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Three Principals of a Home Based Business
In today's world, It's difficult to maintain a reasonable standard of living with one family income. That's especially true when raising children. Parents need to capitalize on their time and care for the never ending list of household expenses. Home Based Businesses effectively address these underlying ordinary family needs.
Today's Home Based Businesses have evolved over time into highly profitable businesses. Just because its Home Based does not necessarily mean small. In fact, Home Based Businesses are among the fastest growing business according to Inc Magazine.
Consider three principal guideline to getting started in a home based business where you save valuable time and enjoy financial freedom.
1. Don't break the bank with start up cost.
High start up cost can spiral into a hole of red ink and make it more difficult to find profitability. Start up cost should be measured by your tolerance of risk. You can always anticipate the cost of large purchases, but any experienced business person will tell you that it's the small purchases that will add up and get you every time.
Examples of Large Purchases:
- domain name
- domain hosting
- legal fees
- office supplies
- website design
2. Plan a solid business model that's easy to maintain.
First of all, a business model is how you get from first base to second and finally a home run where your business operates in the black with a reasonable profit margin. Business models are profit models. The more challenging your home business is, the more pressure that is added to the family unit, including the children. A solid business model that's easy to maintain gives a sense of accomplishment, both personally and professionally as your business grows.
3. A Home Based Business must be profitable to accomplish its purpose.
Some have chased the dream or vision. Spending a lifetime building a business that never created a return on investment. In your business plan, have a time line that you expect the business to be profitable. Ninety days? Six months? A year? Remember, this is all about TIME and PROFITABILITY, but more importantly, a happy growing family.
There are opportunities in the marketplace.Whether it is bookkeeping or dog walking, Perhaps you're starting an Amazon or Ebay Store, whatever home based business you decide, remember these three principles by keeping the business simple is key to profitability. The end results is time for the more important things in life, family.
© 2014 Lee Stowe