Become a Home-Based Entrepreneur in 5 Steps

There's no better time than right now to fulfill your dream of becoming an entrepreneur as we emerge from a pandemic. Statistics show that the lockdown catalyzed a small business boom of over 400,000 new businesses from 2020 to 2021. If you have recently found the motivation or inspiration to start your own small business from home, this could be your time to shine as well. Here, MasterPay USA breaks down the process of establishing your own successful startup into four simple steps.

Laying the groundwork for a new business entails coming up with a solid idea and acquiring the necessary funding. Your venture could be as simple as providing an in-demand service for your local area, or you could start an e-commerce business from home based on your unique passions.

Once you know what you want to do, draft an actionable business plan that outlines your goals and budget. If you don't have the necessary capital to start or maintain your business, you can seek out loans or government funding options.

Before proceeding much further with your business proceedings, it's important to settle on a business structure. Your small business might be a sole proprietorship or a partnership, depending on whether you are going it alone or not. Another option is to establish a limited liability company. Operating under an LLC has several benefits, including tax advantages, less paperwork, and more legal flexibility overall. Each state has different rules around the formation of an LLC, but you can use a formation service to ensure compliance while also avoiding expensive lawyer fees.

Effective networking is the key to escalating your startup beyond the minimum requirements of running a business. Reach out to acquaintances, potential suppliers, and other businesses in your area. You can learn from other professionals in your field to get a sense of how to appeal to your target audience. If you aren't sure how to start building your network, there are online tools that can help you find contact information for old school friends and other people you may have fallen out of touch with.

Your business will likely struggle to succeed without an effective marketing strategy behind it. Reaching out to freelancers and other specialists is essential for getting access to the skillsets necessary for powerful marketing. Social media experts can expand your online reach, web developers can optimize your digital storefront, and graphic designers can create attractive imagery that will make sure clients never forget you.

When you first start running a business from home, it’s easy to use the kitchen table or couch as your workspace. However, a dedicated office space will be crucial to help you stay focused and productive. Ideally, you can repurpose an unused room in your home. If that’s not an option, you can always convert part of your basement or garage into office space. This can be much less expensive than a remodel, and it could even contribute to a bump in your home’s value. Work with a reputable contractor who understands your vision to create an optimal space, and then outfit it with items like ergonomic furniture, storage solutions, any necessary office equipment and a chair if you plan to invite guests to your office.

Starting your own home-based business is a bold endeavor that requires serious commitment. After a wearisome pandemic, you may find that you are ready and willing to make such a dramatic change. Your business goals will be more attainable if you approach them with optimism and an easy-to-follow plan.