(ThySistas.com) When you first get that spark of a great idea, it’s easy to run with it. You feel energized, excited and motivated to push forward. Sure, it takes a lot of hours to develop the idea and turn it into a business plan. Then, it takes a lot of hours to set up and launch that business. All the research, strategizing and marketing occupies your mind every day. No wonder it’s so easy to forget about these home based business essentials:
Most start-ups operate as self-employed or freelancers in the beginning. After all, it’s easier and quicker just to get going, and you’re a long way off from hiring anyone just yet. But without the protection of a formally registered company like an LLC, you are
You don’t necessarily need to have a formal accountant managing your books and returns. After all, working from home is supposed to be cheaper than renting office space and commuting. But if you’re not careful to detail your expenses, you could be missing out. Before you set up, gather a few energy meter readings over the course of the month. Set a baseline for personal use. You can usually claim anything over that when you work from home as business expenses. Record all your relevant purchases and store receipts sensibly.
Few entrepreneurs bother with insurance in the beginning. After all, it’s another expense when you haven’t even earned any money yet. Of course, you are setting yourself up for a fall if you don’t get home based business insurance. Your equipment should be insured for when you’re out of the house visiting clients. Even if you’re making sales calls, you need to have a good level of liability coverage. Chances are you also need to make a few tweaks to the policies for your car and home now you are using them for work.
From the moment you get your first order, you’ll be keen to impress your clients. You might even forget that you need some time off. For the most part, many businesses shut down over the holidays. But if you’re trying to fulfil multiple orders, you might choose to work through. This isn’t a healthy approach, and cannot be sustained. Your family won’t be happy if they have to miss you either! Schedule your vacations, and stick to them.
No matter how big and financially successful your home-based business gets, your family still needs to live there. During school holidays, the kids might be home, and noise will inevitably permeate through. They will also want to spend much of that time with you. As much as you want to give a good impression over video calls or on the phone, there is likely to be audible evidence of the other activities going on in the house. Are you ready to get started with your start-up?
Staff Writer; Julia Spivey