Can You Meet The Challenge?

A home-based business tends to be cheaper to run and greener than conventional ones. With the recession biting, they have become very popular with micro-entrepreneurs.

They are popular for three main reasons:
• costs are lower
• there's no commute
• you have the freedom and flexibility to work the hours you choose in an environment that you create

And now more than ever, established and developing economies all around the world are desperate for entrepreneurs to work their magic and build the new world from the remains of the old.

However, there are legal issues of which you need to be aware and the onus will be on you. Pleading ignorance will not be an excuse. Different countries have different criteria.

1. Becoming a home business owner is an option if you don't actually need rented or owned business premises. Working from home may not be an option if it significantly changes the use or affects your local area. For example if you have lots of visitors. If you rent your home, your licence or lease may include restrictions on using it for business purposes.

2. There are tax and legal issues you need to consider when starting a home-based business.

3. Depending on the nature of your business, it is a good idea to check with some of the following:

4. · A mortgage lender or landlord/freeholder. Your mortgage or tenancy agreement may prevent you from using your home to run a business.

5. · Your insurance provider, to see if you need to take out extra insurance.

6. · The Valuation Office Agency (VOA), to see if you will be charged business rates.

7. · HM Revenue & Customs and an accountant, to see what your income tax, VAT and Capital Gains Tax position is.

8. · The Health & Safety Executive or your local authority, to find out the health and safety aspects of running a work at home business and how to do a risk assessment.

9. · The planning department of your local authority, if you need to make structural changes to your home. Be aware that you may need planning permission.

10. There is loads of information on line both in the UK and USA in respect of your legal obligations. These are in PDF format which can be downloaded and printed off.

11. Allocating part of your house as a workplace can have tax and insurance implications.

12. The area of your home that you use for work should ideally be clearly marked as such. A spare room with a door that locks or an outbuilding such as a garage or shed are popular choices enabling home business owners to:
deal with clients in a professional mannerresist demands from other members of the household keep work equipment separate from home equipment and therefore protected

13. You may be eligible for grants and support. Check with your local Business Development Office or Chamber of Commerce. Support is not necessarily monetary but training and telephone assistance.

If you can meet the challenge very soon you could have an absolute fantastic foundation to build your own part time or full time business.