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Rasheed Ali

Rasheed Ali is CEO and founder of the Internet Coaching Academy where he and his team of internet business experts are helping people from all over the world start, build and profit from their own internet business. He also offers a FREE newsletter and FREE video course on building a home based business on the internet.

Rasheed Ali has written 2 articles for SB Informer.

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Understanding the Truth about Starting a Home Business

Rasheed Ali

September 01, 2006


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With the development of new technology and communications equipment, home businesses are now a growing segment of the economy. Starting a home business can give you a sense of independence, allow you to make business decisions, eliminate long commutes, and allow you to spend more time with your family and friends.

With the increased popularity of home businesses, there is a wide variety of information available on the Internet and in books, newspapers, and magazines. Separating fact from fiction can help you to understand the truth about starting a home business and make a decision about how to proceed.

One of the biggest myths about starting a business from home is that it will be easier to work for yourself rather than someone else. While you may be able to make your own decisions and accept the type of work you enjoy, starting a home business will probably be more difficult than working at a job.

When you are employed by someone else, you have responsibilities, but the ultimate responsibility for the profits and running of the business belongs to the owners and executives of the company. When you start your own business, everything that needs to be done will be your responsibility, from complying with the law to providing service to clients. This is what makes starting a business more difficult than you might think.

Many information sources state that it is not necessary to form a business entity when you work from home. You can operate as a sole proprietor in some cases, but forming a legal business entity can be necessary in other circumstances. Forming an entity allows you to separate your personal assets from your business assets and can also help you limit personal liability. If you don’t form a business entity, what will happen if you make a mistake on a project and your client sues you? If you’re a sole proprietor, your personal assets will be at stake and, if the claim is large enough, you may be risking your home. If you form a business entity, only the assets of the business will be at stake.

Another myth about home businesses is that you don’t need well-developed human relations skills since you’ll be working alone. Not only is this not true, but you may need good communication and interpersonal relations skills more than ever as a home business owner. Your business success will depend on your ability to market your services and provide a high level of customer satisfaction.

These tasks require you to develop networking skills, have the ability to communicate effectively in writing and in person, and have the skills needed to resolve conflict and resolve problems. Having good interpersonal skills will help you to become recognized as a trustworthy and professional business owner.

Starting a home business is hard enough without having to sift through fact and fiction when you’re starting out. Keep these myths and mind as you do your research and get your business off the ground. Hard work and commitment can put you in a position to achieve success and run a profitable business enterprise. Don’t be fooled into complacency when you start your home business. You MUST put in the hard work and effort and your business will flourish!