Running a home-based business is a luxury that allows the perfect work and life balance. If you are running a home based business, then you are not alone as there are 60% of traders across the Great Britain who are operating their businesses through their comfort zones. Besides, the small and medium enterprises across the UK are holding more than 99.9% shares in the private sector market. That means more than 3.3 million business owners are operating their businesses from their homes and they offering a great part of a contribution to the entire economy.
Operating a business from home indeed has its own advantages like flexibility, no dress code, no additional costs, and the best one, work-life balance. But still, every business has its own advantages and disadvantages as so do the home-based business. Here, we are considering the risks that can be avoided while running a home-based business. By avoiding the risks, you can not only maintain the profit but even stay ahead of the game.
Miscalculation of Cost:
There are so many business owners that are overestimating the profit and underestimating the cost of starting up. There are several charges that should be included in the costs while operating the business from home. Like the rent and the utility, a charge will be a well-known factor, but there are other factors that needed to be planned for like health insurance, self-employment taxes, taking business services like web development, digital marketing services, and many others. While calculating the cost, don’t forget that you need to cover more than your salary and you need to take into account the additional expenses that are faced by the conducting business operations like the travel expenses, insurance taxes, outsourcing costs are named to few.
Not considering rules:
There are some rules and regulations for residential properties that are under certain laws. How the property can be used and may ban certain operations in order to maintain peace and prohibit nuisance in the locality. Thus, you need to talk to your local authorities before planning to run your business from home. Make sure you have necessary permit to operate the business from your home. If you are living in a rented home, then talk to your landlord and check the tenancy agreement to make sure you are not breaching the contract.
Protection from Cybercrimes:
The popularity of internet increases, so do the cyber crimes. Cyber attacks are usually common these days and getting your website and business information secure needs a heavy price. There are around 62% of cyber attacks that are specially targeted to small and medium-sized businesses and they are less likely to have the necessary resources to ensure the security of data. This makes it more difficult for unscrupulous criminals to access and steal your data by using complex passwords and two factors on all business accounts. Thus, you just need to include the antivirus software on a regular basis and keep your operating systems and software up to date.
Proper consideration of home insurance:
If the business owners are thinking that their home owner’s insurance covers their business operations, then they are misunderstood. There are some policies which are offering limited coverage for business properties. So, this means that you could be a liable person if a business delivery slips in a way into the property. Thus, make sure that you have a business owner’s insurance policy which will combine general liability and business property protection.
Operating a business from home indeed has its own advantages like flexibility, no dress code, no additional costs, and the best one, work-life balance. But still, every business has its own advantages and disadvantages as so do the home-based business. Here, we are considering the risks that can be avoided while running a home-based business. By avoiding the risks, you can not only maintain the profit but even stay ahead of the game.
Miscalculation of Cost:
There are so many business owners that are overestimating the profit and underestimating the cost of starting up. There are several charges that should be included in the costs while operating the business from home. Like the rent and the utility, a charge will be a well-known factor, but there are other factors that needed to be planned for like health insurance, self-employment taxes, taking business services like web development, digital marketing services, and many others. While calculating the cost, don’t forget that you need to cover more than your salary and you need to take into account the additional expenses that are faced by the conducting business operations like the travel expenses, insurance taxes, outsourcing costs are named to few.
Not considering rules:
There are some rules and regulations for residential properties that are under certain laws. How the property can be used and may ban certain operations in order to maintain peace and prohibit nuisance in the locality. Thus, you need to talk to your local authorities before planning to run your business from home. Make sure you have necessary permit to operate the business from your home. If you are living in a rented home, then talk to your landlord and check the tenancy agreement to make sure you are not breaching the contract.
Protection from Cybercrimes:
The popularity of internet increases, so do the cyber crimes. Cyber attacks are usually common these days and getting your website and business information secure needs a heavy price. There are around 62% of cyber attacks that are specially targeted to small and medium-sized businesses and they are less likely to have the necessary resources to ensure the security of data. This makes it more difficult for unscrupulous criminals to access and steal your data by using complex passwords and two factors on all business accounts. Thus, you just need to include the antivirus software on a regular basis and keep your operating systems and software up to date.
Proper consideration of home insurance:
If the business owners are thinking that their home owner’s insurance covers their business operations, then they are misunderstood. There are some policies which are offering limited coverage for business properties. So, this means that you could be a liable person if a business delivery slips in a way into the property. Thus, make sure that you have a business owner’s insurance policy which will combine general liability and business property protection.
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