The face of entrepreneurship is shifting a bit. We are seeing more female entrepreneurship than …
A lot of people want to make the leap into running their own business. For many people, this means a remote business. However, plenty of people who operate a remote business don’t entirely know what goes into that before they want to start.
Here are five things to know before you start a remote business.
The Time Investment
A lot of people come into running their own small business not realizing just how much work goes into it. This might seem naive, but if you look at a business that is already flourishing, it may seem like a well-oiled machine. However, getting the business to that point is a ton of work, and even once it’s at that point, it isn’t easy to manage. After all, 99% of small businesses have fewer than 50 employees. A lot of daily tasks normally distributed among them will fall on your shoulders. So, know the time commitment before you begin.
Understanding Costs and How to Achieve Funding
There are a lot of benefits to a remote business, including reduced costs in operating it. However, there is still extensive start-up costs and numerous things to pay for. Figuring out the budget that you will need to work on and how you will pay for everything is vital. What savings do you have, or are investors putting money into your business? Is there a bank willing to offer you a loan? This will require an extensive business plan, but it’s one of the first things to do.
Figure Out If You Will Need Employees
Most start-up companies aren’t going to have employees until they’re off the ground, so don’t expect to be able to afford one right away. However, down the road, it might be a good idea to invest in one to reduce your own workload. This does come with its own costs, though, including overtime. In California, you need to pay overtime to any employee working more than 40 hours a week or eight hours a day. So, ask yourself, do you really need an employee right now?
Understand What It Means to Be a Remote Business
A lot of people look at the benefits of a remote business, including two-thirds of managers finding their employees are more productive in a remote environment and the better quality of life that it offers, and jump out saying that they want to own their own remote business. However, they don’t know what that really means. That’s why it’s important to do your research into what type of companies you can realistically start remotely, understanding your skills and strengths, and whether that business model is actually right for you.
You’ll Need a Business Address
Even though you have a remote business, you still need to establish a business address for your company. That means setting up a place to receive mail and have your company registered. For many people, this can be their house that they’re working out of. In other cases, you may find it easier to get a P.O. Box at your local post office to receive mail, including business bank account statements. This also means that you still need to register your business, so don’t forget all of those details just because you work from home.
Running a company of any kind, but especially a remote company, comes with its own unique challenges. So, make sure that you’re prepared for anything that can come up, and embrace all those unique steps you’ll need to take to get it off the ground.