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Weigh Up The Pros And Cons Before Starting A Home Business!

December 16, 2016 by  
Filed under Money/Business, Tech/Internet, Weekly Columns

(Akiit.comHome businesses continue to become more common. Many startups start purely from someone’s house or garage. What’s more, even some established companies have turned to remote operation. With new business technology, there aren’t many tasks you can’t handle through the internet.

Startup founders and small business owners have a decision to weigh up. Should they operate from home? Or is moving into an office better? Different approaches might make sense at different times of their business. There are many considerations to take into account.

If you’re trying to make the decision, then the best approach is to weigh up the pros and cons of a home business. There are both advantages and limitations, so think of how it will impact your company.

Pro: You Can Work On Your Own Time

Many well-motivated and successful business leaders get up at the crack of dawn. They commute to their office and handle all kinds of calls, meetings, and other important tasks. They might even stay at their business premises late to get everything done. It’s productive, but it can also be exhausting.

On the other hand, a home business owner can operate whenever homebusinessthey like. If you’re most productive during the night, maybe that’s when you want to work through your paperwork. Perhaps you can research improvements to your business in the evening. It still helps to be available between 9 and 5- this is when most business and customer calls happen.

Pro: It Saves You Money

One of the most significant benefits to operating a business from home is the money you’ll save. Renting or buying a business money can cost a lot in itself. You also have the costs of upkeep, maintenance, and things like health and safety inspections.

A home business takes much less investment. You’ll still need money to get your business off the ground, but most will be spent on useful equipment. Want some budget home business ideas? You can find many suitable ideas online!

Pro: It’s Comfortable

Did you know that comfort can affect productivity? Sitting in a stuffy office with uncomfortable seating can reduce the motivation of employees. Creating a comfortable workplace helps you get more done.

Comfortable office furniture helps. But it’s much cheaper and easier to set up a comfortable home workspace than a whole office. What’s more, you can have your home comforts around you. Like listening to music while you work? You can do it without distracting others. You can even work in bed if you want!

Con: You Can’t List Your Address

Businesses often benefit by making their address available to the public. It shows they’re operating from a professional location and allows people to mail them. Naturally, it also helps to have a professional location to bring customers and clients in.

It’s not practical when you’re working out of your house. After all, you wouldn’t want people you don’t know coming there. What’s more, it’s legally required to list a registered address. Many home businesses use a SAIL address for this purpose. You might wonder- what is a SAIL address? In short, it’s an alternative location which can be used to store company records.

Virtual offices and SAIL addresses help home businesses in this aspect. But it can still be limiting.

Con: Your Workforce Is Limited

Most home businesses will be limited in how many staff they have. It can make them less productive and reduce the opportunity for expansion. It can work out fine in the beginning. But it’s hard to hire a lot of people when you’re operating from a small, personal space.

Some home businesses deal with this by hiring remote employees. If you can work from home, other people can too. Some also outsource a lot of tasks. You can find lawyers, IT consultant, and all kinds of other services to help your home business.

Con: It’s Hard To Expand

As you first start your home business, you can get all sorts done without the need for any more resources. But as time goes on, things will grow. You’ll have more customer queries to answer. You’ll have more orders to fulfill. Doing it all without extra help can be hard.

While outsourcing tasks can take you so far, you can expand much more with a physical location. Ecommerce stores can make more sales with a busy store in a shopping centre. Legal services can attract more clients if they have an office for meetings.

Of course, having an office also allows you to get the right employees. It can help a lot to have a strong team working in-house with you. It makes things more efficient and productive. That’s why many home businesses expand into offices as they grow.

Staff Writer; Brian Curry

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