Have you heard?
I’m not sure if you’ve heard or not, but home based businesses are a thing right now, a really BIG thing right now. As in, there were over 38 million home based businesses registered in 2017 and that number keeps growing yearly by leaps and bounds. In fact, it is estimated that by the end of 2019, 1 in every 2 businesses will be home based! Talk about exciting! Never has the time been better to jump on the home based business bandwagon and help make that statistic a reality!
Somehow, even with statistics like these, some people still have a negative connotation when they hear you are going to start a home based business. Here are some myths that I hear going around about home based businesses and the reality to prove them wrong!
Myth #1: NO MONEY HERE-Home based businesses don’t really make money.
Oftentimes home based business are grouped into a great big lump of “hobby businesses” that are started as a way to sell a few goods and have a good time. While that may be the case for some home businesses, the vast majority of business owners I know are in business in order to make money and plenty of it!
According to a recent article home based business accrue an annual revenue of over $400 billion per year 20% of those businesses making $100,000-$500,000 per year! Now I don’t know about you, but that sure does sound like making “real money” to me!
Myth #2: NOT A “REAL” BUSINESS-Home based businesses aren’t as successful as “regular businesses”
While there are never any guaranties in the success of any business, home based businesses are often considered “pop-up” ventures with less staying power than a traditional brick and mortar storefront. While this may be a popular belief, it is not the truth. When you take into consideration the additional rent/mortgage payments, utility expenses, insurance, and inventory expenses that most brick and mortar businesses face, you are greatly increasing your monetary output per month, and therefore your risk for failure.
If you consider the possible tax breaks for home based small businesses, you may even be able to “save” on your mortgage, expenses, and utilities by running your business from your home! In fact, 70% of home based businesses are profitable within the first 3 years! Compare that to the 30%-50% of brick and mortar small businesses and you can see the benefits of keeping more cash in your pockets!
Myth #3: I’LL NEVER LEAVE MY HOUSE AGAIN-Home based businesses are lonely
As a introverted extrovert (I love interacting with people, but get fueled by alone time), I was worried that once I closed my retail store and started my home based business I would miss the daily human interaction. Little did I know that I was about to start a venture that would allow me to make new and deeper relationships than before!
We all have the picture somewhere in the back of our heads of the business owner who works from home in their pj’s and only leaves the house to purchase their daily cup of coffee for the mandatory selfie pic on Instagram. While that may an entertaining picture (or dream!) running through our heads, that is certainly not the case for most home based business owners!
Running my home based business has introduced me to so many new creative and inspired people through work partnerships, business intensives, local meet and greets, new clients, and online friendships. Not only have I met a lot of new people, but I’ve been genuinely surprised at the depth of these new relationships. Working from home has given me the time and focus to tend to my relationships on a deeper level.
If you are worried about becoming lonely in your home based business, fear not. Be intentional about joining local business groups, online niche groups, going deeper with the people you help you build your business, and your clients and you will soon realize you have more quality interaction than ever before!
Myth #4: TIME TO SELL A KIDNEY-It is crazy expensive to start your own business
Most businesses take money to start. That’s a fact. What is not true however, is that you have to start a business by taking out a business loan or clearing out your savings account in order to fund some expensive, risky venture. Working from home often allows you to save on a lot of upfront expenses such as additional rent, utilities, employees, and insurance. If you can scrape up a few hundred dollars (or even less if you’re really scrappy), you can start a very successful business.
I am a huge promoter of the “Build it as You Go” strategy which means you invest in your business as your business turns profit as opposed to building everything up front and hoping people buy into what you have created. This strategy not only saves you tons of money in the long run, but it also helps you craft your product or service based on client feedback which result in a better product/service everytime!
Myth #5: WOMEN DON’T HAVE GAME-Men are still the most successful business owners
As a female business owner for the past 15 years (traditional and home based) I have seen first hand the mindset that men are the more “successful” business owner. When introducing my design handiman to clients I would often get asked if I enjoyed working for him. Even though I was the designer and I was the one making introductions, it was still often assumed that he owned the business! While women are making amazing progress in the business world, there are still some people out there who look at males as the better “business-minded” of the sexes.
This is another reason that I love home based businesses and the opportunities that they open up! The ability to run a profitable business from home has opened the door for so many female entrepreneurs to own and operate profitable businesses while still taking care of their families and their homes. Over 70% of women who decide to start a business choose to operate a business out of their home and over 60% of those businesses are still going strong after 3 years! Compare that the the statistics for “traditional” business start-ups and you’ll be convinced us gals may know what we’re doing after all!
Now that we’ve laid to rest 5 of the most common myths associated with home based businesses, it’s time to decide if running a home based business could be a reality for you! Women (and men!) from all over the world and from all walks of life are embracing the freedom and the opportunities that home based businesses offer themselves and their families. It is estimated that a new home based business is started every 12 seconds and there is no reason one of those startups can’t be you!
If you are looking for ideas or inspiration for a home based business that you can operate, please accept me FREE gift of “101 Home Based Business Ideas” to get you started on your own path of success!