How to Start a Small or Home Based Business - What you need to know before you take the plunge
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There are many reasons to start a business and once you make that decision, you are on the way to making money. However, there are some things you need to do before the money starts rolling in. The first of which is to choose what business you are going to be in.
Business Organization
When you start your business, you need to decide what business organization you want to choose. Your choices are sole proprietorship, partnership, corporation, or limited liability corporation. Each business type has advantages and disadvantages. Please consult an expert or do more research before deciding what type of business you want to use.
The Wrong Way to Set Up a Home Office
Home Office
Even though you are working at home, you still need to work. There will be distractions from your kids, your dogs, your spouse, your laundry, and a thousand other things that just need to be done. When you have a traditional job, many of those distractions are gone so you can just focus on work. You need to create an environment to work in at home or you will never get anything done.
Everybody works differently and has the ability to block out some things. Here are a few suggestions to make your time more productive.
- Set up an office. The best office is in a seperate room with a door that can be closed so you minimize interuptions.
- Establish specific working hours. Set up a specific time to focus on business and not worry about anything else in the house. It can be 30 minutes or 10 hours, but make sure you establish working time.
- Remove distractions. Turn off the TV (or don't even have one in the room), turn the ringer off on the phone, put your cell phone away, don't surf the web or check email, and remove anything else that stops you from focusing on work.
- Communicate your plans. Make sure your family knows you are working for the next hour or whatever you choose and ask them not to disturb you unless there is an emergency.
- Make a plan. You need to have a plan for what you want to accomplish in your business time. Focus on the results you want to accomplish.
Anthony Robbins has a great course on time management. He teaches you to focus on objectives in all areas of your life and stresses the importance of focusing on things one at a time. There is power in focus!
Choosing a Home Based Business
There are hundreds or even thousands of different business opportunities you can do from home. You need to spend some time thinking about what you enjoy doing and research how you can make money doing that. A wise man once told me to find something I love doing and make that your career because if you like what you are doing you will be good at it. If you are good at something, anything really, you can probably get paid to do it. Here are just a few ideas.
- Sell your own products on eBay, at trade shows, or any number of other ways.
- Sell somebody else's products. You usually do this by introducing people to a product by showing them a sample then order what they want.
- Direct people to a website of a company that gives you a commision every time somebody buys something if you referred them.
- Provide a service to others. This can be anything from baby sitting to mowing lawns to doing landscaping or interior design. Choose something you like doing and are good at.
There are countless other ideas. Pick something and try it. If it doesn't work,try something new. Keep at it until you find what is right for you.
The Best Home Based Business Opportunity
There are hundreds of businesses that can be right for everybody. I personally run 3 different businesses. There is one business opportunity I like more than all others though. I am going to share it with you in case it is the perfect opportunity for you.
Everybody uses electricity or natural gas or both. Everybody pays for energy every month. Everybody likes to save money and get free stuff. I earn a commission every month on customers and get generous bonuses whenever somebody new joins my organization. You can literally earn $100,000 a month doing this just by building an organization that starts with only a few people. To find out more about this fantastic opportunity, check out the Ambit Business Opportunity.
Health Insurance and Social Security Taxes
If you are doing your business part time, all of the benefits of your employer continue. However, you will eventually be making enough that you don't need your day job. When that happens you are going to have to find a health insurance provider. You may not realize what this will cost you right now. The money that you pay right now is probably only 20% or so of the total cost. Most employers cover 80% of the cost of insurance and get group rates.
eHealthInsurance.com is one of the leading online sources for health insurance. Check them out when you are ready to provide your own insurance.
You will also have to pay more social security tax. When you work for somebody, you are only paying half of the social security tax the government requires. Your employer pays the other half. When you work for yourself, you have to pay it all so you have to double what you pay when you work for somebody else.
Don't let these stop you from being successful, just make sure you factor this extra cost into your plans before you quit your day job. Telling your boss "take this job and shove it . . . I aint workin here no more!" is well worth it.
Contributing Resources
- Texas Affordable Family, Individual, and Small Business Health Insurance
Texas is home to over 23 million Americans. That is just a little more than 1 in 13 people that live in the United States. Unfortunately, almost 1 in 4 of those don't have the benefit family, individual, or... - Ambit Energy Business Opportunity
Ambit Energy business opportunity video.
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