HOW TO NETWORK YOUR HOME-BASED BUSINESS EFFECTIVELY
Helene K. Liatsos
Home Office Management Experts
www.thehome-office.com
We have all heard the expression: “it is not what you know, but who you know” that counts! Well, image what happens when we multiply that with “it is not who you know, but who they know” that counts! You would have a really big group of people in your database files. These people are all potential advisors to your business. They could provide information, news, updates, new customers, other contacts, etc. which can be invaluable to your business.
After twenty years in business, I am happy to report that I never advertise for my business. New clients and new opportunities for projects and ventures come to me through referrals and getting to know new people. That might sound pretty cool to you, but did you know that I have spent countless hours networking to meet as many people as I possibly could? Mind you that this was especially true in the early years when I started my business. While I didn’t know much about the term “networking” I knew that I had to tell everyone I had ever met in my entire life about my new business. So I devised a plan to call 3 people each day. I didn’t always get to speak to them directly, but I left a message or if I was in their area, I parked the car, walked to their building and dropped in to say hello. They weren’t always in, so I left a card and a smile with the receptionist.
One other big thing that I did was to read the newspaper every day; specifically, the Business and the Local Community sections. I learned all kinds of interesting things. If a business just opened, I send them a good luck note with my card in it. If a business just closed, I found out if they were moving down the street or across the nation – if it was close by, I sent them a good luck note with my card in it. I discovered the Chamber of Commerce and that was a true find! I met a whole bunch of people at one event; so the next day I was really busy sending out follow up notes. Of course today, sending e-mails is a whole lot easier but don’t discard that personal touch either.
WHAT IS NETWORKING?
Networking is utilizing all your resources. Resources can be found anywhere and everywhere. Everyone you meet in life has the potential to be a good resource for you. The most fascinating aspect of this is that you never know where your next lead comes from. People are connected through a web of friendships, sports, schools, religion, hobbies, business, neighborhoods, etc.
I was once consulting with a Janitorial Supply company. One day, an elderly man came in to buy supplies, he asked me what I was doing there and once I explained my purpose there, he asked for my card. A few days later I got a call from a woman who needed to organize her busy household of four young boys as well as start a home-based business. Naturally I hurried right over. After we agreed to my consulting with her, I asked how she heard about me. And she told me about the elderly man who polished her floors; he told her about my business and so she called. I was with her for eight years! And all it cost me was a friendly chat with a sweet older man.
Here is the definition I got out of the dictionary:
the exchange of information or services among individuals, groups, or institutions;
specifically: the cultivation of productive relationships for employment or business.
I like that word: cultivation. It implies that you have to work at it, that you have to nourish it and encourage it to grow and produce a result that is beneficial to you and your business. In the classes I teach, locally in Southern California, I often get a student who states that they joined the “XYZ Networking Group” but it didn’t generate any business for them. So I ask them if they joined a committee or two, did they go to the mixers and the breakfasts and lunches and other events they offer, did they ask for the membership labels that are available to them so they can do a mailer…..and of course, they didn’t. It is not enough just to join a group, you must work at it. You must participate and be active in it so people can meet you and get to know you and remember you. People, as a rule, prefer to hire someone that is recommended rather than some unknown listed in directory. The more people who are out there recommending you the bigger the chances are that you will get more customers.
Years ago when I joined the Chamber of Commerce, I soon realized that many people worked out of their home. So, I created the Home-Based Business Committee with these individuals. We had our own meetings and our own Business Showcase where we presented our businesses to the entire chamber membership and interested guests. We made them pay attention to us; we wanted their business and we were willing to work for it.
One of the byproducts of having a good network is that it saves you time and money. If you are looking for a good computer programmer or a bookkeeper, it is so much easier to ask a network contact that to put an ad in the paper, wait for responses, review them and determine who is right for you; sometimes there are no applicants and sometimes none of the applicants fit! What a waste of energy…far better to put the word out and let the right person come to you.
YOUR NETWORKING CAMPAIGN
The key to any endeavor is to have an organized approach, so it is important to create a campaign for your networking efforts. Some key points are listed here:
1. Do your Homework
There a million networking groups out there. You can’t possibly be a member in all of them; no one can. Do some research and learn about the ones that appeal to you and are right for your business. Keep within the parameters of your business. My initial business was local. There was no point in building relationships with people who worked in another state or in another city for that matter; but, as my business grew and I was able to provide products and services for people across the nation, so did my networking. It is true though, that even if you only have local clientele, a website gives you credibility and marketing ability…so proceed as you need to as you grow your business.
You can find local networking groups online of course, but also check the local papers. Typically they have a Business Section. In this section, there should be a Calendar or an Agenda which will list all the Networking events in your area. They will give you name of group, location of meeting, time, cost and topic for the evening. Pick the one (s) that seems right and go! And don’t forget your business cards!
2. Educate Yourself
Now that you have narrowed down the networking groups you want to go to, it is important to understand how each one of them work and what they have to offer. It takes a bit of aptitude to comprehend these new terms on the Internet. Much to my chagrin, I discovered this myself when I first tried to list my business in Social Networking Sites! I was “warned” that I could not promote my business…duh, what was I doing wrong??? Then I got the full explanation of those particular sites and realized that I was in the wrong place!
This is true with some local business networking groups as well. Some are stronger than others – meaning that they have a bigger membership base and offer more community events to encourage more business exchange. Some are for women only or men only…which is okay if your product or service caters to one or the other. But, what if it is a product or service that I woman uses but a man can buy for her? Don’t limit yourself. Look for the networking groups that provide the right outlet for your product or service with people who have a genuine interest it.
3. Pace Yourself
Okay, make a list of which groups you are going to be a member of. This should be a balance between Internet Sites and Local Networking Groups, such as the Chamber of Commerce. Make sure you have included the cost of memberships and the schedule of meetings and events. You don’t want to be a member of two groups that both meet on the 1st Tuesday of the month.
If you find yourself making excuses not to go to these events, you are doing too much. It is better to pick 1 or 2 at the most and work them effectively than joining 8 groups and driving yourself crazy. It could also be cost prohibitive to join and attend all the groups in your town. So be smart…control your time, effort and money by selecting the best for you and then create your own rhythm for meetings, events and following up with potential leads. Networking has to be a positive experience. If it annoys you to get yourself motivated to go, don’t bother. Others will pick up on your attitude and this will do more harm than good. Go at another time when you are upbeat and open to meeting people.
4. It’s A Balancing Act
You are going to meet lots of people. But let’s face it you are not going to hit it off with everyone. Sometimes you will realize this up front and sometimes it will take you a while to figure it out. It never ceases to amaze me when I spend a lot of time with someone, talking, laughing, sharing information, exchanging business cards, etc. And then, when I call them, they don’t return my call! Even after all these years, I get disheartened. I wonder what when wrong; I replay the conversation and think that I could have done something differently. Until I realize that it just wasn’t meant to be and move on. The emphasis is on: moving on. You and I don’t want to be in business with people like this anyway!
5. Don’t spend your life Networking
There is a time for networking and a time to do business. You can’t spend all your precious time hunting for customers; you’ve got to pay attention to the customers you have. I got so into networking in my early business days. Going to meetings and events and then following up took its toll. I couldn’t keep up with the demands of my existing customers. They noticed the difference and said so. This was a rude awaking but awake I did and got back to taking care of business.
Good luck with your networking!
Helene :)
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The Official Home-Based Business Blog for Small and Home-Based Businesses with expert Helene Liatsos!
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Tuesday, August 04, 2009
Friday, July 10, 2009
Top 10 Things To Do To Start a Home-Based Business
TOP 10 THINGS TO DO TO START A HOME-BASES BUSINESS
Helene K. Liatsos
www.thehome-office.com
TABLE OF CONTENTS
1. Selecting a Business
2. Naming Your Business
3. Legalizing Your Business
4. Your Business Plan
5. Sales
6. Your Marketing Plan
7. Accounting
8. Office Basics
9. The Image of Your Business
10. Balancing Your Life
I. SELECTING A HOMEBASED BUSINESS:
Guidelines:
* the right business FOR YOU takes introspection and honesty
* it must take into account your personality and characteristics
* it must fit into your lifestyle because your business goals should be an integral part of your life goals…the business is the VEHICLE for your life's goals.
Ask these questions:
* what do I want out of life and is this the road to it?
* am I prepared to work long hours and make sacrifices?
* is my family ready, willing and able to "support" me?
A. Determine on what LEVEL you want to operate:
Full Time Business…financial cushion for basic living expenses for at least
6 months to 1 year
Moonlighting...keep full time job and work a minimum of 8 hours a week at your home based business
Part Time Business…work part time on your own business or part time at a job
B. Home-based business options:
1. Work at home
…artists, writers, computer programmers, etc.
2. Work outside the home, but you run your business from home.
…contractors, plumbers, electricians, etc. etc. etc..
What do you want to do – work inside or outside?
Do you want to work with children, seniors, animals, the land, the disabled, etc?
Do you want to teach, train, fix, do, perform, etc?
C. How to choose a home based business:
Start thinking about your skills, experiences, hobbies, interests, etc. Think about your BACKGROUND and what you have done in the past that you really liked. Make an inventory list of all your work experiences - part time summer jobs, volunteer work, professional positions, etc. Ask these questions:
...what am I really good at doing?; what do you have a "feel" for?
...what do I enjoy doing?
…what do you know about that "industry?"
…what kind of work and how much work do I want to do each day?
...what do I want to be doing two, five, ten years from now?
…are you comfortable about your career change? In other words, do you care what other people think of my career change?
…can you do this every day for the rest of your life?
And most importantly: Can I make a living?
II. NAMING YOUR BUSINESS
A. Your business name SHOULD EXPLAIN EXACTLY what you do:
…Make your name more specific, therefore instantly recognizable.
B. Pick a name that is: EASY TO REMEMBER
EASY TO PRONOUNCE.
…Don't confuse or make it difficult for your customers to call you!
C. Plumber's Principle: Pick a name that starts with the 1st THIRD of the
alphabet!
D. Create an Image…how do you want to be remembered.
Pool Company: Muddy Waters - wrong!
Aqua Blue - right!
E. Do your research – don’t pick a name that someone else already has or that is similar to another business:
...leads to confusion in the business community
...they may have bad credit and they'll come after you
...they can make your life miserable by taking you to court
Checking the availability of your business name is Your responsibility.
III. LEGALIZING YOUR BUSINESS
Registering your Business name is done at the County Level…so you need to contact the Recorder Registrar’s Office (aka County Clerk’s Office)
This is called filing a FICTITIOUS NAME STATEMENT
(aka DBA – DOING BUSINESS AS)
THIS IS A LEGAL REQUIREMENT.
THIS IS HOW YOU TELL THE GOVERNMENT YOU ARE OPERATING A BUSINESS UNDER ANOTHER NAME, OTHER THAN YOUR OWN FULL LEGAL NAME AND THA NO FRAUD IS INTENDED.
YOU DO NOT HAVE TO FILE A DBA IF YOUR BUSINESS NAME IS YOUR FULL LEGAL NAME.
COUNTY CLERKS OFFICE will register your business and send you back the original with their seal on it which also shows you the EXPIRATION DATE. Make a note of this date.
A. BEFORE YOUR FILE YOUR NAMES, you must check the name to ensure that no one else has the name you have selected for your business. This can be done through the county agency, on-line through the county’s website or by using a business service that provides this service to businesses.
B. AFTER YOU FILE, you must Publish your DBA in a RECOGNIZED PUBLICATION within the county
THIS IS A LEGAL REQUIREMENT.
THIS IS HOW YOU TELL THE PUBLIC YOU ARE OPERATING A BUSINESS UNDER ANOTHER NAME, OTHER THAN YOUR OWN FULL LEGAL NAME AND THA NO FRAUD IS INTENDED.
…must be published for 4 consecutive issues
…shop around as costs vary
…once published, they will send you Proof of Publication
Special note:
Some newspapers publish AND file the DBA for you for a nominal service fee. When you call for publishing rates ask them about their filing service as well.
LICENSES AND PERMITS:
. A. BUSINESS TAX
The City Clerk of the Tax and Permit Division of the City of Los Angeles says:
“Persons engaging in business within the City of Los Angeles must pay an annual business tax as required under Section 21.03 L.A.M.C.”
“The sole purpose of the tax is to obtain revenue.”
Anyone running a business in the City of Los Angeles must to this. You go to the your city’s CITY CLERK'S OFFICE or CITY HALL and fill out an application.
At the end of each year, your business will receive a FORM. You will fill out this form and pay the tax. This tax is due January 1st and delinquent on March 1st.
The “City of Los Angeles Business Taxes” are based upon the calendar year!
This Business Tax registration is NOT a license or a permit! It is only a registration of your business and the revenue that you generate – the city wants a part of it!
When you file the form, they might ask you if you are home based or not…if you are and are listing your home address, they will simply tag it. This way they will not release the home address, as a way of protecting you.
THE POINT IS TO MAKE SURE WHAT YOUR CITY DEMANDS OF YOU!
B. ZONING BOARD
It is your responsibility to find out if you are properly zoned. If not, you may have to apply for a variance or change of zone.
The City of Los Angeles says: “Persons conducting business must abide by all city zoning laws.”
You should contact the Zoning Board in your city and find out what the zone you are in and what the regulations are for that zone.
It has been my experience that the Zoning Board will only come knocking on your door if there is a complaint against you. I would then strongly recommend that you "low-profile" your businesses
BE A GOOD NEIGHBOR. DON'T CHANGE THE CHARACTER OF YOUR NEIGHBORHOOD:
· no signs hanging out in front
· no store front windows
· no delivery trucks coming and going
· no people traffic in and out
C. STATE BOARD OF EQUALIZATION WWW.BOE.CA.GOV
The SBE is the government arm that authorizes you to sell tangible personal merchandise, RETAIL OR WHOLESALE, to an end user in the state of California.
For the privilege of selling your merchandise to an end user you are required to pay a SALES TAX on each item sold. You are allowed to reimburse yourself by collecting this sales tax from your customers. In order to do this, you must have a SELLER'S PERMIT.
It's free; get in person or by mail - call ahead
They will send you a TAX RETURN FORM every three months (or otherwise). Fill out and send back with your check for the sales tax you collected for the previous quarter. You need to keep very accurate records of the revenue that you generated and sales tax that you collected.
Special Mention:
It's a good idea that, as you sell your merchandise, you "BANK" the money in a separate account, perhaps a small savings account with the credit union. Don't put it in your business checking account; when it comes time to pay the taxes, it may not be there!
If you sell this bag for $10.00 and you sell 10 a day, you then should have collected approximately $8.00 in sales tax for the day.
$ 8.00 x 5 days = $ 40.00 a week
$ 40.00 x 4 weeks = $160.00 a month
$160.00 x 3 months = $480.00 a quarter
1. SBE offers a FREE, 4-hour class on The Seller's Permit that covers the gray
areas such as painters, TV repairman and plumbers, etc.
2. SBE sends updates to you regarding changes in the laws.
3. If you abandon business, you must notify them in writing and they will confirm in writing also.
D. RESALE CERTIFICATE
When the SBE issues you a Seller's Permit, you are eligible to purchase items that you need TO MAKE YOUR PRODUCT and not pay sales tax.
You do this by getting a RESALE CERTIFICATE.
IV. BUSINESS PLAN
A Business Plan is a ROAD MAP of your business. It shows where you are, where you are going and how you are going to get there.
Why do you need a business plan?
Identifies goals and objectives: A Business Plan should be written and reviewed periodically. By doing this, it forces you to stay focused, stay on target and work towards meeting your goals. This is a "How To" manual on how to operate your business.
Identifies problems: While writing your business plan, you will come up against issues that will require more work, more money, more whatever than you originally thought. This is where you begin to see your weaknesses and strengths. As you are confronted with these issues you will be forced to rethink, replan, refinance the solutions to your problems...this is how your business grows and you grow as an entrepreneur...by facing challenges and winning.
Funding your business aka "BORROWING MONEY": Whether you borrow money from your Uncle Joe in Kansas City or the guy at the bank, they want to see your plans. They want to know how their money will be spent, when the profit will be made, how much interest to they get when do they get it.
There are various ways to write a business plan:
...library has many books on writing a business plan
...professional associations offer business plan guides (sample)
...computer software (sample)
...take a class
OUTLINE of Business Plan should include the following sections:
General Summary:
- What is the EXACT NATURE of your business?
Management Team:
- Who are you? What qualifies you to run this business?
…include resume, bio, all other experience
Marketing Strategy:
- Write a separate Marketing Plan and include in this section.
Finances:
- How much MONEY do you need to start this business?
...What is your budget? Include: office supplies, equipment, inventory, permits & licenses, advertising, stationary, utilities, etc.
V. SALES
IF YOU DON"T HAVE A CUSTOMER, YOU ARE NOT IN BUSINESS!
NEGOTIATING TOWARDS A SALE
· Preparation: Know your objectives = what is the ideal sale vs. the minimum sale? Determine what your opening offer will be. Outline the steps you will take.
Identify what concessions you are prepared to make.
Fine-tune the approach you use to convince the customer to buy
· Opening:
Have a positive attitude. Ask for what you want, directly and confidently,
but in a non-threatening way.
Be realistic in your opening price; don’t be ridiculously too high so that nobody takes you seriously and don’t be foolishly too low so that you are giving away all your hard work.
Be non-committal and at the same time be approachable.
Explore the position of the buyer by asking questions.
· Bargaining
The art of bargaining is to get the customer to move closer to the price
you could live with – the minimum sale.
Never be embarrassed to ask.
When you must give something up, give up something that gives nothing substantial away. i.e. “Well I could give it to you for only $ 27.50, but it would have to be the yellow one” (You’ve been trying to sell that since the day you made it!)Do something physical, such as taking the product off the shelf and putting it in the customer’s hands.
Sometimes it is not what is said that counts, but how it is said…a customer could be persuaded to buy simply by being firm with your price and delivering that message with charm!
Don’t try to “win” the battle; a customer is someone you want to develop over time; don’t back them into a corner...if they feel like they “lost”, they won’t come back and they will tell all their friends about how terrible they were made to feel.
Remember that the savvy customer will be applying these same strategies as you!
Remember that everything is negotiable!
VI. MARKETING
Sales is an action item. It’s an activity. I sell a bar of soap for 50 cents.
Marketing is the mental thought; it is what I do to convince you to buy this bar of soap.
Marketing Plan:
1. Who needs your product or service?
...individuals or company;
2. What competing products/services are out there?
...know your competition
...competition is good - it forces you to be better
3. How is your product unique?
...Study the competition
...what weaknesses and strengths does your competition have? ...how are you better or worse; same or different?
4. How will you tell people about it? aka SALES STRATEGY
...mail order, direct mail; telemarketing; home parties; referrals; door to door; advertising
5. What will the pay for it?
...research competition's price
…take a survey
6. How much will it cost to produce and deliver it?
...LEO: - what is your LABOR, EXPENSES, OVERHEAD
...retail price should be 2 1/2 times what your LEO is; higher in a better economy.
PUBLIC RELATIONS and ADVERTISING
- aka: “How to get your name in the public's eye.”
A. PUBLIC RELATIONS - IT’S FREE!
Take advantage of public relations by writing your own NEWS RELEASE. You can learn how through books, classes or just by keeping at it and perfecting your skill.
Local newspapers are always interesting in what is happening in the community...but you still have to make your news release newsworthy…i.e.
“You are helping the elderly by doing their taxes in January for 1/2 the price “
NEWS RELEASE COVERS: WHO, WHAT, WHERE, WHEN and HOW
B. ADVERTISING:
Research newspapers and magazine to determine where you should advertise. Send away for their MEDIA KIT to find out who reads them, how often, what is the shelf life (daily, weekly, monthly), what is the circulation, how much does it cost to advertise, etc?
If you will be advertising, remember that the key to successful advertising is REPETITION. People need to see your ad many times over and over again before it sinks in for them to call you. Mcdonald’s become MCDONALD’S by being in your face 1 million times a day!.
The best place to advertise is the upper right hand corner...because people tend to "skim" through like this - SHOW SAMPLE. This is how repetitive ads really become effective. It's a lot better to get a smaller ad in this area for several times than to get a full page ad for one time.
C. NETWORKING:
Networking is UTILIZING RESOURCES. Resources can be found anywhere and everywhere - through your family and friends, neighbors, church, your children's schools, local or national organizations, trade associations, etc.
"Never leave home without it" – means keeping your business cards on you at all times…you never know where or when you'll meet your next customer!
.
Library Chamber of Commerce:
Trade Associations California Women Business Owners National Association of the Self-Employed
Small Business Administration
SCORE - Service Corps of Retired Executives
RULES OF NETWORKING
1. Identify Yourself: Wear a nametag with your name and profession written clearly.
2. Set Goals: What kinds of people do you need to meet?
How many contacts do you need to make?
3. Start Talking: Socialize - move towards people - pick out an individual or a group of people and introduce yourself - initiate the conversation - be outgoing!
4. Make Friends: Try to meet 5 to 10 new people - learn what you have in common - be attentive to each person - tune into them - make eye contact!
5. Trade Information: Exchange ideas, experiences, leads and contacts; tell them who you are, and listen to who they are!
6. Don't Hustle: Discuss topics of mutual interest...arrange to meet at another time (breakfast, lunch, coffee) and do business then.
7. Be A Resource: "I know where you can get that information..." etc. Offer referrals, share opportunities, introduce them to your contacts.
8. Give and Get: Give as much as you can - be supportive! Your own rewards come from helping others!
9. Ask for what you want: Find the person who can provide it - then ASK FOR IT! Remember, if you don't ask, you don't get!
10. Keep At It: Broaden your base - make as many contacts as you can - you can never know too many people - you never know where your next opportunity will come from!
VII. ACCOUNTING
A. BANKING
Some people do not think they need a BUSINESS CHECKING ACCOUNT, but the IRS says you do. When you operate a business, home based or otherwise, you must keep a separate accounting for it. According to their rules, you CANNOT CO-MINGLE funds between personal and business.
You need the pink copy of your DBA form to open a business checking account. Before you start running around looking for bank, sit down by the telephone with the yellow pages and call around; ask them these questions:
FOR A BUSINESS CHECKING ACCOUNT:
1. What is the minimum deposit? $50.00 or $1000.00?
2. What is their service charge and what is it based on?
...average daily balance, flat rate or monthly activity
3. What business services do they offer?
...free cashier's checks, safety deposit box, merchant line, etc.
4. What are their extra charges?
...too many deposits, ATM activity, over draft fees, etc.
5. Automated Telephone Services with real, live person to assist you 24 hours a day, 7 days a week.
Special Note:
When you start making money from your business DEPOSIT IT IN YOUR BUSINESS CHECKING ACCOUNT. Determine how much money you need to live on and PAY YOURSELF a monthly salary or draw from this account. If you can link your personal account to the business account, then all you have to do is a transfer of monies.
In this way, you will not be co-mingling funds and you will have an accurate record of how much money your business is making and how much you need each month to live on.
Poor money management is one of the top reasons why most businesses fail, so keep tabs on how much money you are making, where it all goes and, most importantly, how much you get to keep!
B. RECORD KEEPING
…Keep track of your expenses and your income
…Know and understand CASH FLOW
…Use Computer Accounting Program, such as Quickbooks
…Keep expense receipts in an organized file
…Use Customer Datebase Program for clients
…Keep paper copy of all invoices when paid
…Hire a bookkeeper when you are in over your head!
C. TAXES
When you operate a Homebased Business there are business deductions you can take…the key is to know what they are and to document everything.
.
1. Keep business expense separate from home expense:
...Multiple shopping at Target
2. Home business "office" must be in one (1) place; don't keep your computer in your kid's room, the filing cabinet in the den and your
supplies & inventory in the garage.
3. All items used for business must be for business; you must identify what percentage you use your computer for businesses vs home/personal use.
2. Automobile repair and maintenance - %
Utilities - %
Uniforms, tools, equipment, etc.
Office supplies
Computers, software, upgrades, repair, etc.
Printing of letterhead, brochures, flyers
Advertising
Customer Development
A good accountant will be able to advise you as to what deductions apply to your business.
Go to: WWW.IRS.GOV to get more information.
ESTIMATED QUARTERLY TAXES:
Annual Calendar of Quarterly Estimated Taxes:
April 15th - 1st quarterly estimated payment is due June 15th - 2nd quarterly estimated payment is due
September 15th - 3rd quarterly estimated payment is due
January 15th - 4th quarterly estimated payment is due
VIII. BUSINESS OFFICE BASICS:
A. Select your WORK AREA:
...clearly defined work space, with a door that could be closed when you're working AND when you're not; ok to use "Do Not Disturb" sign.
...away from central portion of the house where others do not have to run past you to get to the phone, refrigerator, bathroom, etc.
...brightly lit and cheery environment
...large enough to fit all items that you need to operate your business.
B. A DESK large enough to work comfortably. Not too high, not too low and with drawers for storage of essentials.
C. A comfortable CHAIR that stays at the desk at all times; not one you drag in from the kitchen or dining room on your way to work!
D. VISITOR SPACE: based on whether or not you need to meet with clients;
is your office large enough or do you need to use other room? If so, then determine what room is the best for this purpose.
E. TELEPHONE: DESIGNATED BUSINESS TELEPHONE LINE
1. Operator/Information will not give out your company name
2. Your business will not get a free listing in the telephone directory
3. You cannot deduct monthly service unit charges on your home phone
4. If you share home phone, what will you use if they are already talking.
5. If you share home phone, who will answer phone?
6. Answering machine message should be professional
7. Don’t publish your home phone for privacy sake.
F. MAILING ADDRESS
1. Don't use a Post Office Box
2. Use mail service address as your own, use box # only
3. Mail service location accepts packages from Fedex & UPS
4. You can call to see what mail has come in
5. Make copies, send/receive faxes, buy stamps, notary, etc.
6. Do not publish your home address
F. Business Stationary, Invoices, etc. These announce to the world that you are serious about your business…never leave home without them!
G. Office Supplies: Buy supplies as you need them. Spend money on the things that will bring in the customers, not to decorate your office.
H. Ego Wall: this can include any college degree, certificate of completion, accreditation certificate, pictures with noted celebrity, pictures of your kids, your dog, your garden or anything else that makes you feel successful and businesslike!
I. Insurance: …medical, dental, life, disability, liability --- as needed
...homeowners “business” insurance for your computer and other equipment
...business insurance that covers theft, loss, damage of client files, etc.
J. Retirement Plan:
It's important to save for the future. 10% off the top is the minimum you should start with but you will need to see a financial planner for better information on how to plan for the future.
XI. IMAGE
THE IMAGE OU PROJECT CAN MAKE OR BREAK YOUR BUSINESS!
The home-based businesses that succeed and flourish are the ones that project a positive and confident attitude. We say to the world that we are just as professional, capable, reliable, efficient and successful as the guys who have an office on Ventura Boulevard.
What is the image of your business? Decide what you want the public to think about your business and make sure your image projects it.
It's not where you do the work, its the quality and service level of what you have to offer.
This means the way you dress, the way you talk, your message on the answering machine, your business card and stationary.
The paperwork you hand a potential client or leave behind on a desk of networking table is WHAT PEOPLE WILL REMEMBER YOU BY. It should remind them of you and your business with a clearly defined image.
Some key things to remember:
...minimum info: Business Name, Your Name, Address & Telephone Number
...use SHORT, EASY TO REMEMBER PHRASES & CLEAN LINES.
...pick colors, logo, typeset that is easy on the eye and easy to read.
…use a “hook”: I.E. "specializing in overnight transcription"
. REMEMBER:
It takes 2 seconds to recognize a business card
It takes 5 seconds to recognize a business flyer
Be consistent in your image….repetition, repetition, repetition!
X. BALANCE
Most people leave our 9 to 5 jobs in search of a better way, an alternate lifestyle. We want to spend more time with our family, we want to be our own boss, we want to make more money - so what happens is that we end up working 9 to 9...but that's okay since we operate our own business.
What you need to look out for is turning into an workaholic...it is important to lead a balanced life.
And most of all DON'T NEGLECT YOUR PERSONAL LIFE...maintain close relationships, get physical exercise, pursue outside interests.
If you have loved ones at home, incorporate them in your business: ask their advice, invite them into your office and show them what you do; kids can sharpen pencils and stuff envelopes. No one, on their death bed said, "Gee I should have spent more time in the office!"
Relationships should never be sacrificed. Family and friends can never be replaced. Time can never be replaced. Make the time to spend with them and make the time to be by yourself.
Reward yourself; give yourself an incentive such as ice cream or an afternoon in the park, award yourself with flowers, a new outfit, go to the movie all by yourself at 1:00pm.
This is not brain surgery - it's only a business! It's not the facts that we learn from, its the EXPERIENCE that we remember and grow from. No one can be motivated working sixteen hours a day! Take your business seriously, but have fun with it!!!
* * * * * * * * * * * * * * * * * * * *
What my personal goal is, for each of you to carry out of this class, is the motivation, the deep desire to take control of your life and start your own home based business!
Good Luck!
Helene K. Liatsos
www.thehome-office.com
TABLE OF CONTENTS
1. Selecting a Business
2. Naming Your Business
3. Legalizing Your Business
4. Your Business Plan
5. Sales
6. Your Marketing Plan
7. Accounting
8. Office Basics
9. The Image of Your Business
10. Balancing Your Life
I. SELECTING A HOMEBASED BUSINESS:
Guidelines:
* the right business FOR YOU takes introspection and honesty
* it must take into account your personality and characteristics
* it must fit into your lifestyle because your business goals should be an integral part of your life goals…the business is the VEHICLE for your life's goals.
Ask these questions:
* what do I want out of life and is this the road to it?
* am I prepared to work long hours and make sacrifices?
* is my family ready, willing and able to "support" me?
A. Determine on what LEVEL you want to operate:
Full Time Business…financial cushion for basic living expenses for at least
6 months to 1 year
Moonlighting...keep full time job and work a minimum of 8 hours a week at your home based business
Part Time Business…work part time on your own business or part time at a job
B. Home-based business options:
1. Work at home
…artists, writers, computer programmers, etc.
2. Work outside the home, but you run your business from home.
…contractors, plumbers, electricians, etc. etc. etc..
What do you want to do – work inside or outside?
Do you want to work with children, seniors, animals, the land, the disabled, etc?
Do you want to teach, train, fix, do, perform, etc?
C. How to choose a home based business:
Start thinking about your skills, experiences, hobbies, interests, etc. Think about your BACKGROUND and what you have done in the past that you really liked. Make an inventory list of all your work experiences - part time summer jobs, volunteer work, professional positions, etc. Ask these questions:
...what am I really good at doing?; what do you have a "feel" for?
...what do I enjoy doing?
…what do you know about that "industry?"
…what kind of work and how much work do I want to do each day?
...what do I want to be doing two, five, ten years from now?
…are you comfortable about your career change? In other words, do you care what other people think of my career change?
…can you do this every day for the rest of your life?
And most importantly: Can I make a living?
II. NAMING YOUR BUSINESS
A. Your business name SHOULD EXPLAIN EXACTLY what you do:
…Make your name more specific, therefore instantly recognizable.
B. Pick a name that is: EASY TO REMEMBER
EASY TO PRONOUNCE.
…Don't confuse or make it difficult for your customers to call you!
C. Plumber's Principle: Pick a name that starts with the 1st THIRD of the
alphabet!
D. Create an Image…how do you want to be remembered.
Pool Company: Muddy Waters - wrong!
Aqua Blue - right!
E. Do your research – don’t pick a name that someone else already has or that is similar to another business:
...leads to confusion in the business community
...they may have bad credit and they'll come after you
...they can make your life miserable by taking you to court
Checking the availability of your business name is Your responsibility.
III. LEGALIZING YOUR BUSINESS
Registering your Business name is done at the County Level…so you need to contact the Recorder Registrar’s Office (aka County Clerk’s Office)
This is called filing a FICTITIOUS NAME STATEMENT
(aka DBA – DOING BUSINESS AS)
THIS IS A LEGAL REQUIREMENT.
THIS IS HOW YOU TELL THE GOVERNMENT YOU ARE OPERATING A BUSINESS UNDER ANOTHER NAME, OTHER THAN YOUR OWN FULL LEGAL NAME AND THA NO FRAUD IS INTENDED.
YOU DO NOT HAVE TO FILE A DBA IF YOUR BUSINESS NAME IS YOUR FULL LEGAL NAME.
COUNTY CLERKS OFFICE will register your business and send you back the original with their seal on it which also shows you the EXPIRATION DATE. Make a note of this date.
A. BEFORE YOUR FILE YOUR NAMES, you must check the name to ensure that no one else has the name you have selected for your business. This can be done through the county agency, on-line through the county’s website or by using a business service that provides this service to businesses.
B. AFTER YOU FILE, you must Publish your DBA in a RECOGNIZED PUBLICATION within the county
THIS IS A LEGAL REQUIREMENT.
THIS IS HOW YOU TELL THE PUBLIC YOU ARE OPERATING A BUSINESS UNDER ANOTHER NAME, OTHER THAN YOUR OWN FULL LEGAL NAME AND THA NO FRAUD IS INTENDED.
…must be published for 4 consecutive issues
…shop around as costs vary
…once published, they will send you Proof of Publication
Special note:
Some newspapers publish AND file the DBA for you for a nominal service fee. When you call for publishing rates ask them about their filing service as well.
LICENSES AND PERMITS:
. A. BUSINESS TAX
The City Clerk of the Tax and Permit Division of the City of Los Angeles says:
“Persons engaging in business within the City of Los Angeles must pay an annual business tax as required under Section 21.03 L.A.M.C.”
“The sole purpose of the tax is to obtain revenue.”
Anyone running a business in the City of Los Angeles must to this. You go to the your city’s CITY CLERK'S OFFICE or CITY HALL and fill out an application.
At the end of each year, your business will receive a FORM. You will fill out this form and pay the tax. This tax is due January 1st and delinquent on March 1st.
The “City of Los Angeles Business Taxes” are based upon the calendar year!
This Business Tax registration is NOT a license or a permit! It is only a registration of your business and the revenue that you generate – the city wants a part of it!
When you file the form, they might ask you if you are home based or not…if you are and are listing your home address, they will simply tag it. This way they will not release the home address, as a way of protecting you.
THE POINT IS TO MAKE SURE WHAT YOUR CITY DEMANDS OF YOU!
B. ZONING BOARD
It is your responsibility to find out if you are properly zoned. If not, you may have to apply for a variance or change of zone.
The City of Los Angeles says: “Persons conducting business must abide by all city zoning laws.”
You should contact the Zoning Board in your city and find out what the zone you are in and what the regulations are for that zone.
It has been my experience that the Zoning Board will only come knocking on your door if there is a complaint against you. I would then strongly recommend that you "low-profile" your businesses
BE A GOOD NEIGHBOR. DON'T CHANGE THE CHARACTER OF YOUR NEIGHBORHOOD:
· no signs hanging out in front
· no store front windows
· no delivery trucks coming and going
· no people traffic in and out
C. STATE BOARD OF EQUALIZATION WWW.BOE.CA.GOV
The SBE is the government arm that authorizes you to sell tangible personal merchandise, RETAIL OR WHOLESALE, to an end user in the state of California.
For the privilege of selling your merchandise to an end user you are required to pay a SALES TAX on each item sold. You are allowed to reimburse yourself by collecting this sales tax from your customers. In order to do this, you must have a SELLER'S PERMIT.
It's free; get in person or by mail - call ahead
They will send you a TAX RETURN FORM every three months (or otherwise). Fill out and send back with your check for the sales tax you collected for the previous quarter. You need to keep very accurate records of the revenue that you generated and sales tax that you collected.
Special Mention:
It's a good idea that, as you sell your merchandise, you "BANK" the money in a separate account, perhaps a small savings account with the credit union. Don't put it in your business checking account; when it comes time to pay the taxes, it may not be there!
If you sell this bag for $10.00 and you sell 10 a day, you then should have collected approximately $8.00 in sales tax for the day.
$ 8.00 x 5 days = $ 40.00 a week
$ 40.00 x 4 weeks = $160.00 a month
$160.00 x 3 months = $480.00 a quarter
1. SBE offers a FREE, 4-hour class on The Seller's Permit that covers the gray
areas such as painters, TV repairman and plumbers, etc.
2. SBE sends updates to you regarding changes in the laws.
3. If you abandon business, you must notify them in writing and they will confirm in writing also.
D. RESALE CERTIFICATE
When the SBE issues you a Seller's Permit, you are eligible to purchase items that you need TO MAKE YOUR PRODUCT and not pay sales tax.
You do this by getting a RESALE CERTIFICATE.
IV. BUSINESS PLAN
A Business Plan is a ROAD MAP of your business. It shows where you are, where you are going and how you are going to get there.
Why do you need a business plan?
Identifies goals and objectives: A Business Plan should be written and reviewed periodically. By doing this, it forces you to stay focused, stay on target and work towards meeting your goals. This is a "How To" manual on how to operate your business.
Identifies problems: While writing your business plan, you will come up against issues that will require more work, more money, more whatever than you originally thought. This is where you begin to see your weaknesses and strengths. As you are confronted with these issues you will be forced to rethink, replan, refinance the solutions to your problems...this is how your business grows and you grow as an entrepreneur...by facing challenges and winning.
Funding your business aka "BORROWING MONEY": Whether you borrow money from your Uncle Joe in Kansas City or the guy at the bank, they want to see your plans. They want to know how their money will be spent, when the profit will be made, how much interest to they get when do they get it.
There are various ways to write a business plan:
...library has many books on writing a business plan
...professional associations offer business plan guides (sample)
...computer software (sample)
...take a class
OUTLINE of Business Plan should include the following sections:
General Summary:
- What is the EXACT NATURE of your business?
Management Team:
- Who are you? What qualifies you to run this business?
…include resume, bio, all other experience
Marketing Strategy:
- Write a separate Marketing Plan and include in this section.
Finances:
- How much MONEY do you need to start this business?
...What is your budget? Include: office supplies, equipment, inventory, permits & licenses, advertising, stationary, utilities, etc.
V. SALES
IF YOU DON"T HAVE A CUSTOMER, YOU ARE NOT IN BUSINESS!
NEGOTIATING TOWARDS A SALE
· Preparation: Know your objectives = what is the ideal sale vs. the minimum sale? Determine what your opening offer will be. Outline the steps you will take.
Identify what concessions you are prepared to make.
Fine-tune the approach you use to convince the customer to buy
· Opening:
Have a positive attitude. Ask for what you want, directly and confidently,
but in a non-threatening way.
Be realistic in your opening price; don’t be ridiculously too high so that nobody takes you seriously and don’t be foolishly too low so that you are giving away all your hard work.
Be non-committal and at the same time be approachable.
Explore the position of the buyer by asking questions.
· Bargaining
The art of bargaining is to get the customer to move closer to the price
you could live with – the minimum sale.
Never be embarrassed to ask.
When you must give something up, give up something that gives nothing substantial away. i.e. “Well I could give it to you for only $ 27.50, but it would have to be the yellow one” (You’ve been trying to sell that since the day you made it!)Do something physical, such as taking the product off the shelf and putting it in the customer’s hands.
Sometimes it is not what is said that counts, but how it is said…a customer could be persuaded to buy simply by being firm with your price and delivering that message with charm!
Don’t try to “win” the battle; a customer is someone you want to develop over time; don’t back them into a corner...if they feel like they “lost”, they won’t come back and they will tell all their friends about how terrible they were made to feel.
Remember that the savvy customer will be applying these same strategies as you!
Remember that everything is negotiable!
VI. MARKETING
Sales is an action item. It’s an activity. I sell a bar of soap for 50 cents.
Marketing is the mental thought; it is what I do to convince you to buy this bar of soap.
Marketing Plan:
1. Who needs your product or service?
...individuals or company;
2. What competing products/services are out there?
...know your competition
...competition is good - it forces you to be better
3. How is your product unique?
...Study the competition
...what weaknesses and strengths does your competition have? ...how are you better or worse; same or different?
4. How will you tell people about it? aka SALES STRATEGY
...mail order, direct mail; telemarketing; home parties; referrals; door to door; advertising
5. What will the pay for it?
...research competition's price
…take a survey
6. How much will it cost to produce and deliver it?
...LEO: - what is your LABOR, EXPENSES, OVERHEAD
...retail price should be 2 1/2 times what your LEO is; higher in a better economy.
PUBLIC RELATIONS and ADVERTISING
- aka: “How to get your name in the public's eye.”
A. PUBLIC RELATIONS - IT’S FREE!
Take advantage of public relations by writing your own NEWS RELEASE. You can learn how through books, classes or just by keeping at it and perfecting your skill.
Local newspapers are always interesting in what is happening in the community...but you still have to make your news release newsworthy…i.e.
“You are helping the elderly by doing their taxes in January for 1/2 the price “
NEWS RELEASE COVERS: WHO, WHAT, WHERE, WHEN and HOW
B. ADVERTISING:
Research newspapers and magazine to determine where you should advertise. Send away for their MEDIA KIT to find out who reads them, how often, what is the shelf life (daily, weekly, monthly), what is the circulation, how much does it cost to advertise, etc?
If you will be advertising, remember that the key to successful advertising is REPETITION. People need to see your ad many times over and over again before it sinks in for them to call you. Mcdonald’s become MCDONALD’S by being in your face 1 million times a day!.
The best place to advertise is the upper right hand corner...because people tend to "skim" through like this - SHOW SAMPLE. This is how repetitive ads really become effective. It's a lot better to get a smaller ad in this area for several times than to get a full page ad for one time.
C. NETWORKING:
Networking is UTILIZING RESOURCES. Resources can be found anywhere and everywhere - through your family and friends, neighbors, church, your children's schools, local or national organizations, trade associations, etc.
"Never leave home without it" – means keeping your business cards on you at all times…you never know where or when you'll meet your next customer!
.
Library Chamber of Commerce:
Trade Associations California Women Business Owners National Association of the Self-Employed
Small Business Administration
SCORE - Service Corps of Retired Executives
RULES OF NETWORKING
1. Identify Yourself: Wear a nametag with your name and profession written clearly.
2. Set Goals: What kinds of people do you need to meet?
How many contacts do you need to make?
3. Start Talking: Socialize - move towards people - pick out an individual or a group of people and introduce yourself - initiate the conversation - be outgoing!
4. Make Friends: Try to meet 5 to 10 new people - learn what you have in common - be attentive to each person - tune into them - make eye contact!
5. Trade Information: Exchange ideas, experiences, leads and contacts; tell them who you are, and listen to who they are!
6. Don't Hustle: Discuss topics of mutual interest...arrange to meet at another time (breakfast, lunch, coffee) and do business then.
7. Be A Resource: "I know where you can get that information..." etc. Offer referrals, share opportunities, introduce them to your contacts.
8. Give and Get: Give as much as you can - be supportive! Your own rewards come from helping others!
9. Ask for what you want: Find the person who can provide it - then ASK FOR IT! Remember, if you don't ask, you don't get!
10. Keep At It: Broaden your base - make as many contacts as you can - you can never know too many people - you never know where your next opportunity will come from!
VII. ACCOUNTING
A. BANKING
Some people do not think they need a BUSINESS CHECKING ACCOUNT, but the IRS says you do. When you operate a business, home based or otherwise, you must keep a separate accounting for it. According to their rules, you CANNOT CO-MINGLE funds between personal and business.
You need the pink copy of your DBA form to open a business checking account. Before you start running around looking for bank, sit down by the telephone with the yellow pages and call around; ask them these questions:
FOR A BUSINESS CHECKING ACCOUNT:
1. What is the minimum deposit? $50.00 or $1000.00?
2. What is their service charge and what is it based on?
...average daily balance, flat rate or monthly activity
3. What business services do they offer?
...free cashier's checks, safety deposit box, merchant line, etc.
4. What are their extra charges?
...too many deposits, ATM activity, over draft fees, etc.
5. Automated Telephone Services with real, live person to assist you 24 hours a day, 7 days a week.
Special Note:
When you start making money from your business DEPOSIT IT IN YOUR BUSINESS CHECKING ACCOUNT. Determine how much money you need to live on and PAY YOURSELF a monthly salary or draw from this account. If you can link your personal account to the business account, then all you have to do is a transfer of monies.
In this way, you will not be co-mingling funds and you will have an accurate record of how much money your business is making and how much you need each month to live on.
Poor money management is one of the top reasons why most businesses fail, so keep tabs on how much money you are making, where it all goes and, most importantly, how much you get to keep!
B. RECORD KEEPING
…Keep track of your expenses and your income
…Know and understand CASH FLOW
…Use Computer Accounting Program, such as Quickbooks
…Keep expense receipts in an organized file
…Use Customer Datebase Program for clients
…Keep paper copy of all invoices when paid
…Hire a bookkeeper when you are in over your head!
C. TAXES
When you operate a Homebased Business there are business deductions you can take…the key is to know what they are and to document everything.
.
1. Keep business expense separate from home expense:
...Multiple shopping at Target
2. Home business "office" must be in one (1) place; don't keep your computer in your kid's room, the filing cabinet in the den and your
supplies & inventory in the garage.
3. All items used for business must be for business; you must identify what percentage you use your computer for businesses vs home/personal use.
2. Automobile repair and maintenance - %
Utilities - %
Uniforms, tools, equipment, etc.
Office supplies
Computers, software, upgrades, repair, etc.
Printing of letterhead, brochures, flyers
Advertising
Customer Development
A good accountant will be able to advise you as to what deductions apply to your business.
Go to: WWW.IRS.GOV to get more information.
ESTIMATED QUARTERLY TAXES:
Annual Calendar of Quarterly Estimated Taxes:
April 15th - 1st quarterly estimated payment is due June 15th - 2nd quarterly estimated payment is due
September 15th - 3rd quarterly estimated payment is due
January 15th - 4th quarterly estimated payment is due
VIII. BUSINESS OFFICE BASICS:
A. Select your WORK AREA:
...clearly defined work space, with a door that could be closed when you're working AND when you're not; ok to use "Do Not Disturb" sign.
...away from central portion of the house where others do not have to run past you to get to the phone, refrigerator, bathroom, etc.
...brightly lit and cheery environment
...large enough to fit all items that you need to operate your business.
B. A DESK large enough to work comfortably. Not too high, not too low and with drawers for storage of essentials.
C. A comfortable CHAIR that stays at the desk at all times; not one you drag in from the kitchen or dining room on your way to work!
D. VISITOR SPACE: based on whether or not you need to meet with clients;
is your office large enough or do you need to use other room? If so, then determine what room is the best for this purpose.
E. TELEPHONE: DESIGNATED BUSINESS TELEPHONE LINE
1. Operator/Information will not give out your company name
2. Your business will not get a free listing in the telephone directory
3. You cannot deduct monthly service unit charges on your home phone
4. If you share home phone, what will you use if they are already talking.
5. If you share home phone, who will answer phone?
6. Answering machine message should be professional
7. Don’t publish your home phone for privacy sake.
F. MAILING ADDRESS
1. Don't use a Post Office Box
2. Use mail service address as your own, use box # only
3. Mail service location accepts packages from Fedex & UPS
4. You can call to see what mail has come in
5. Make copies, send/receive faxes, buy stamps, notary, etc.
6. Do not publish your home address
F. Business Stationary, Invoices, etc. These announce to the world that you are serious about your business…never leave home without them!
G. Office Supplies: Buy supplies as you need them. Spend money on the things that will bring in the customers, not to decorate your office.
H. Ego Wall: this can include any college degree, certificate of completion, accreditation certificate, pictures with noted celebrity, pictures of your kids, your dog, your garden or anything else that makes you feel successful and businesslike!
I. Insurance: …medical, dental, life, disability, liability --- as needed
...homeowners “business” insurance for your computer and other equipment
...business insurance that covers theft, loss, damage of client files, etc.
J. Retirement Plan:
It's important to save for the future. 10% off the top is the minimum you should start with but you will need to see a financial planner for better information on how to plan for the future.
XI. IMAGE
THE IMAGE OU PROJECT CAN MAKE OR BREAK YOUR BUSINESS!
The home-based businesses that succeed and flourish are the ones that project a positive and confident attitude. We say to the world that we are just as professional, capable, reliable, efficient and successful as the guys who have an office on Ventura Boulevard.
What is the image of your business? Decide what you want the public to think about your business and make sure your image projects it.
It's not where you do the work, its the quality and service level of what you have to offer.
This means the way you dress, the way you talk, your message on the answering machine, your business card and stationary.
The paperwork you hand a potential client or leave behind on a desk of networking table is WHAT PEOPLE WILL REMEMBER YOU BY. It should remind them of you and your business with a clearly defined image.
Some key things to remember:
...minimum info: Business Name, Your Name, Address & Telephone Number
...use SHORT, EASY TO REMEMBER PHRASES & CLEAN LINES.
...pick colors, logo, typeset that is easy on the eye and easy to read.
…use a “hook”: I.E. "specializing in overnight transcription"
. REMEMBER:
It takes 2 seconds to recognize a business card
It takes 5 seconds to recognize a business flyer
Be consistent in your image….repetition, repetition, repetition!
X. BALANCE
Most people leave our 9 to 5 jobs in search of a better way, an alternate lifestyle. We want to spend more time with our family, we want to be our own boss, we want to make more money - so what happens is that we end up working 9 to 9...but that's okay since we operate our own business.
What you need to look out for is turning into an workaholic...it is important to lead a balanced life.
And most of all DON'T NEGLECT YOUR PERSONAL LIFE...maintain close relationships, get physical exercise, pursue outside interests.
If you have loved ones at home, incorporate them in your business: ask their advice, invite them into your office and show them what you do; kids can sharpen pencils and stuff envelopes. No one, on their death bed said, "Gee I should have spent more time in the office!"
Relationships should never be sacrificed. Family and friends can never be replaced. Time can never be replaced. Make the time to spend with them and make the time to be by yourself.
Reward yourself; give yourself an incentive such as ice cream or an afternoon in the park, award yourself with flowers, a new outfit, go to the movie all by yourself at 1:00pm.
This is not brain surgery - it's only a business! It's not the facts that we learn from, its the EXPERIENCE that we remember and grow from. No one can be motivated working sixteen hours a day! Take your business seriously, but have fun with it!!!
* * * * * * * * * * * * * * * * * * * *
What my personal goal is, for each of you to carry out of this class, is the motivation, the deep desire to take control of your life and start your own home based business!
Good Luck!
Thursday, May 07, 2009
Now is good time to start a home-based business!
The most popular question I get these days is: is now a good time to start a home-based business? The question is certainly valid with the current economic situation...but the answer is YES! There is never a recession of ideas, creativity and initiative! In fact, the time is ripe for taking stock of where you are and where you need to go. The first question to ask yourself is: What do I have to change in order to grow? Lots of people don't like change, but the truth is that you must embrace change if you want something different. Sometimes change is thrust upon us and we are helpless as to what to do next...so I say: If you make the change yourself, then you are in control.
When you are working and the paycheck is coming in, you don't really think about making changes. Yes, you dream about it as you are stuck in traffic or on the days that nothing seems to be going right and you are rushing from one thing to another...but you don't really have a plan, because you know you will never do it. Risk taking is an act of courage. Risk taking is only for the bold. Risk taking is worth it when you see yourself living in a lifestyle you created for yourself that truly makes you happy.
I don't mean to imply that working at home for yourself will make you happy, in and of itself. There are certainly challenges and obstacles to overcome with any business. But if you do your homework -lots of research and planning ahead of time - you can create a business that is right for you. So, take advantage of this time when things are slow and things are changing...be good to yourself - invest the time and energy to really think about your next move. Read books, take classes, speak with trusted friend or mentor. Every now and then, it is good to shake things up!
Helene
www.thehome-office.com
When you are working and the paycheck is coming in, you don't really think about making changes. Yes, you dream about it as you are stuck in traffic or on the days that nothing seems to be going right and you are rushing from one thing to another...but you don't really have a plan, because you know you will never do it. Risk taking is an act of courage. Risk taking is only for the bold. Risk taking is worth it when you see yourself living in a lifestyle you created for yourself that truly makes you happy.
I don't mean to imply that working at home for yourself will make you happy, in and of itself. There are certainly challenges and obstacles to overcome with any business. But if you do your homework -lots of research and planning ahead of time - you can create a business that is right for you. So, take advantage of this time when things are slow and things are changing...be good to yourself - invest the time and energy to really think about your next move. Read books, take classes, speak with trusted friend or mentor. Every now and then, it is good to shake things up!
Helene
www.thehome-office.com
Monday, April 20, 2009
Modern Day Pioneers
Each year millions of Americans are converting their living rooms, dining rooms, bedrooms,, guest bedrooms, etc. into areas that can function as workspace as well. Latest statistics show us that about 45 million people operate a home based business, full-time, part-time and through telecommuting. This is roughly 33% of the work force; by the year 2010, it is estimated that number will jump to 60%.
This is not just a group of people with elaborate hobbies or fleeting avocations. These are bona fide businesses producing billions of dollars in goods and services annually. They represent not only a very large range of established businesses, but new ones that have been developed with their creativity, their energy and their interminable desire to control their own lives.
A woman in New York just had a baby. She didn't want to quit her job because she loved what she did and the people she worked for; they in return, didn't want to lose her either; so they built her a studio in her home and she now broadcasts her daily program from her spare bedroom. Merrill Lynch created a Work-At-Home program for several of their agents. A major advertising agency has "Virtual Offices" for their work at home employees. Outside of Toronto, Canada, a small town has been zone, developed, built and marketed for people with homebased businesses. The list goes on and on.
Another list is multiplying even faster. Now that the homebased business professional has emerged and developed into a major player, companies and corporations are falling over each other as they rush to market their products to them. Homebased business owners have become target markets. Telephone companies have created equipment and services promising high-level technology in the middle of suburbia; some are even publishing homebased business telephone directories. Real estate developers are building homes with an extra room - or suite of rooms in a basement or attic - specifically for homebased offices. Homebased Business Associations and Networking groups have mushroomed in every community, as well as regionally and nationally. Lobbying groups in Washington and in state capitals monitor the laws that affect us and make sure that our voice is heard. The local Chamber of Commerce and other civic organizations are courting businesses operated from home. Consultants, seminar leaders, interior decorators, etc. now specialize in home offices and how to best make them work. Books and software programs abound. All of the above, and more, are our allies.
There is no doubt that this is the fastest growing industry business has seen in a very long time; there is also no doubt that it is not for everybody. The idea of a 3-minute commute from bedroom to office, or no office politics is very seductive. So is being your own boss, waiting for your kids to come home from school, or as in my case, sleeping in on Monday mornings while everyone else is sitting in traffic. The reality is that working from your home takes discipline, perseverance, flexibility and the ability to manage your time. Not everybody has those skills. Some people know that and they stay within the comforts of their talents by working for some one else. Others take the plunge only to discover that it is not what they expected. And then, there are those who can feel the thrill of running the show in their veins and take off without ever looking back. Whatever category you find yourself in, do your home work before you work at home.
Start with "what am I really good at doing and can I make a living at it?" Research the market and find out who the competition is. Don't lull yourself by thinking there is none - there is always competition! Survey the marketplace and see if people are actually buying, on an ongoing basis and not just once in a blue moon.
At the same time, you will need to organize your information on the legal aspects of running a business in your home. First, check with the zoning department. Some areas are more lenient that others; some allow certain types of businesses, but not all. Make sure you know the zoning rules before you get started and it's always a good idea to have them in writing.
Next stop is at the City Clerk's office to obtain a Business License (or Permit). You pay a onetime fee when you apply; then an annual business fee at the end of each calendar year. At the County Clerk's office you file your Fictitious Name Statement (DBA - Doing Business As) followed by the publication of it in a recognized periodical. These are the basics.
Marketing a home-based business starts with the incentive to get out of the home. If it's raining or if you're having a bad hair day, or if you just don't feel like it, the rationalization is made that there is too much paperwork on your desk and simply can't get away! We are our own worst enemy. The answer to the growth potential of your home-based business lies in the ability to network. It has been proven to be the single best vehicle to increasing your client base. Join the Chamber of Commerce, Trade Associations, Leads clubs, the Rotary and become active on a committee or two. Bowl with your church group and play bingo at the community center. Get to know people on a personal, one-to-one basis. People usually buy from people they know and trust. Wouldn't you rather visit a doctor, a florist, a locksmith that came recommended than one you pointed at in the phone book? Once you get their card, call them and set up a lunch date - or a simple coffee break would do if that’s all you have time for that week.
On a final note, pay attention to your image. Don't be apologetic about running your business out of your home. Maintain a professional attitude at all time by the way you dress, the way you speak, the way you carry yourself. Your stationary, flyers, brochures sell your business long after you have left the building. Shouldn't they carry a positive message about you?
Keep in mind that you are part of a group that is the backbone of America today - an entrepreneur. America was built by people who took risks and envisioned a better way to live life. The American people have come full circle and we - the home-based business owner - are now the new, modern pioneers.
Helene K. Liatsos
President
Home Office Management Experts
www.thehome-office.com
Get your DVD on "How to Start and Operate Your Own Home-Based Business" now!
This is not just a group of people with elaborate hobbies or fleeting avocations. These are bona fide businesses producing billions of dollars in goods and services annually. They represent not only a very large range of established businesses, but new ones that have been developed with their creativity, their energy and their interminable desire to control their own lives.
A woman in New York just had a baby. She didn't want to quit her job because she loved what she did and the people she worked for; they in return, didn't want to lose her either; so they built her a studio in her home and she now broadcasts her daily program from her spare bedroom. Merrill Lynch created a Work-At-Home program for several of their agents. A major advertising agency has "Virtual Offices" for their work at home employees. Outside of Toronto, Canada, a small town has been zone, developed, built and marketed for people with homebased businesses. The list goes on and on.
Another list is multiplying even faster. Now that the homebased business professional has emerged and developed into a major player, companies and corporations are falling over each other as they rush to market their products to them. Homebased business owners have become target markets. Telephone companies have created equipment and services promising high-level technology in the middle of suburbia; some are even publishing homebased business telephone directories. Real estate developers are building homes with an extra room - or suite of rooms in a basement or attic - specifically for homebased offices. Homebased Business Associations and Networking groups have mushroomed in every community, as well as regionally and nationally. Lobbying groups in Washington and in state capitals monitor the laws that affect us and make sure that our voice is heard. The local Chamber of Commerce and other civic organizations are courting businesses operated from home. Consultants, seminar leaders, interior decorators, etc. now specialize in home offices and how to best make them work. Books and software programs abound. All of the above, and more, are our allies.
There is no doubt that this is the fastest growing industry business has seen in a very long time; there is also no doubt that it is not for everybody. The idea of a 3-minute commute from bedroom to office, or no office politics is very seductive. So is being your own boss, waiting for your kids to come home from school, or as in my case, sleeping in on Monday mornings while everyone else is sitting in traffic. The reality is that working from your home takes discipline, perseverance, flexibility and the ability to manage your time. Not everybody has those skills. Some people know that and they stay within the comforts of their talents by working for some one else. Others take the plunge only to discover that it is not what they expected. And then, there are those who can feel the thrill of running the show in their veins and take off without ever looking back. Whatever category you find yourself in, do your home work before you work at home.
Start with "what am I really good at doing and can I make a living at it?" Research the market and find out who the competition is. Don't lull yourself by thinking there is none - there is always competition! Survey the marketplace and see if people are actually buying, on an ongoing basis and not just once in a blue moon.
At the same time, you will need to organize your information on the legal aspects of running a business in your home. First, check with the zoning department. Some areas are more lenient that others; some allow certain types of businesses, but not all. Make sure you know the zoning rules before you get started and it's always a good idea to have them in writing.
Next stop is at the City Clerk's office to obtain a Business License (or Permit). You pay a onetime fee when you apply; then an annual business fee at the end of each calendar year. At the County Clerk's office you file your Fictitious Name Statement (DBA - Doing Business As) followed by the publication of it in a recognized periodical. These are the basics.
Marketing a home-based business starts with the incentive to get out of the home. If it's raining or if you're having a bad hair day, or if you just don't feel like it, the rationalization is made that there is too much paperwork on your desk and simply can't get away! We are our own worst enemy. The answer to the growth potential of your home-based business lies in the ability to network. It has been proven to be the single best vehicle to increasing your client base. Join the Chamber of Commerce, Trade Associations, Leads clubs, the Rotary and become active on a committee or two. Bowl with your church group and play bingo at the community center. Get to know people on a personal, one-to-one basis. People usually buy from people they know and trust. Wouldn't you rather visit a doctor, a florist, a locksmith that came recommended than one you pointed at in the phone book? Once you get their card, call them and set up a lunch date - or a simple coffee break would do if that’s all you have time for that week.
On a final note, pay attention to your image. Don't be apologetic about running your business out of your home. Maintain a professional attitude at all time by the way you dress, the way you speak, the way you carry yourself. Your stationary, flyers, brochures sell your business long after you have left the building. Shouldn't they carry a positive message about you?
Keep in mind that you are part of a group that is the backbone of America today - an entrepreneur. America was built by people who took risks and envisioned a better way to live life. The American people have come full circle and we - the home-based business owner - are now the new, modern pioneers.
Helene K. Liatsos
President
Home Office Management Experts
www.thehome-office.com
Get your DVD on "How to Start and Operate Your Own Home-Based Business" now!
Tuesday, April 07, 2009
DVD - How to Start and Operate Your Own Home-Based Business
DVD Release - "How To Start and Operate Your Own Home-Based Business"
Home-Based Business Proponent, Helene K. Liatsos announces the release of the DVD “How to Start and Operate Your Own Home-Based Business” based on her twenty years of experience as a Consultant, Trainer and Instructor helping others to realize their dream of working from home.
“There are many reasons why people want to work at home, especially now with the issues facing us regarding employment and economics”, says Liatsos. “Controlling your finances, avoiding traffic and office politics, being your own boss and creating better time management for you and your family are typically the basis for taking the risk of self-employment.”
For more information and to order your own copy: www.thehome-office.com
Home-Based Business Proponent, Helene K. Liatsos announces the release of the DVD “How to Start and Operate Your Own Home-Based Business” based on her twenty years of experience as a Consultant, Trainer and Instructor helping others to realize their dream of working from home.
“There are many reasons why people want to work at home, especially now with the issues facing us regarding employment and economics”, says Liatsos. “Controlling your finances, avoiding traffic and office politics, being your own boss and creating better time management for you and your family are typically the basis for taking the risk of self-employment.”
For more information and to order your own copy: www.thehome-office.com
Monday, April 06, 2009
Why I Started My Own Home-Based Business
Every now and then I take a look at my life and am amazed that I could be living it. Each day is different from the day before; I do what I like to do and I do as much as I like to do, when I like to do it!
Has it always been that way? NO. I'm a product of a generation that believed that working for a large and solid company would be the ideal way to have a secure future. But along with all the corporate climbing that I did, I kept asking “what is wrong with this picture?” I was in an environment that controlled my creativity, my initiative and my finances. Finally, after three successive corporate career reversals through take-overs and downsizing, I started to look at other options. I began the history of my own family.
My parents were immigrants to America. They and many, many others just like them, came to this country without skills, without money, without knowing the language. What they had, though, was the wisdom to see the abundance of opportunities in this newly chosen home land. They were the real risk-takers who believed in hard work, self-reliance and being their own boss. They had the motivation, the discipline and the perseverance to pursue their dream. They believed in themselves. I spent much time in talking with them and through those discussions, I confirmed what I had been feeling all along - I have those entrepreneurial qualities as well! Holding on to this revelation, I looked at the business world from an entrepreneur’s point of view…starting with how business has evolved since the first settlers. I found some interesting history.
When this country first began most, if not all, businesses were home-based - the seamstress, the shoemaker, the butcher and baker, the candlestick maker, the stable owner, the tavern keeper, etc. all worked at home. Their private quarters were attached to the storefront, either above or in the back. Then the Industrial Revolution came along and this modern technology moved services and production out of the home and into factories and office buildings. It became an important goal to get a job in one of those places because having a job there was a matter of pride and self-respect. Businesses were moving out of the home and moving into the future.
Sadly, over the many decades of enormous corporate and technological advancement, the secure future, that was promised to me and countless of others turned out to be an illusion. Yes, many people made lots of money, but it extracted a heavy toll in our personal lives. Heart attacks, stress, divorce, etc. were the by-products of the fast track we are led to believe is the only way to achieve success. The world was changing so quickly and we suffered the negative effects of an economy that has gone wrong.
And so, I gathered up my courage and said goodbye to office politics, to a long, daily commute to un-satisfying jobs and to a financial ceiling imposed on me by someone else. I was now in charge of my life and I loved it. I wanted to grow and explore not only what else was out there for me to do, but to see what I was made of. Back then, I didn’t know much about taxes and deductions; had no idea about how to write business plans or marketing plans; couldn’t tell you the difference between a permit and a license…but I learned. I taught myself how to market my business; I discovered the best sales techniques that work for me; I studied accounting and understood how banks work…it was endless, it was exciting! It was scary! There were times where I asked my mother to call me to make sure that the phone was working – I didn’t have one client calling me! There were also times that I looked through the paper to see what jobs were available! But I persevered – primarily because the thought of failure was non-acceptable; and secondly, the thought of going back to an office, with all its restrictions and limitations depressed me.
Once I was armed with how to start my business and was operating fairly successfully, I decided that I wanted to help others to do the same. This idea has served me well. It is enormously gratifying to see others take their idea and make it an actuality. It is rewarding to help people make better decisions on how to earn a living and enjoy their family life as well. And finally, it makes me truly happy to know that I have found what I was truly meant to do with my life.
Helene K. Liatsos
Home Office Management Experts
Visit me at: www.thehome-office.com
Has it always been that way? NO. I'm a product of a generation that believed that working for a large and solid company would be the ideal way to have a secure future. But along with all the corporate climbing that I did, I kept asking “what is wrong with this picture?” I was in an environment that controlled my creativity, my initiative and my finances. Finally, after three successive corporate career reversals through take-overs and downsizing, I started to look at other options. I began the history of my own family.
My parents were immigrants to America. They and many, many others just like them, came to this country without skills, without money, without knowing the language. What they had, though, was the wisdom to see the abundance of opportunities in this newly chosen home land. They were the real risk-takers who believed in hard work, self-reliance and being their own boss. They had the motivation, the discipline and the perseverance to pursue their dream. They believed in themselves. I spent much time in talking with them and through those discussions, I confirmed what I had been feeling all along - I have those entrepreneurial qualities as well! Holding on to this revelation, I looked at the business world from an entrepreneur’s point of view…starting with how business has evolved since the first settlers. I found some interesting history.
When this country first began most, if not all, businesses were home-based - the seamstress, the shoemaker, the butcher and baker, the candlestick maker, the stable owner, the tavern keeper, etc. all worked at home. Their private quarters were attached to the storefront, either above or in the back. Then the Industrial Revolution came along and this modern technology moved services and production out of the home and into factories and office buildings. It became an important goal to get a job in one of those places because having a job there was a matter of pride and self-respect. Businesses were moving out of the home and moving into the future.
Sadly, over the many decades of enormous corporate and technological advancement, the secure future, that was promised to me and countless of others turned out to be an illusion. Yes, many people made lots of money, but it extracted a heavy toll in our personal lives. Heart attacks, stress, divorce, etc. were the by-products of the fast track we are led to believe is the only way to achieve success. The world was changing so quickly and we suffered the negative effects of an economy that has gone wrong.
And so, I gathered up my courage and said goodbye to office politics, to a long, daily commute to un-satisfying jobs and to a financial ceiling imposed on me by someone else. I was now in charge of my life and I loved it. I wanted to grow and explore not only what else was out there for me to do, but to see what I was made of. Back then, I didn’t know much about taxes and deductions; had no idea about how to write business plans or marketing plans; couldn’t tell you the difference between a permit and a license…but I learned. I taught myself how to market my business; I discovered the best sales techniques that work for me; I studied accounting and understood how banks work…it was endless, it was exciting! It was scary! There were times where I asked my mother to call me to make sure that the phone was working – I didn’t have one client calling me! There were also times that I looked through the paper to see what jobs were available! But I persevered – primarily because the thought of failure was non-acceptable; and secondly, the thought of going back to an office, with all its restrictions and limitations depressed me.
Once I was armed with how to start my business and was operating fairly successfully, I decided that I wanted to help others to do the same. This idea has served me well. It is enormously gratifying to see others take their idea and make it an actuality. It is rewarding to help people make better decisions on how to earn a living and enjoy their family life as well. And finally, it makes me truly happy to know that I have found what I was truly meant to do with my life.
Helene K. Liatsos
Home Office Management Experts
Visit me at: www.thehome-office.com
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