A staggering 70% of all Australian small businesses are home based! That’s a lot of profit making businesses choosing not to rent or buy premises. And gone are the days when people think of home based businesses as “cottage industry” or “hobby businesses.” From my experience, home based operators are mostly made up of 5 styles of businesses.Start-up businesses who don’t want the additional overhead costs in the early stages of their growth
People intentionally capping the size of their businesses so they can fit it around their personal needs or family commitments
Online businesses with online shopping carts where there is no need for a shopfront at all. Perhaps needing storage and distribution channels instead.
Consultants with established client bases who generally work with clients at their premises.
Service providers like lawn mowing contractors, window cleaners and mobile hairdressers who complete all their tasks at a client’s premises – only needing to keep their bookwork up to date from home.I’ve canvassed a lot of home based business operators over the years I have been a small business owner, and these I hear are the 6 most popular reasons that business owners choose a home office set up:1 FlexibilityThere is no-one dictating the time the doors will be unlocked at a commercial premise, and if you plan to play golf every Wednesday, then your diary is full on Wednesdays.2 Family friendlyMany home based business owners organise their working week around school and family activities, so it poses no child care logistics and explanations for getting in to work late on any given day.3 Controlling your own destinyThere is no boss to answer to, no routine in particular to escape and no hard and fast rules of corporate life to adhere to.4 AutonomyMany home based business owners have told me the flexibility to change their core business to suit their clients’ needs keeps them interested and engaged. Plus you can morph your capabilities into new markets quite quickly if the economic climate changes or you choose to branch out more.5 Choice of clientIt is very cathartic to sack a client you find difficult to work with, and it is often the client whose expectations are unreasonable. Instead of being locked into nurturing company accounts, you can “choose your own adventure”.6 The uniformHow do you want to present yourself to the business world? If it pleases you not to be suited up then that is your decision to make. On the flipside if you are not meeting clients, then you choose how casual you dress for the day – any day not just Fridays.Of course all of these choices can become your downfall if you don’t exercise discipline, plan your time, network to source clients, form alliances and joint ventures where appropriate and complete work to the satisfaction of your customers. So… what works perfectly for some can be the reason another goes out of business.If you are contemplating a home based business, think carefully if you will manage the isolation and the self-discipline that goes along with the lifestyle. Personally I love it!