According to a survey in the United States of America, about 69% of entrepreneurs will launch their startups from home. Starting a new business from your home can be very exciting, but launching a business on your own is never an easy thing. There is a lot of work involved, but having your own business comes with lots of perks too. Due to the global pandemic, now more people than ever have opted to start working from home. More people are now interested in new ventures, like launching new startups and taking more chances than ever before.
If you are thinking about launching a small business from home, this article is the perfect guideline to start working step by step.
12 Steps to Launching Your Business From Home
Starting a business from home is hard work, period. For starters, it requires a proper plan, ways to execute that plan, and paperwork which also includes legal documentation to get your business registered through proper channels.
Things may seem burdensome at the start, but you need to take one step at a time. Even the baby steps can create a lot of difference. You just need to clear your head and be optimistic about the situation. Then, eventually, the process will become smooth and manageable.
Also, the good thing about starting your business from home is you don't have to worry about finding a space or renting, etc.
We have worked on 12 different steps to give you a comprehensive guideline about starting a business from home. Now, let’s dig into the steps to get started:
1. Access your gut feeling
Working from home is not everyone's cup of tea. The first step to get started is to have a realistic approach about your inner self that either you are capable of pulling things off or not. You need to think and evaluate whether your home-based business idea will make progress or not.
There is no doubt that homes are our safe havens and comfort zones. So before kicking things off from home, you need to question whether you have that zest, potential and entrepreneurial spirit to work from home when your couch and bed are just some steps away. Only self-motivated and persistent people can make progress in such a kind of environment.
2. Figuring out the appropriate space
Not all business ideas can be launched from home. You need to evaluate your space first and think about these things first:
- Could you manage and host clients if necessary?
- Is your home spacious enough to put inventory related to your business?
- Would you be able to find the perfect space alone for your business setup?
These are some of the points that you need to keep in your mind before launching your business setup.
3. Infrastructure needs
Even if you are starting your new venture from home, you still need to have a designated space within your home which includes all the basic needs like:
- Proper lighting
- Ventilation system
- Power without hindrance
- Secure Internet connection
- Pleasing visuals in case you are doing something that involves photography.
4. Think about your selling product
A lot goes into starting your home-based venture. The foremost task is to figure out the product you want to sell. So, you need to come up with lots of ideas and products and then begin the process of shortlisting and choosing the best for your business. You need to ask yourself these questions:
- What could I possibly charge for this product?
- How is this going to benefit the buyer?
- What is the market value for this specific product?
5. Write a proper business plan
The next thing you do is write a business plan so that you can be more familiar and clearer about your ideas. The business plan is also going to play a vital role in the future if you ever need funding from outside investors.
6. Choose a name
After you have successfully written a business plan, you need to have a proper name that depicts what you are selling, and it might be good to have a tagline along so that customers can get to know more about your business. Once you got a name in mind for your business, you need to research if it's available for use or not. Make sure that the name seems unique and not very common.
7. Work on business’s legal framework
Having the legal work done is an important step in starting any sort of business. Get in touch with an attorney who makes things workable for you, so you don't have to worry. If you want to speed up things a bit, a sole proprietorship might be good for you.
Having your own business means that you are solely responsible for any sort of lawsuits and debt issues that comes your way.
8. Register your home business
If you decide to launch your business set up from home, you need to get yourself registered with the federal government. The procedure might vary from state to state and country to country, but registering your business and getting the paperwork is essential to running your business without any trouble.
Apply for your EIN (employee identification number). It is a federal tax number given to you by the state, which helps identify your business entity.
9. Set up a business account
We hope you have taken the mandatory steps to start your home-based business. Now it’s time to get your business account to be separated from your account as you know that in running your business entirely by yourself, you are responsible for all sorts of debts and legal liabilities. So, making a business account from the very start is going to make things easy for you in the long run.
Try to go with the local banks first because it is said that small banks can be more helpful and they are quick to solve your queries etc.
10. Insurance policy for your business
Now, we suppose that you have made your business account. It's time to ensure your business. Running a business is not an easy game. To avoid lawsuits interruptions related to business, make sure that you got the best insurance policy that saves you from the upcoming difficulties.
11. Work with an accountant
Numbers can be quite hectic at a time, and you can not do everything on your own. So, it is suggested that you get advice from an accountant. Tracking and managing your expense would eventually become easy for you. An accountant will help you with tax work, audit, expenses, etc.
12. Work hard and follow a schedule
Once you are done with all the formalities that we have discussed in this article, it's high time to bring your A-game to the business and work on the ways through which your business can flourish.
- Set up a schedule and follow it too.
- Work without distractions.
- Be passionate about getting things done.
- Take necessary breaks and do not waste time.
Key Takeaways:
Starting a small business from home can be hectic and overwhelming, but risks and worries can be minimized if you go through proper planning. In this article, we have provided you with the 12 best steps to run a small business from home. All you need is dedication and passion for going through challenges.
You have to take the lead because you are going to be responsible for finances, assets, legal matters, keeping records, and much more. If you understand all the matters well enough and are ready to take on anything, then your idea of starting a small business from home could be the best decision ever you've made in your life.
References:
https://www.forbes.com/advisor/business/how-to-start-a-business/
https://www.uschamber.com/co/start/startup/starting-small-business-at-home/amp
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