9 Reasons Why Home Based Business Is Popular Now

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The following are the 9 reasons why home based business is popular now:

  • Personal freedom
  • Freedom from controls
  • No transport fair
  • Multitask
  • Have more time for your family
  • Low startup costs
  • Early break-even
  • Opportunities to make money
  • Financial security

Starting a home based business is now fast becoming popular due to the many obvious challenges business people face doing business in city centers.

Home based business is worth considering because of several reasons, including the following:

  • job losses
  • massive unemployment
  • economic recession
  • COVID-19
  • reduction of scale of operations

The disadvantages of running a home based business will be dealt with in a subsequent post.

Therefore, this article is looking at some of the advantages of  running a home based business.

Home based business: Personal freedom

One of the clear advantages of starting your business from home is that you will have the advantage of managing your business from the comfort of your home.

This means that you will have an added advantage of equipping your office or store the way it pleases you.

Moreover, you can plan and do your business in a relaxed environment that will allow you to be the best you can be, working at optimal levels.

Besides, you can plan and do what you have to do at your own pace. This is not to suggest that you should be lazy because you have to meet the needs of  your customers.

Furthermore, starting your own home based business will give you the opportunity to try your entrepreneurial skills.

Beyond that, you can use your time, talent and skills to work on  your own business.

Therefore, these and many more reasons are some of the reasons home based business is becoming more popular nowadays.

Buy your needs online from Jumia.

Freedom from controls

Other advantages of a home based business is that you will be able to:

  • avoid the rules, regulations and other controls associated with paid jobs
  • make private or business journeys
  • avoid threats of sack, suspension or demotion by employers
  • have job insecurity
  • job satisfaction

Therefore, freedom is one of the major advantages of starting your business from home.

No transport fair

Yet another another advantage of home based business is that you do not need to commute to your office or shop in the city centers.

Similarly, there will be no need for you to eat in restaurants in the city centers. You can cook what you want to eat or get your wards to do that for you.

Multitask

A home based business demands that you must be able to multitask. That is to say you should be ready to do most of the business tasks all alone, especially at the startup stage.

In other words, you will be the managing director, accountant, messengers, marketer, customer service and carry out all other necessary activities of your business.

Home Based business: Time for your family

A home based will provide you with a great opportunity to have more time for your family.

For example, you will have time to:

  • monitor the progress of your children’s academic activities
  • track the behavior of your children
  • ensuring that your children do the right things at the right time
  • assist your wife in doing some domestic chores as the need arises

Furthermore, you will have the opportunity to imbibe in your wards the basic cultural and ethical values of your society.

However, you should be able to balance the time needs of your family and that of your business.

Low startup costs

Another important advantage of a home based business is that you do not need a ton of money to start one.

However, how much money you will need to start your business will depend on the nature and size of your business.

Other advantages include, among others:

  • You will not need to pay rent for office or shop space
  • Utility bills will be taken care of by you, along with your regular expenses
  • You can create an office or shop from one side of your apartment

However, if the business becomes successful you can apportion some of your expenses to the home business.

Examples of the expenses you can allocate to the business can include, among others:

  • electricity
  • security
  • salaries
  • Telephone

By apportioning some of your expenses to the business, you will be to know the actual cost of running your business from home.

Most importantly, this knowledge will enable you to monitor and control your operating expenses.

Home based business: Early break even point

Yet another important advantage of a home based business is that your business can break even early.

For the benefit of those who are not familiar with the term break even, it is the point where your revenue is equal to your business expenses.

In other words, it is the point where you are neither making profit or loss.

Going further, you can only talk of profits when your revenue is more than your operating expenses.

Most importantly, a home based business is able to break even because of low fixed and variable expenses.

Opportunity to make money

A home based business will test your ability to make money, using your intellect, talents, abilities, skills and other resources.

Consequently, a home based business will impose on you the responsibility to ensure that your business succeeds.

Most importantly, it will make you to know the difference between working for someone and running your own business.

Financial security

Financial security is one of the advantages you can enjoy if your business is successful.

First and foremost, in order to enjoy financial security, you must be ready and willing to:

  • work very hard to make your business succeed.
  • show passionate commitment to the success of the business
  • manage men, materials and money
  • be creative and innovative
  • avoid the tendency to relax because you are your own boss.
  • overcome the temptation to be complacent because you your business has achieved a certain level of success.

Most importantly,  do not forget that it is good to be successful but it is better to remain successful.

Remember that you can only enjoy financial security if your business is successful. If it fails, you are on your own!

Related:13 Most Important Entrepreneurial Skills You Need To Succeed In Business

 

Buy your needs online from Jumia.

 

 

 

 

By Samuel Ijenhi, B. Sc. Accounting [University of Benin]
Benin City, Nigeria
Founder: Ijenhi Business Solutions
info@samuelijenhi.com.ng

About Samuel Ijenhi

A graduate in Accounting, University of Benin, Benin City, Edo State, Nigeria.
View all posts by Samuel Ijenhi →