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From your bed to the office - home based business tips
05/07/2008 - By Natalie van Veen
Make your home office environment professional
Home-based businesses are fast becoming a popular way to operate your small company, while reducing expensive start-up costs such as leasing space, lease hold improvements, utility and phone deposits and major office equipment.
Thousands of people across the country are finding that working from home provides them with the advantages of earning an income with the flexibility to work when it is best for them and take care of family and other responsibilities that often arise throughout the work day. However, before starting your home-based business, consider the following advice:
1. Although we hear stories of how easy it is to start your own home-based business, the reality is that you're likely to work as hard or harder at home than you did before you took the leap and went out on your own. The appeal of such independence is obvious: no boss, no commute, no office politics, greater freedom, and more time with your family. You may even be able to take a portion of your home expenses as a tax deduction since you are now using your house or a portion of it as an office. However, with all those benefits come dangers one rarely has to deal with when employed by someone else. Strictly speaking, working from home isn't for everyone. Some people need the structure of an office to be happy and successful, while those of us who enjoy working independently will be happier on our own.
2. Determine local and state requirements for licensing and zoning regulations. Be sure to check with your local shire to find out how the zoning regulations in your area may affect your business plans. Determine if your business requires any licenses and file the necessary forms.
3. Rent a post office box and use that address on your promotional mail and stationery, doing this will make it less obvious that you are working from home. The professional image you portray is very important to your clientele.
4. Install a phone line in your home dedicated to your business.
5. Use an answering machine for incoming business calls.
6. Organise your work space with great care. Make sure that you have sufficient space to meet your needs and sufficient table space upon which to layout documents.
7. When scheduling appointments with clients, consider meeting at your client's office or renting a conference room to maintain a professional image.
8. Use energy efficient globes in your home office to help reduce costs – a third of the cost of your household utility bills should be included in your business.
9. Keep excellent records of entertainment and travel expenses. The ATO tends to audit home-based businesses more frequently - especially when they are writing off a variety of expenses, including the percentage of the mortgage or rent for your office space. Your accountant, a CPA is recommended, can advise you on deductions you can take and records you must keep for the ATO. I recommend MYOB Business Basics to assist with your bookkeeping.
10. Put some of your earnings into a savings account for those times when your business is in a slump . . . and it will happen.
11. Discipline yourself. You must be a self-starter and follow a routine, just as if you were working for any other business. In many cases, you are the only person you can rely on to get the job done. Unless it's an emergency, do not baby-sit or chat with your neighbours. Also try not to roll out of bed and into the office! Always shower and dress for success – this positive mindset will have amazing impact on your business psyche.
12. Create the appearance of a professional “office environment” in your home office space. Consider walls, flooring, furniture and equipment and ensure the overall appearance is cheerful and practical – conducive to work – and has all the essential office equipment and supplies at hand. Keep the office clean and efficiently organised so you can work faster and smarter. Put up plaques of your favourite motivational business sayings to motivate you. Remove all pictures of family and home life from this space as this is a distraction. Also remember to ensure you are warm in winter and cool in summer – there’s nothing worse than working in uncomfortable conditions.
13. After work make a rule that there will be no sneaking into the office to do more work and that there will be NO WORK TALK with your partner. You need to discipline yourself to relax and enjoy your personal and family time. Another great way to ensure you sleep well is to do a brain dump just before getting into bed at night – keep a note pad next to your bed so you can jot down everything on your mind. This will clear the slate and allow you to sleep. If you do awake in the middle of the night with yet another brilliant business idea, you can jot that down on your note pad too.
