Home-based businesses are a popular avenue for the entrepreneur and have grown in popularity over the years. A recent Forbes article took a look at things you should consider when deciding whether a home-based business is the thing for you. Here are a few tips from small-business experts found in the article:
- Do you homework – research thoroughly.
- Do a detailed analysis of costs to figure out how much money you’ll need. Forecast three scenarios: a best-case, realistic and worst-case financial picture.
- Claim your space – find a dedicated work space in your home from which you can run your business without distractions.
- Be your first investor and keep funding sources close to home at first.
- If you have trouble securing a bank loan, consider applying to the SBA or microlending organizations.
- Outsource high-level business functions such as accounting if you don’t have the background or time to do a competent job.
- Have an exit strategy. Can you sell the business, pieces of it, or license the product if you no longer want or can afford to continue?