I was reading an article in one of my home business
magazines the other day and they were talking about how
many people are starting full and part-time home based
businesses. They said that over 72% Americans are engaged
in some sort of home business opportunity.
That number seemed awfully high to me at first, but then I
got to thinking about all the different type of business
opportunities are available to people. Working at home does
not just mean owning an internet based business. It can be
a bookkeeper, day care provider, home inspector; home
decorator, the list is endless when you start to really
think about it.
However, when you setup your home business there are a few
things many people never even think about but should
consider before embarking on this new business journey.
Below are just a few items you should consider before
starting your home based business opportunity.
1. This is a business. Separate your personal finances from
the business. You should create a legal entity for your
business. This action is two fold. It shows the IRS this is
a real business not a hobby, and in the event of any legal
action it's less likely to impact your personal assets.
You will want to file incorporation documents and open a
business bank account. If all this is foreign to you
contact a local CPA or Attorney to assist you with this
process. It will cost you a bit to get this completed but
can save you a great deal in the long run.
2. Check with your city or state authorities for any
business or operating licenses you may need for your
business. This is most prevalent in the areas of day care,
lawn services, and accounting, but not limited to just
these.
There are many reasons for these requirements, safety,
sales tax, employment taxes are just of few. If these
licenses are not completed and you are found in violation,
you could be subject to fines or worse, you may be required
to shut down. So make sure you check with your local
government before opening your doors for business.
3. One little known consideration is your home owners
association. If you live in a community that is governed by
a home owners association even operating a business from
you home could be in violation of the conveyance. For
example, you may be restricted on signage which may be
important to your operations. Or there may be restriction
on vehicles such as large truck to carry lawn service
equipment.
Be sure you read and understand the conveyance of your
community or check with your home owner's association
management company before starting your home business. This
will save you costs in fines and stress in arguments.
Make sure you do your research not only on the potential
business opportunity but on all your city, state and
neighborhood laws. Not knowing the law is not an excuse.
----------------------------------------------------
Bob and Cindy are both home based business entrepreneurs
with 15 years experience in owning Real Estate and Network
Marketing businesses. You can own your own business today
that provides residual income for your future. To learn
more about how you can secure your financial future... Go
to: http://www.ThingsLookGreatIn2008.com
Visit our blog at
http://www.BuildingOnlineBusinessSuccess.com for creating
online business strategies.
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