Home businesses are an integral part of our economy. The Small Business Administration (SBA) has determined that there are over 12 million small home based businesses in the United States alone. In the UK, however, there are only 2.1 million home based businesses but they contribute a sizeable £364 billion to the British economy.

Most businesses start small, right in the comfort of one’s home. Many of these work from home entreprises offer an available entry point into the world of business. Most home businesses are small ventures in the service and construction sectors of the industry. But we are now seeing many new internet marketing ideas turned into reality which are becoming popular as more and more people see the benefits of being their own boss.

But it’s not all roses...small business owners often have to contend with conflicting and sometimes confusing state, federal, and local government regulations. Let’s take the regulations of the Internal Revenue Service (IRS) for example.

All businesses, big or small, are obligated to file their federal income tax returns. Unfortunately, the federal tax regulations can be confusing, and sometimes, a bit troublesome for home based business owners because of “the complexity of the tax code and the lack of a sense of definitiveness in assistance materials and instructions.”

It's recommended that you surround yourself with a great team…starting with a solid Certified Public Accountant (CPA) who has experience with home based businesses.

Interestingly, not all regulations are so restrictive. There are some federal regulations that have no bearing on home based businesses. As of today, environmental regulations and occupational health and safety regulations are limited in their home based business oversight…specifically in substances and chemicals which have no industrial use in a work from home setting.

There are other Government Regulations out there but as you can see, it can get a bit overwhelming at times. Regardless of how confusing these regulations may be, we as small business owners are required by law to follow them.

Find out more information on various home based business resources so you can stay informed. If you choose to ignore these, you may just wake up one morning with a couple of dark suited guys from the IRS knocking on your front door…not a pretty thought for someone trying to make it out on his own, right?