5 Questions to Ask Yourself Before Starting a Business From Home

By Stephen Robert Morse
The Hartford Small Biz Ahead | Originally published: December 11, 2017
Updated: September 5, 2023

In today’s digital economy, more people than ever are starting businesses from their homes. There are several advantages to having a home enterprise — autonomy, flexibility, time efficiency and cost savings, to name a few. When you work at home, you don’t have to commute and you can deduct certain home expenses such as mortgage interest and utilities from your business income.

You can choose when you want to work, and you won’t have coworkers or bosses looking over your shoulder. You can also test ideas with minimum overhead.

People often think it will be easier to balance work and family life by working from home. However, depending on what type of business you’re running, your home might not be the most ideal office and it may expose you to unforeseen risks without the right business insurance.

If you are thinking of starting a home-based business, ask yourself these five critical questions first:

1. Is your home the best place to operate your business?

This question might seem obvious, but it requires some deep thought about the kind of business you want to start. Carefully consider what your business needs and whether you can meet those needs from your home. For example, if your company needs to ship goods and keep inventory, you will need easy access to mail services and space for your stock. Not all homes can accommodate that.

Or perhaps you need to meet with clients frequently. Can you do this from your home, or do you have pets or kids who might be distracting?

Do you live in a location that’s convenient for clients ? If not, you’ll need to consider the costs of traveling to visit clients or you’ll have to research meeting space elsewhere.

Also consider how your business will scale. If you get to the point where you need to add staff members, will they join you at home or will you need an office? What would that transition involve?

2. How will you balance work and family life?

Starting a business from home can allow for a more flexible lifestyle, but it requires discipline. You should be clear on what your priorities are and the hours you are going to devote to your work versus your family.

For example, perhaps you want to pick up your children from school every afternoon and spend time with them until they go to bed. Unless you are only going to work on your enterprise part-time, that might not give you enough office hours in the day. You may have to work later in the evening, or perhaps dedicate a few hours during the weekend to work. During summer school breaks, will your kids stay at home with you, or will they go to a camp?

You might also find that by working from home, you never truly stop working, and you may never leave the house. Again, this takes discipline to differentiate your hours and stay connected with the outside world.

The support of your family members is also critical to your decision to work from home. Where in your home you decide to work, when, and for how long can potentially disrupt existing lifestyle patterns. Involve them in the decision and make sure you draw a line between your work and family obligations.

3. How will you present yourself?

In the absence of a storefront or a reception area, consider how your customers, clients and suppliers will interact with you. Maintaining a professional image is even more important for home-based business owners, since you have to make sure…[MORE]

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To read the entire article by Stephen Robert Morse at The Hartford Small Biz Ahead website, visit: 5 Questions to Ask Yourself Before Starting a Business From Home