Owning a home business does not have to be an all or nothing venture. In these difficult economic times, starting a part-time home business may be the answer. A part-time home business can provide much needed extra income while maintaining the security of your full time job.
Pros and cons
As with anything, starting a part-time home business has both pros and cons. Think about each carefully before investing time and money into your home business.
Pros of a part-time home business:
Keeping your day job means keeping your benefits and financial security. There is less pressure for your home business to be immediately successful and profitable. You have time to learn from your mistakes. In uncertain economic times, a part-time home business can be the perfect back-up if you are laid off.
Cons of a part-time home business: A part-time business will grow much more slowly. You may experience a sudden increase in sales that you will not be able to keep up with due to the time constraints of your day job. You may be subject to burnout from working too many hours. Many employers frown on their employees spending time on a side business. It can be very difficult to balance your day job, your part-time business, your family, and your personal life. Home business taxes can be a bit confusing. Be aware that home businesses are audited far more often than individuals. Make sure that you are familiar with home business tax deductions.
Do you have what it takes?
Is a part-time home business right for you? It is important to understand and consider the realities of owning a home business.
Most successful small business owners are well organized, energetic, and self-motivated. Ask yourself if you have these qualities and, if not, are you willing to work on them. Talk with your family. It is important to have the support and understanding of your family before beginning your venture. Think about what type of home business you want to begin. Not all home business will flourish when operated on a part-time basis or when run out of your home. As a home business owner, you need to be aware that you are responsible for your business’s legal and tax considerations. Before beginning any at-home venture, be sure that you have all of the necessary permits and licenses.
Giving up your day job.
There may come a time when you will have to decide if you are happy with having your home business part-time or if you want to make it a full-time venture. If you decide it is time to transition to full time, there are some steps that will make the transition easier.
Pay off any personal debt before quitting your day job. Make a budget and lower your cost of living expenses as much as realistically possible. Take a look at the future of your business to make sure that projects earnings and expected orders will be enough to support you and your family. Make marketing your home business more of a priority. Once you take your business full time, you will have the ability to handle more customers. Check out the National Business Incubator Association (www.nbia.org). Its members provide advice and help for expanding business ventures.
A home business, even a part-time one, takes work and motivation. Be sure to consider your personal and financial situation when making the decision to start a home business. If you dream of owning your own business but you are finding it difficult to take the plunge, a part-time home business may be the perfect solution.
Home business is such that while it may provide you the comforts of home without the need to travel outside, it will bring you into a comfort zone where you may become lazy and underactive and start working as per your convenience and not able to think about innovative solutions for problems and lack of physical exercise will turn you from being agile to fragile.