There's nothing wrong with running a business from home. Many people do it, often as a way of reducing overheads as there is no need to spend money on rent or maintenance on a separate place of business if work can be carried out within one's own property.
However, running a business from home is not without its risks so it is wise to consider what these might be if you're setting up a business in your home environment.
By being aware of these risks and taking proactive measures, you can ensure a smooth operation of your home-based business and protect it from potential threats.
The risks include:
A home-based work environment comes with many distractions, from the lure of the television to the needs of our families. If you're not disciplined, you could get through the day without completing very much work at all, which will be detrimental to your business.
To overcome this problem, you should work in an area of your home where you are less likely to face distractions. You should let friends, family members, and neighbours know your work hours, and if need be, you should find a local childcare centre for your little ones so that you can concentrate throughout the day without distraction.
Setting up your home office for maximum productivity is another wise step, as this way, you will be able to focus on your work and not on things that could distract you in your office or elsewhere in your home.
If you're the sole owner of your business and you have no employees to delegate to, your business could grind to a halt if you suffer sickness or injury.
But in the context of this point, we are also talking about customers and clients who come to your home to do business with you. If they get injured on your premises, you could face a lawsuit.
Sickness and injury can also occur if you inadvertently sell physical products that have been manufactured incorrectly to your customers
You need to take steps to overcome these issues, such as outsourcing work to freelancers when you're unable to work and by taking steps to ensure home and product safety.
It's also wise to consider insurance, such as personal accident insurance to cover you if you need time off work because of an accident, and general liability insurance if people come to your home for meetings etc. Insurance agents can explain home-based business insurance to you so be sure to seek expert advice if you're not insured already.
When it comes to security, you need to consider both your property and your internet-enabled devices.
Should your home get burgled, you could lose vital documents and pieces of equipment that are needed for your business. And if your computer or phone gets hacked, your financial information and the information pertaining to your customers could be compromised.
As such, you should do what is necessary to protect your home and devices from harm. Make sure your home is alarmed and has security cameras as these will deter criminals as well as alert you to signs of trouble. And follow these small business cybersecurity tips to protect the online side of your business.
People often assume they are safe from harm, especially if they live in crime-free areas or are running a business from home, but the truth is, anybody can be burgled or hacked when they're least expecting it. Don't let this happen to you!
Running your business from home is a great idea but the risks we have presented here could cause you major problems if you don't take steps to alleviate them. Therefore, follow our suggestions and continue your research around our site and elsewhere online for other advice on protecting your business.
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