For many starting a home business is their first foray into the business world and often it is done as something on the side while they continue to work their 9-5 job. Whether due to the lack of business experience of many going into home businesses, because it is a side project, or for some other reason we have found that often times home business owners skip one vital step to their success; the creation of a good home office.
We are not advocating here that you must put aside an entire room in your home – we understand that for many that is simply not an option. Instead, we are simply suggesting that if you are serious about succeeding with your home business that you put aside a space that is meant just for that business. Whether it is a full room, a corner in the living room, or a desk and chair in your bedroom having a space that is dedicated to your home business will benefit you in three major ways:
It’s a mind game:
For many starting a home business there is a misconception that they will be able to lounge around all day drinking coffee and money will simply appear from whatever business they set up (especially for those doing online businesses). As any successful home entrepreneur will tell you, however, this is not the case. While you will certainly have much more free time working from home no matter what kind of business you start it is going to take hard work and dedication to get started. Those lovely days of lounging around drinking coffee only come after long hard hours getting your business going, and to do that you have to be in the right mindset. It is really hard to get your mind thinking about work when you are sitting on a couch that you normally watch TV on; creating a home office gives you a place that you can enter and go to work. One important note about this; the only way that this will work is if the area you create is specifically for work, you must train yourself to consider going into this area the same as you would if you were going into an office somewhere.
Businesses benefit from being organized, that is just a fact of life. By creating a home office you allow yourself to better organize your business. If you are working on your home business from the kitchen table or coffee table it is too easy for things to get lost as you move from place to place; not to mention the clutter it creates in your home. By having a place that is dedicated to your business you can keep everything neatly organized and readily available when needed.
Another great benefit of having a home office is the tax breaks that it can provide. You will need to check with your tax specialist for the specifics on what you can file, however, the government allows you to write off a certain portion of the cost of your home office. They only allow this, however, if the area in question is purely used for your home office; meaning it cannot also be the area that you game in. In addition to the actual space you can typically write off a portion of your utilities, any supplies your purchase for the office, depreciation of equipment (such as a computer) and other expenses associated with your home office. Given the high rate of taxation for business owners this can be a great help when it comes time to lower your tax liability.
Starting a home business can be tough; from deciding which business is best for you to deciding which marketing strategy to use there are all kinds of decisions to make and plenty pitfalls that lay in wait. Choosing to create a home office, however, is a simple choice. With plenty of resources available on how set up your office there is no reason to not and plenty of benefit to setting aside an area for your business.