Multiple streams of Income
With more time to yourself and the freedom to follow your lead, you can decide to explore other areas of interest and create multiple streams of income.
Disadvantages of running a business from home.

In spite of the almost glamorous attraction of Entrepreneurship, there are some disadvantages which must be effectively managed in order to improve the chances of success.

Irregular Income
For some one that had been used to regular pay checks, having to go through some weeks without income could be a huge challenge.
Lack of adequate space
This could arise where work sometimes spills into the home space
Nearness of Family and Friends
The nearness of family and friends could become a distraction if not properly managed.
Lack of Fringe benefits
Fringe benefits like health and dental insurance and paid vacations which were hitherto being enjoyed in paid employment are no longer available.
Friction with neighbors
The type of business you are involved in could create friction with neighbors due to noise pollution and lack of packing space
Health Issues
Staying glued to the computer screen and in a small space may affect health and fitness. So try and create time for exercise and recreation.
CONCLUSION

So as the French would say Voila! There you are! The idea of starting a business at home has become engraved in the mind of people. Every day, people are starting thousands of businesses in their residences all over the world.

Though there are disadvantages in running a business from home, the advantages far outweigh the disadvantages.

Some industry watchers believe that crave for setting up businesses at home is waning and the general trend could be heading downwards.

However, I personally believe that the trend can only continue northwards. Why? Because I see all the indices still pointing positive. The factors that motivate people to set up Home based business are still very much around. There are still massive lay- offs going on in many companies and workers are still feeling short changed by employers.

To crown it all, the technological tools like Computers, Mobile Phones, Printers and the Internet which assist Home Based Business owners to work smarter and achieve more with lesser effort are still evolving.

Therefore I’m of the view that the trend of setting up businesses at home is still on the upward swing.

So, how about you? What do you think? Is the trend moving up or going down.

Let’s have your thoughts.

My name is Rex Vincent. I’m a Micro, Small and Medium Enterprises Expert with over twenty years experience in Banking and Entrepreneurship. I work with my team to provide bespoke solutions to challenges faced by Micro, Small and Medium Business Owners.