Loath the Rat Race? Ditch your job - 7 Benefits of Being a Home-Based Entrepreneur

Home-based businesses are the trend of the future.and what cannot be deducted from using your home
Government and industry reports show thatoffice.
increasing numbers of men and women are now3. To be with the family. Many opt to start their
opting to work out of their homes. In fact, the latestbusiness from their homes to strengthen family
data from the U.S. Bureau of Labor Statistics showrelationships. A home business allows family members
that 4.12 million entrepreneurs are now working atto be involved in the business. Husbands or wives can
home, most of which are in services industry.help in various aspects of the business, while children
Entrepreneurs are rediscovering the benefits ofhave the opportunity to see what their parents do
working at home. The continuously goodfor a living. Parents, most especially, can both work
performance of the economy, followed by a changeand earn, while taking care of their children; although
in lifestyles buoys well for the home-baseddaycare arrangements or babysitter may be needed
entrepreneur. Many people now want to combineto help you concentrate on the work at hand.
their careers with families, opting out of the rat race4. To reduce stress. Working at home can reduce
to spend more time with their families and take athe stress of juggling the demands of your work life
more proactive part in raising their children. Thewith those of your private life. You can work while
technological innovations in the past decades havestaying at home to care for a sick child, or continue
also made working at home easier and more feasible.to work late at night after preparing and sharing
You need not look farther than your kitchen,dinner with the family. Since you work alone, there is
bedroom, den, living room, or garage to find theno office politics and deadlines imposed by your boss.
foundation on which to build your business enterprise.You only need to follow the deadlines and schedules
Here are seven reasons why it pays to work atyou have set for yourself.
home:5. For job enrichment. As a home-based
1. To gain personal freedom. The most enticingentrepreneur, you are not boxed into one job and
aspect of starting a home-based business is thegiven a label identifying you as a researcher,
opportunity it provides to gain control over your ownsecretary, banker, manager, or administrative
life. As a home business entrepreneur, you can shapeassistant. You are free to learn and perform a
your work life depending on your goals andvariety of work-related tasks. If you are a solo
environment. There are no bosses to follow, noentrepreneur, then you even have to be ready of
corporate culture to abide by, and no rigid workbeing all things for your business: the strategy setter,
schedules nor time clocks. Instead, you have themarketing and sales person, customer service
freedom to work and earn as you choose, in therepresentative, accountant and bookkeeper, and
comfort and convenience of your own homes. Ofother roles. You can vary your activities to keep you
course, having all the time and freedom to work asfrom getting bored. While it means greater workload,
you please also has its drawback. Thus, a homethe plus point is that you develop an understanding
business entrepreneur needs to have good timeof all aspects of your own business. More
management skills and discipline to push yourself toimportantly, personal growth is greatly enhanced as
work.you learn what you can (and cannot do) and your
2. To reap financial benefits. The financial benefits ofgoals become much more achievable.
working at home are equally attractive. The6. To increase productivity. Many home-based
convenience of having your office a few steps awayentrepreneurs find that working at home helps them
from your bed allows you to save on commute time,to be more productive. With lesser time dedicated to
gasoline and transportation expenses. There is alsocommuting, there is more time available to work.
little need to buy power suits and dress up everyMore importantly, working for your own business -
workday as you can work in your jogging outfit orwherein the amount of financial compensation
pajama. Since you work at home, you save on rentaldepends on your productivity and business
payments and overhead costs are cut significantly;management - increases the level of enthusiasm.
allowing you to plough all your capital and profits backMany get so caught up in what they're doing that it's
into the business. Your earning potential is directlyactually hard for them to stop.
proportional to your performance: no more waiting7. To harness competitive advantages. One of the
for your boss to give you your raise or promotionbiggest benefits of working out of your home is the
before you can increase your income. Morereduced overhead cost. Lower operating costs can
importantly, however, a home business allows peopleenable you to be more competitive, not just in the
who have been frequently shut out of the jobprices you charge but also in the quality of service
market--homemakers, students, retirees, and theyou offer. You can use the money you save on rent
disabled, to name a few-to to create new incometo increase your overall profitability, or you can pass
opportunities.it on to customers in the form of lower prices.
3. To exploit tax advantages. Using your home as aCompetitors restricted by higher overhead costs
place of business offers a number of tax advantages.have no such options. What they charge is
For starters, it allows you to deduct a part of thepredetermined by their rental agreements. The higher
operating and depreciation expenses on your home.the rent, the higher their prices. Moreover, a smaller
This means that a percentage of your rent orbusiness makes it easier to provide customers with
mortgage payment, depreciation, property taxes,personal service.
insurance, utilities, and expenses for householdGiven these benefits and more, the trend toward
maintenance, repairs, or improvements is deductible.home-based businesses is clearly just beginning. As
You can also be entitled to deduct expenses frommore people recognize the opportunities of working
using a vehicle for your business, including gas,from their homes, coupled by the need to be
insurance, depreciation, and others. Consult yourindependent and the drive to succeed, others will
accountant for a careful evaluation of what can besoon join this growing movement.