Top 10 Tips on Starting a Successful Home Business
Home based businesses are rapidly gaining in popularity. Not
only do they offer you the opportunity for freedom and the
flexibility to set your own work terms, but you also have
control over your financial independence. What do successful
home businesses have in common? Here are a few tips...
=== 1. Research Your Market.
Don't try to force a new product or service on an unwilling
market. Research your intended market first, then create a
product or service to fit that market.
Put another way, you can't force people to want what you have to
offer... but you can offer them what they want.
Your research should also include an in-depth look at your
competition. Is there too much competition for the area that you
plan to service? Can you offer something that your competition
cannot, while still making a profit? By analyzing your
competitors, you'll be able to learn from both their successes
and failures.
=== 2. Don't Try to Be Everything to Everyone.
You will never make everyone happy, no matter how hard you try.
So don't; instead, focus your efforts on one particular segment
of the population.
For example... let's say you run some sort of business related
to gardening. Gardeners range in skill from the rank amateur,
who can barely manage to keep even the most robust houseplant
alive; to the serious professional who is able to nurture and
coax exotic and fragile flowers to bloom.
Instead of attempting to offer every type of plant or
information to all types of gardeners, you could instead narrow
your focus to one specific group: for example, amateurs who are
interested in colorful, low-maintenance and easy-to-grow plants.
Focusing on a niche market allows you to more easily build a
unique and solid reputation for your business.
=== 3. Keep Your Spending Under Control.
Keep overhead costs low, and don't spend frivolously. There will
always be necessary expenses - for example, if you're running a
business online, you'll need a good computer and a reliable
Internet connection. But would you also need new,
top-of-the-line home office furniture?
On the other hand, don't balk at spending money when you need
to. Figure out which expenses are true necessities, and which
are luxuries. As cash flow improves you can look into purchasing
other items you may need.
=== 4. Keep Growing.
A business can't be successful unless people know about it.
That's where marketing comes in. All businesses require hard
work - and even after you've established your business, you will
need to continue to work hard in order to make it grow. At
times, the hard work may be necessary just to sustain your
current level of profitability.
=== 5. Have a Contingency Plan.
Businesses go through rough times. Sometimes it will appear to
happen "all of a sudden", but there are always warning signs.
Learn to recognize the signs of trouble. By pinpointing
potential problems before they occur, you can try to prevent
them from occuring at all.
Develop a well-thought-out contingency plan to keep your
business running with a minimum of lost time, effort, or
profits.
=== 6. Learn From Your Mistakes, and Build On Your Successes.
Just as you will experience success in some of the things you
do, you will also make some mistakes. In both cases you'll have
an opportunity to improve your business. Ask yourself what you
did right (or wrong), why it worked (or didn't work), and what
you could do differently.
Ask yourself questions. What kind of startup capital do you
need? What are your estimated monthly expenses? Is your business
making the profits you expected? If so, what are you doing right
and how can you improve upon it? If not, what can you do
differently? What are your competitors doing and how can you
convince customers to switch (or stay) with you?
These types of questions will help you to make smart, educated
business decisions -- decisions that will help your business to
grow and flourish.
=== 7. Be Customer-Focused.
It's much easier to sell to a happy customer, than to try
convince a new prospect to buy from you. Be professional,
courteous, and always deliver a quality product or service. Your
customers will be thrilled and much more inclined to come back.
=== 8. Target Your Marketing.
This goes back to the research you did before you started your
business. Know who to target in your marketing efforts. You want
to attract people who are interested in what you have to offer
-- not just curious 'passers-by'.
You can see great examples of targeted marketing by looking in
your mailbox. If you've ever ordered from a mail-order gardening
club, you've probably received additional catalogs from them
*and* from other gardening clubs who purchase the customer
lists. They know that you have an interest in their products, so
the chances of you ordering something are much higher than if
they were to send a mailing out to a random bunch of addresses.
=== 9. Take Your Business Seriously.
There are lots of images floating around that show relaxed 'home
business owners' reading a book, playing with their kids,
lounging in a comfortable chair, etc. There's a tendency to
think of a 'home business' as 'not real work', or not as serious
as a 'real' (corporate) job.
To start and build a successful business, it needs to be treated
like a business - not a hobby. Take it seriously and work hard
to achieve your goals.
=== 10. Do Something You Love!
This is what it all boils down to. Find something that you're
passionate about, and will enjoy doing. Business doesn't have to
a daily grind; it can be a true pleasure!