With the economy going downhill, many soon-to-be entrepreneurs are considering starting a home based business. Taking responsibility for their financial situations, home entrepreneurs can start their operations with a small financial investment, but is money all it takes to succeed?
Allocating a decent capital for your home business is highly recommended, and many times overlooked.
Your business will have a period where you’ll be working to cover your investment, and the time it takes for you to break even can vary. Any regular brick and mortar business owner understands this “recovering” period, but several home entrepreneurs fail to notice this simple concept.
Establishing your brand – online or offline – is an ongoing strategy, and accepting this will release home business owners of becoming frustrated for not achieving millionaire status within 3 months. The root of this frustation, of course, comes from the hype that so-called “gurus” utilize to get prospects hypnotized: “in 3 months, I made $99,999.97, and you can too!”
Statements such as the one above may very well be true, but how long did it for that “guru” to learn exactly what he/she needed to do in order to make that much money in 3 months? Their learning curve may have been even longer than a newcomer’s starting today.
Advising extreme caution when researching for a home business is a wise move, however, there’s another aspect of your business adventure that needs to be taken care of as soon as possible: how long are you willing to go without a profit in order to get you business going?
The average recovery time for a Burger King franchise is 2.5 years; for a H&R block franchise, 1.3 years. In a home based business, depending on your initial investment, 2 sales can actually place you in the profit zone, but how long will it take you to get there?
Consider your familiarity with e-commerce – are you comfortable generating traffic to your website?
Do you know where to post ads, how to create websites, and most importantly – do you know how to create customers?
Educating yourself is part of your personal development, and only a serious evaluation of how much of your time will you be able to dedicate can determine what your recovery time will be.
Patience is essential. Confidence, and determination, fundamental.
Prepare your family, your friends, to this new enterprise; let them know this might take much of your free time, initially, and how wonderful the long-term benefits of a profitable home business will be.