Misconceptions Regarding Home Based Businesses Copyright © 2009 Luie De Von
More and more entrepreneurs are trying their luck running a home based business. Although this type of business promises lots of opportunities and regular source of income, not everyone are successful. Some have closed out even before they flourished. Why is this possible?
The most common reason why a home based business fails is due to lack of planning and extensive preparation. Some people wrongly believe that a home based business is so simple and requires very little work. But such false notions can lead to disappointment. Let’s set straight some of these false notions.
– A home based business requires very little start-up capital. Some people choose a home based business because they don’t have the money to start a traditional business. Yes, it is true that an online business requires less financing than a conventional business. However, you’re not completely free from financial obligations and there would always be expenses involved.
For instance, you’ll need to invest on a reliable computer and other office equipment. You must set up a website and launch marketing campaigns to promote it. You must secure business licenses and registrations to be legal. Yes, being financially ready is important when starting a home business.
– I can enjoy my profits right away. In order to focus on their home based business, some people chose to quit their day jobs even before the business becomes a stable. If you plan to leave your regular employment in exchange for your business, you need to make sure that you have enough funds in your savings to support you and your family for the next 6 months or more.
The truth is, you may need to wait a few months before you can make real sales and enjoy your profits. During this stage, it is important to have a solid financial resource for you and your family.
– I can enjoy more free time for myself. Another common misconception about home based businesses is that you can have more free time to spend. Yes, being a home business owner gives you the freedom to work at the time you choose but it does not exempt you from all the tasks and hard work.
In fact, many home based entrepreneurs found out that they needed to devote more than 8 hours of their time each day. There are home based owners who work overtime or even on weekends and holidays just to keep up with the demands of the business. In order to balance your time between yourself, your family and your business, you’ll need to set a definite schedule and strictly adhere to it.
– Managing a home business is so easy. If you were used to doing the same routine tasks every day when you were employed, you’ll realize that managing a home business is very, very different. For instance, you have to practice taking on numerous task on your own.
Hiring assistants does not mean you can just sit back and relax because you will need to monitor the tasks you have given each one of them. It is also expected from you to make major and final decisions for your company. Without training, all these duties and responsibilities may not be as easy as you think.
It’s all about internet marketing. Yes, promoting products and services online is a tremendous help for a company. But it’s not all about online advertising. Offline marketing strategies will always be part of business promotion. Since not everyone spends a lot of time online, you still need to learn about direct mail advertising and print advertising such as sending postcards, brochures and flyers to prospective customers.
About the Author: Luie De Von is a marketing consultant with http://www.easypostcardmarketing.com and has been providing consumers and business owners with marketing strategies. For years he has helped businesses to have more and growing clients through Postcard Advertising, Marketing Postcard and Business Post Card.