Six Steps to Self-Employment: Starting a Home Based Business
Photo: Erik Eckel
If you’ve been considering leaving the rat race in order to work from home, starting a home based business may be one of the top items on your mind these days. Starting a home based business, or becoming a freelancer, might be a way for you to spend more time with your family, save money on the expense of child care and commuting to work every day. If this idea sounds appealing to you, chances are that one of the first questions you find yourself asking is, “How do I get started?” The following six steps may help to point you in the right direction.
Decide what it is you want to do.
Deciding what sort of business you want to operate may seem like something you have already planned or dreamed about, but when it comes right down to it, this decision can be a difficult one. Begin by taking a look at what you really enjoy doing: your talents, skills and hobbies. Are you good at creative writing or editing? Then perhaps a freelance writing business to write web or blog content would be right up your alley. Do you have a talent for sewing or creating jewelry? Then you may want to consider an online shop for your merchandise. Or perhaps you have expertise in business ventures and would like to start your own consultation firm, or you would like to put your web development courses to good use and start designing websites. Regardless of what you choose, make sure that you really enjoy what you will be doing. Once you have set up your business up and running you will have a vested interest in seeing that continues – and succeeds.
Plan for the Future
A business plan is one of the most important tools to utilise when starting your own enterprise. Business.gov.au provides a valuable resource for individuals who are considering the creation of a business in Australia. They also offer access to a business plan template – a document you’ll want to have completed if you’re thinking of taking out a bank loan or personal loan in order to fund your new business entity. Also, in creating a concise budget you should take into consideration your projected business expenses – and your personal budget, as well. Knowing that you may need to live on less for a time, in order to make this venture a success, is something that may be hard to wrap your head around. However, if the end result means gaining the ability to work for yourself instead of slaving away for your boss, tightening the reins of your wallet may be well worth it.
Assemble your materials.
Whatever it is that you plan on doing, there are going to be some initial preparations that you are going to need to handle in order to bring your business to life. Setting up a workspace (whether for hands on or online work) may be in order. Ensuring that you have a PayPal, Pay Mate, or online business banking account up and running will allow you to take orders or purchase supplies via the internet in the name of your business. These accounts will likely serve as the way you receive payment for the services you provide, or products you create, as well. From a fax machine that is hooked up to a working phone line, to the paper in your printer, to your business cards, you will want to have all the details right and tight before you begin to cultivate your first customers.
Create a website.
We live in a world ruled by the internet, so it only makes sense that if you wish to see your home based business succeed that you will create a website to advertise your goods and/or services. In fact, for many home based business (such as freelance work, consulting and web development) creating a website is a must if you are going to get your business off the ground. While this particular step is listed as #3, it can actually be taking place simultaneously with step #2, as you will need all of your ducks in a row when it comes time to start marketing your business.
Hang Out Your Shingle
Once you have everything you’ll need, it’s time to announce it to the world that you are open for business. Look into sending out press releases to local newspapers and online journals that are oriented towards your particular business and let your website go live. Once you’ve opened your doors (virtually, or in a physical location) it’s time to start reeling in your customers.
Marketing Your Business
Marketing your business is going to be an on-going affair. From ensuring that your website gets high rankings on the search engine results list to sending out mass mailings to your community to leaving business cards and flyers with local businesses and merchants, marketing your business is a multi-layered task that will grow with you as your business progresses and, if done correctly, can ensure that your business becomes a success.
Realizing your dream of entrepreneurship, and starting down the road to becoming self-employed can be personally satisfying – and lucrative, if you’ve a good mind for business. Be sure to keep track of your investments into the business, your expenditures, and your overhead costs, in order to take advantage of the various tax breaks afforded to small businesses.
Have you started a business, or set out to become self employed? What worked for you… and what didn’t? Share your tips with us here!
Resources:
Australian Taxation Office: Income and Deductions for Small Businesses
http://www.ato.gov.au/businesses/content/45518.htm
Business.gov.au: http://www.business.gov.au
Related posts:
- How to Use Social Media for Extra Income
- How and Why You Should Profit from Your Favourite Hobbies
- The Frugal Home Buyer’s Guide
- Tax Deductions for Freelancers, Part 1
Category: Work
