Starting a business out of your home comes with many advantages — no commute, lower overhead costs, and flexibility chief among them. However, just like with any type of business, getting a home-based business off the ground and achieving long-term success is both difficult and rewarding. To put yourself in the best position for success, you will need to approach it prayerfully and strategically and make good decisions along the way. The Freelancer Head Start offers nine critical steps to take as you plan the early stages of your home-based business:
Assess your talents and skills
Before you get too deep into planning your business, evaluate your talents and skills. Talents refer to things you are naturally good at, while skills are learned over time. It’s not enough to enjoy doing something; talents and skills are essential for running a successful business.
Explore financing options
You will probably need funding in the early stages of your business. Obtaining financial assistance for your business can reduce stress and provide you with the means to put a good team together, expand your product and service offerings, and reach other goals within a shorter span of time. Do your research and stay open-minded to both government and private options.
Study your market
Another critical part of preparing your new business is to conduct market research. Study both local and global markets for the industry you are considering entering. This will give you an idea of how you can meet the needs of your potential customers/clients and whether the business can be profitable. It will also provide an opportunity to strategize competitively.
Think through the space you will need
Whether it’s a lot or a little, you will need space for your home-based business. If you will be fulfilling all of your duties with minimal equipment, such as a computer and printer, then you will need less space than if you will be manufacturing, storing, and/or shipping products. Consider your needs, and make sure your current home provides adequate space.
Draft a business plan
One of the most vital aspects of starting a business is drafting a business plan. A good business plan will serve as a blueprint for how you will structure, operate, and grow your business. It will describe your company‘s mission and values, include a market analysis, present how you will organize operations and who will manage things, and provide details of products or services offered. It will also include a marketing and sales strategy and funding requirements.
Become a legal entity
In the early stages of planning your new business, you will need to determine what kind of business structure will work best for your short-term and long-term needs. A sole proprietorship is the simplest entity to set up and manage. Although more is involved in the process, forming an LLC can benefit you by limiting your liability to the amount of your investment. So, unlike with a sole proprietorship, you’re not personally liable for debts associated with your LLC. Plus, an LLC comes with tax advantages and many other benefits.
Set up a home office
As previously mentioned, you will need the right space if you want your business to succeed. But it comes down to more than just the space itself; you need a home office or work area that is outfitted to facilitate your daily business operations. Among other things, this means choosing a location that allows you to stay focused, getting inspiring decor, and investing in all the equipment, furniture, and tools you need. And it’s important to have a phone line and Internet connection that’s used only for your business.
Get to marketing
Few things are more important for a home-based business than marketing, especially considering that you don’t have the exposure to walk-in customers and clients that many brick-and-mortar establishments do. And it’s never really too early to start. As soon as you create a stellar website, have your products or services lined up, and have an idea about your target market, you can begin promoting your brand through social media and other channels.
Remain open to adjustments
While it’s essential to come up with a solid, detailed plan of how you will launch and run your business, it’s equally as important to remain flexible and open-minded to other ways of thinking. That is, always be prepared to adapt and make adjustments to your products, services, and strategies that can move your business forward. On the other hand, your faith, values, and morals should always remain as your cornerstone.
As long as you come at it with the right approach and use an effective strategy, you can start a successful home-based business doing almost anything. Remember to consider the tips and information provided here, and keep researching to grow your business and leadership knowledge. Most importantly, always prioritize using your talents and operating with integrity!
Be sure to tune in to The Freelancer Head Start podcast for more information on “getting a head start with the right technology, advice, and tools for the freelancer or entrepreneur!”
Image via Pexels