information resources, UK, home business opportunity, work from home, self
employed, limited company, VAT, national insurance, IR35, inland revenue,
paying tax, working from home, start my own business, getting started in
business, liability, insurance, one stop shop for home business start up
advice. Locating home business opportunities information on the web. UK
information resources directory for home business opportunities, working
from home, start up, legal advice, solicitors, insurance, with other business
services on the web.
Fifty million home-based businesses will be in operation by 1997, according
to Link Resource's National Work-at Home Survey. All around the country,
people who want more control over their lives are starting home businesses
In New Orleans, Rick Hart's home based cajun Cargo ships seafood nation wide.
In Palatine, Illinois, Stephaine Heavey works from home designing and selling
original patterns for fabric dolls. And in Dallas, Lisa McElya published
the Dallas Party & Event Planners Guidebook from the entire first floor
of her two-story home.
These three people are living the new American dream of owning a business,
but avoiding the high overhead and start-up costs of a commercial location.
If the idea of working from home is appealing, but you don't know where to
begin, here is a step-by-step guide.
STEP #1 DECIDE WHAT PART OF THE HOUSE TO USE
Select an area away from family activity. The perfect space is a separate
room (or perhaps the garage), but any area will do, if it can hold all the
business supplies and equipment, and also provide enough work space for desks,
tables, or counters.
STEP #2 DETERMINE HOW MUCH TIME YOU CAN SPEND ON THE BUSINESS
Many people start a home business on a part-time basis while raising children
or working outside the home. Others start full-time when family and finances
allow. However you begin, figure out how may hours per week you can devote
to the business Make a weekly chart of your activities, examine it, and determine
where the business fits. Don't assume you have time and find out later you
STEP #3 DECIDE ON THE TYPE OF BUSINESS
Make a list of things you like to do, your work and volunteer experience,
and items you own that can be used in a business. Look over this line-up,
and using ideas from it, list possible businesses to start. Eliminate any
business that isn't appealing or doesn't fill a need people have.
For ideas on different types of businesses, consult the end of this article.
Other ideas can be found in the source material listed at the end of this
STEP #4 CHOOSE A LEGAL FORM
The three basic legal forms are sole proprietorship, partnership, and
corporation. The most common is the sole proprietorship. As its name implies,
a sole proprietorship is owned by one individual. It is the oldest form of
business, the easiest to start, and the least complicated to dissolve. Here
are some of the advantages of this business form:
1. You own all the profits
2. Your business is easy and cheap to organize. You don't need any government
approval, although you may be required to carry a city, state or county license.
Your only other obligation is to notify the Internal revenue Service (IRS)
for the purposes of sales tax.
3. You're the boss
4. You enjoy certain tax savings. You must pay regular individual taxes on
your income, property, and payroll, but these are not levied as special taxes,
as with a corporation. You will also have to pay sales tax which you have
received from your customers.
5. Greater personal incentive and satisfaction. Since you have your investment
to lose if your business is not successful, you should be more willing to
put time, thought, and energy into the business. And when your business is
successful, you enjoy maximum sense of accomplishment since you know its
success was dependent upon your decisions about your management ability alone.
For more information about this and other forms of business, send for the
U.S. Small Business Administration (SBA) Publication MP25. Selecting the
Legal Structure for Your BUsiness (50 cents). It outlines the advantages
and disadvantages of each legal type of structure. If after reading it you
are still uncertain what form of the business should take, consult an attorney.
STEP #5 DETERMINE WHERE THE MONEY WILL COME FROM
There are three ways to finance start-up costs: use your own money, obtain
a loan, or find investors. If possible, it is better to start small, use
your savings, and not worry about repaying a debt. also keep in mind that
since you are a home-based, chances of qualifying for a loan or finding investors
are slim until the success of your idea is proven.
STEP #6 GATHER INFORMATION
Spend a few weeks researching home-based businesses. A library or bookstore
can provide numerous books on business basics, and on the specific type of
business that interest you. Homemade Money by Barbara Brabee (see sources)
is an excellent book to start with.
If you are considering a computer business, get in touch with the association
of Electronics; Cottagers, P.O. Box 1738, Davis, CA 95617-1738. To keep informed
of what is happening in home business world, contact National Home Business
report, P.O. Box 2137, Naperville, IL 60566, for subscription information;
and Mothers Home Business Network, P.O. Box 423, East Meadow, NY 11554 (send
SASE for free information).
STEP #7 CHECK ON ZONING RESTRICTIONS
Find out how your property is zoned, the call City Hall and ask what regulations
apply to home businesses in that zone. Also, if you rent or live in a
condominium, check the lease or homeowner's association rules to be certain
a home business is allowed.
Generally, if you do not annoy your neighbors with excess noise, odors, and
traffic, you will not be deterred from running a business at home. The neighbors
may not even be aware of the business, but it is necessary to know exactly
what you can and can't do before you start. This is important should any
problems or questions arise later.
STEP #8 PICK A BUSINESS NAME AND REGISTER IT
If the business you choose is different form your name, file an assumed (or
fictitious) name certificate with the county. You are notified if another
business already has that name, so you can select a new one.
Do this before investing in expensive stationery and brochures. It costs
only a few dollars to file, and it protects the business name from being
used by someone else in the county.
STEP #9 WRITE A BUSINESS PLAN
A good business plan clarifies your ideas and establishes a plan of action.
A good business plan should include a description of what you are selling,
your background and qualifications, who the prospective customers are and
where they can be found, what is needed to build the business, how you plan
to promote, and how much money is need for start-up costs.
SBA Publication #M925, The Business Plan for Home-Based Business ($1) is
STEP #10 GET AN IDENTIFYING NUMBER
If you are the sole proprietor of the business and have no employees, you
may either use your Social Security number or an Employee Identification
Number (EIN) as the business number on official forms. If you have employees,
or the business is set up as a partnership or corporation, you must obtain
an EIN. To do this, complete IRS Form SS-4 (Application for Employer
Identification Number) and file it with the nearest IRS Center.
STEP #11 OBTAIN A SALES TAX PERMIT
If the product or service you sell is taxable, you need a state sales tax
permit. Call the local tax agency, explain the type of business you have
and what you sell, and ask if you need to collect sales tax. If you do, they
will send you the necessary information and forms to complete. You also use
this tax number when your purchase items for resale.
STEP #12 OBTAIN LICENSES & PERMITS
It's very important not to overlook any necessary license or permit. For
example, some cities and counties require a general business license, and
most have special laws regarding the preparation and sale of food.
Call City Hall to find out what is need for your particular business. In
addition, Chamber of Commerce provide information on city, county and state
licenses and permits.
STEP #13 SELECT BUSINESS CARDS, STATIONERY, BROCHURES
Spend time on the color, design and paper for these items. They make a definite
impression-good or bad- on the people who receive them. If you are not certain
what is most suitable and effective, consult a graphics designer or a creative
printer whose work you like.
STEP #14 OPEN A BUSINESS CHECKING ACCOUNT
Call several banks to find out what services they offer, and what minimum
balance, if any, must be maintained to avoid paying a service charge. Also
ask about credit card if you plan to offer this convenience to your customers.
Bank fees can be significant, so shop around for the best deal.
If your personal checking account is with a credit union, see if it can also
provide a separate business account. when you open your account, you may
need to show the assumed name certificate and business license.
Finally, investigate obtaining a credit card in the business's name. If this
is not possible, set aside a personal credit card to use for business expenses.
STEP #15 SET UP RECORD-KEEPING SYSTEMS
Put together a simple and effective bookkeeping system with an 8 1/2 x 11"
three-ring binder, columnar pad sheets and twelve pocket dividers from the
office supply store. For each month, set up columnar sheets for income and
expenses. Use a pocket divider for each month's receipts, bank statement,
deposit tickets, and canceled checks.
In addition, an automobile log for business mileage, and filing system for
correspondence, invoices, supplier catalogs, client records, etc. are two
other useful tools.
For more information on record-keeping, see IRS publication #583, Information
for Business taxpayers.
STEP #16 CHECK IRS REQUIREMENTS
If you comply with basic IRS guidelines, you can deduct a percentage of normal
household expenses (mortgage, interest, taxes, insurance, utilities, repairs,
etc.) as a business expense. see the box accompanying this article and, for
more detailed information, IRS publication #587, Business Use of the Home.
Also become familiar with these IRS forms: Schedule SE (compensation of Social
Security Self-Employment Tax) and Schedule 1040 ES (estimated Tax for
Individuals). Depending on circumstances, you may have to file them.
STEP #17 OUTFIT THE BUSINESS
Make a list of everything needed to start the business, but before you buy
anything, look around the house for things you already own that are usable.
When you are ready to start purchasing, check the classified ads and garage
sales. Both are good, inexpensive sources for office furniture, typewriters,
computers, answering machines, etc. But only what is absolutely necessary
for start-up, and wait until the business is off the ground to get the extras.
STEP #18 DECIDE ON TELEPHONE REQUIREMENTS
Call the telephone company to find out the cost of a business phone in your
area. If you cannot afford a separate business line, investigate the telephone
company's regulations on using your personal phone in a business. It may
be possible to do this if you follow certain guidelines. Keep a record of
long distance business calls as they are a deductible expense. Finally, consider
the benefits of an answering machine to catch calls when you are out.
STEP #19 CHECK OUT THE POST OFFICE & UPS
Using a post office box as the business address down plays the fact you are
home-based. It also prevents customers from dropping in at all hours.
While looking into box rental, ask for information on the various postal
rates, particularly bulk rate, if you plan to do large or specialized mailings.
If you mail many packages, check out United Parcel Service (UPS), as it is
less expensive than the Post Office.
STEP #20 PURCHASE THE NECESSARY INSURANCE
Check with your homeowners insurance agent about a rider for your existing
policy or the need for a separate business policy. Also make sure you have
adequate personal and product liability coverage. Shop around, as each company
has different rules regarding home businesses
To save money on medical insurance, join an association and participate in
their group plan. One such body is The National association for the
Self-Employed: they can be reached at 800-527-5504.
STEP #21 ORGANIZE THE HOUSE & YOURSELF
To have more time for business, organize and simplify household routines.
Start by holding a garage sale to get rid of unnecessary possessions. Next,
have a family conference and divide household duties, making sure each person
does his or her part. The, set up a planning notebook to keep track of
appointments, things to do, calls to make, errands to run, shopping, etc.
Finally, set up a work schedule so you won't get sidetracked by TV, neighbor's
visits, snacking, and telephone calls.
Creating and operating a home business is a wonderful and rewarding challenge.
The satisfaction is not only in the money earned, but in doing what makes
Julia Tang publishes Smart Online Business Tips, a fresh
and informative newsletter dedicated to supporting people
like you! To find out the best online business opportunities,
and to discover hundreds more proven and practical internet
marketing secrets, plus FREE internet marketing products
worth over $200, visit:
Note: Feel free to publish it with the resource box and content unchanged
When searching for home business information there are some useful keyword
phrases that should help in your research....
Business Alliance - Working From Home
... discounts to The Mill Advertiser Soap-making home business/College of
Integrated Therapies New ...
Smart Guide To Working from Home - Home Business Alliance
... for The Smart Guide to Working from Home is owned by the Home Business
Alliance. You can view the first chapter free on this page ...
A Real Home Business. Working from home has never been easier.
The Perfect Home Business. An Internet Business that will really work for
you. Working from home has never been easier or more profitable. A brilliant
Home Business opportunity from Tiscali Networking ...
UK Home Business Insurance for Homeworkers and Professionals working ...
... liability, small, homeworkers, professionals, on line, quote, buy, low
cost cover UK Home Business Insurance from Link Insurance- simply a great
deal for those working from home, who need home, office ...
International Home Based Business organisation
The #1 Home based business HOME BUSINESS RESORTS THE SECRETS OF MAKING MONEY
WITH HOME BUSINESSES REVELEALED home business classifieds,home business ads,home
based,business opportunities,starting a ...
Top Home Based Business Opportunities
The Latest Home Business Opportunities That Suit You Home Business Plan has
utilized the power of the Internet to research and review the latest home
business opportunities ...
Money Seeker uk - Establish Your Home Based Business
... leaves you the opportunity to be your own boss. Rules of success in home
business >>> Home | Why Us | Case Study | Banner Ads | F.A.Q | Useful
Links | Contact Us | ...
Home Accessories from Business Gifts Supplier.co.uk
Home accessories from Business Gifts Supplier .co.uk. High quality silver
plated tableware and candlesticks, including salt and pepper shakers,
candlesticks, and votive candle holders. Home accessories ...
Tiscali work from home business opportunity - network marketing ...
... business, work from home, work from home business opportunity, home business
work from home, home business opportunity, network marketing, business
opportunities, home based business, work from home ...
- Please note that all articles on this web site does not constitute
professional advice. All articles are intended to provide a general view
of many topical subjects from a variety of sources. We are not responsible
for the content or any sponsored links that you may choose to visit from
this web site. We suggest you to consult a solicitor and your doctor for
advice relevant to you own situation before making any important decisions.
The author is not an expert in any given field. By printing, downloading,
or using you agree to our full terms. Below is a summary of some of the terms.
If you do not agree to the full terms, do not use the information. We are
only publishers of this material, not authors. Information may have errors
or be outdated. Some information is from historical sources or represents
opinions of the author. It is for research purposes only. The information
is "AS IS", "WITH ALL FAULTS". User assumes all risk of use, damage, or injury.
You agree that we have no liability for any damages. We are not liable for
any consequential, incidental, indirect, or special damages. You indemnify
us for claims caused by you.