Many entrepreneurs start a home business on a part-time basis while raising children or working a full time job. Others may have so many responsibilities and obligations already that they can only give five hours a week to the business.
Others start full-time home based businesses when family and finances allow. Still others, driven by their goal to turn their home based business into a multi-million dollar corporation, spend every waking hour into making it grow.
Before starting a home business, figure out how many hours per week can be devoted to the business. Take a realistic look at current living conditions such as outside employment, family obligations and the amount of spare time that can be dedicated to the new enterprise. Make a weekly chart of activities, examine it, and determine where the business fits.
Part time involvement in an internet business venture is the less risky way to proceed, particularly for a first time entrepreneur. These are the advantages to starting an internet business from home:
• Provides supplementary income;
• Minimizes the risk involved in starting a business by decreasing the amount of time and money spent on the venture;
• Allows the business to grow gradually, in proportion to the demand for your product(s) or service(s);
• Offers an easier transition out of a current employment and into a full time home based business.
Starting a part time internet business allows complete control over the various aspects of the business, such as structure, personnel, advertising, production and regulating the amount of time spent operating the business. Do not attempt to run a full time business in addition to holding a full time job as it can leave little or no time for a personal life.
A part time home based internet business also allows the entrepreneur to get started with less money, therefore less pressure to immediately reach profitability. The income earned from a full time job provides a financial cushion to operate the household and support the business venture.
A common misconception is that entrepreneurs leverage their livelihood by starting their own businesses. Home based businesses are helping to change that. By working part time from home, the entrepreneur can create new opportunities without having to sacrifice anything in the process.
While running a home based business on a part time basis has its attractive features, it also has its disadvantages:
• Professionalism is sometimes compromised, as owners of part time businesses are not taken seriously by suppliers, potential investors, and prospective customers;
• Slower growth;
• Difficult to maintain part time status;
• Many home based part time business owners experience burnout and begin to neglect their businesses.
Even when they start part time, many home based entrepreneurs find it difficult to maintain that status. Most are goal driven individuals who expect results and are prodded by a belief that there is always more to be done. An important drawback is the perception of some people – potential customers, suppliers, among others – that home based operations (especially part time operations) are not as competent as their commercial counterparts.
Full Time Opportunities
It is difficult to say whether any business is ever really part time. Most part time entrepreneurs (especially those who are home based) spend a lot of time thinking about their businesses – planning marketing strategies, practicing sales pitches, coming up with ways to streamline operations – even when they’re not actually working in the home office. For obvious reasons, many owners of thriving part time businesses eventually shift to full time status.
Limiting the amount of time spent at a home based business gives the business owner the flexibility and freedom to work when they want and slowly grow accustomed to being a business owner. Ultimately, though, it also reduces opportunities for expansion. Some of America’s most well known companies started as an entrepreneur’s part time dream, but they didn’t stay that way for long.
Like part time operations, full time home based businesses have their share of benefits and drawbacks. Some entrepreneurs prefer starting home based businesses full time because:
• Greater time commitment allows more time to develop business ideas;
• Motivating factors include personal freedom, recognition, money;
• Opportunity exists for more rapid growth;
• A greater sense of professionalism develops;
• Fewer distractions, such as other jobs.
The more that is invested in a particular pursuit, the more important the outcome becomes. Entrepreneurs who operate their businesses full time, whether from start up or three years after starting part time, will invariably care more about their businesses well being because they have put more time, effort and money into it. If a full time schedule will help the business keep pace with an increase in demand for the product(s) or service(s), the result will be a jump in revenues (provided costs remain comparatively equal).
It is generally easier for businesses headquartered in commercial offices to convince potential customers and clients of their professionalism. Similarly, it is easier for a full time home based business owner to convey professionalism.
Starting a venture on a full time basis does have some disadvantages, including:
• Greater risk;
• Loss of second income;
• Higher start up costs.
Although the risks of a full time operation are greater compared to those of a part time operation, they are countered by the offer of unlimited growth opportunity and financial gain. The cost of starting up at full capacity, whether you are product or service based, is more substantial than if you start part time. Likewise, the potential rewards are more substantial.
View these press releases for additional information:
Start A Home Business
Home Based Part Time Internet business