If you’re thinking of running a business out of your house, you aren’t alone. SBE Council reveals that about 50 percent of businesses in the United States are home-based.
Home-based businesses offer distinct advantages, cutting the costs of renting a commercial space and eliminating commute times.
To foster maximum focus and productivity, it’s important that you have dedicated office space in your home.
Thank you to Sarah and Mark Velasquez, the creators of Our Perfect Abode, for sharing this content. After years of renting, they recently bought their very first home. They’re currently hard at work turning that fixer-upper into their perfect abode and are sharing their journey and all the tips and tricks they pick up along the way on their website.
What to Look For in a Property When Starting a Home-Based Business
Before you dive into the real estate market, write down your needs. How many bedrooms and bathrooms do you want? Do you need a yard? Is location a consideration? While large homes are helpful for work-from-home (WFH) situations, when it comes to home-based businesses, you have to look beyond just square footage. For example, you should know whether you will need storage space for inventory and whether you anticipate growth, which may mean accommodating employees.
Once you have an idea of what you want in a property, you can start searching. While there are online guides to home-buying that will get you started, covering everything from why you should get pre-approved for a mortgage to how to make an offer on a house, you’re best off partnering with a trustworthy real estate agent early in your search. They can help you find properties not currently listed or other homes which might meet your needs by thinking outside the box.
You may want to save up money for a down payment first. As Money.com explains, if you manage to make a down payment of at least 20 percent, you will likely be able to avoid private mortgage insurance.
Before you close a deal on any property, there are a few steps you should take to protect your investment. A home inspection is one item that should be on your to-do list. In this process, an objective third-party examines the property, flagging issues that would make it unsafe or detract from its value — like a leaky roof to a cracked foundation.
How to Keep Your Home Business Address Private
Think ahead about safety and privacy when using your home for business. Consider getting a business address for your at-home business – a virtual office address is super convenient, quite affordable, and can completely hide your home address from the public. Many virtual office providers cater to home-based business owners and offer full remote management of mail through a mobile app. If you do not want to make your home address public, go the virtual business address route from the beginning – most, if not all, corporate entity formation filings are public record, so get your virtual business address setup before filing the necessary paperwork to form your corporate entity.
How to Set Up and Manage Your Home-Based Business Successfully
So that you can hit the ground running, you’ll need to decide how to structure your business. Will you be a sole proprietorship? A partnership? Operating as an LLC is a good choice for many home-based small businesses, as it offers liability protection of your personal assets, tax advantages, less paperwork, and flexibility in how you run your venture. If you’re wondering how to start an LLC in Massachusetts, know that it can be complex and costly, especially when an attorney is involved. Thankfully, using an online formation service like Zen Business streamlines the process. Such a service also takes care of filing paperwork like annual reports, ensuring it’s done properly and on time.
Starting a business out of your home offers notable advantages. Low overhead costs are one significant benefit. You don’t have to pay to rent a commercial space, plus you save money on gas and other costs associated with commuting. That said, you will have to invest some money in equipping your home office. The right furniture, technology, and tools can foster productivity.
There are several items you can use in a home office setup. For starters, you need a good computer. You will use this for everything from client communication to website management. Beyond this, you should get a desk, comfortable chair, and storage. Finally, don’t forget personal touches, like family photos. Workers who feel their office reflects their self-image feel more comfortable at work, so think in terms of tailoring the space to suit your personal sensibilities.
With your furniture and personal aesthetic touches in place, you can move on to figuring out what technology you need to effectively manage your business operations – check out 5 actionable ways to make your home-based business more productive for suggestions that can provide inspiration, including project or task management software and web-based communication tools. These products will help streamline your day-to-day business life.
Moving to accommodate a home-based business can be the first step towards entrepreneurial success. While it will take time to find and secure the perfect property, it will be well worth it once you’re set up in an office space where you can focus fully on your work.
Keith Munsell 
