There’s an incredible allure to starting your own business—especially since it’s easier than ever. After all, starting a company from home can give you the independence you crave without requiring the hefty price tag of most startups. If you’re considering taking a leap, you’re in good hands: the Small Business Administration estimates that a whopping 50% of U.S. businesses are home-based.
Of course, the steps from your idea to the final launch can seem unclear or intimidating at best. If you’re not sure how to set yourself up for success, let’s take a look at the basic process for starting a new business from home.
Consider Your Skills and Talents
While your idea doesn’t always have to align with your current talents and skills, it does make things much easier! Sit down to do some soul-searching, and consider what you’re naturally good at. Do you consider yourself creative or empathetic? Do you have experience—no matter how small—in specific fields, like accounting or cold-calling? Your current abilities and past experiences can help guide you to the right business idea in the next step.
Make a List of Business Ideas
Using what you’ve uncovered in the step above, generate a list of business ideas that might be right for your talents and skills. Working from a list of successful business ideas can help during this stage, but don’t be afraid to branch out to your areas of passion! In addition, keep in mind that this idea will need to work as a home-based business. Stay realistic about what you can feasibly achieve from your home office.
Do Some Research
Once you’ve narrowed down your selection to just one idea, it’s time to do some research. Is there a market for the type of business you’re considering? If you’ll be creating physical products, how much will it cost to make them? How much would people pay for what you offer, and is that enough to cover or supplement your income? Knowing the basics can help you decide whether your idea is worth pursuing.
Create a Business Plan
Writing a business plan isn’t just for people seeking a loan. It’s also a helpful way to clarify your business’s purpose, financing, and needs. A plan will require you to lay out your business focus and do additional market research. It can also help secure funding if you need it. Walk through the basic steps of creating one to make sure you write yours well.
Take Care of the Legalities
Once you’re finally ready to start your business, there are a few legal details to take care of. You’ll need to determine your legal business structure and register with the federal, state, and local governments. Depending on the type of business you’re running, you may even need to take out an insurance policy, but most home-based businesses won’t need this unless they grow and expand.
Brand and Advertise
As a new business, it’s critical to get your name out there! Whether you do it yourself or hire professionals, you’ll need a logo, a company website, consistent social media posts, and an email campaign, at the very least.
Getting a business off the ground can seem pretty intimidating for home-based entrepreneurs, but the steps above can help you understand the basic path. Of course, don’t forget that you don’t have to do it alone! From finding the perfect niche to creating the right email pitch, my guides and resources can help. Check them out to make your entrepreneurial journey a little easier!