If you’re an aspiring entrepreneur who works from home, or if you store your business’ equipment or products in your home, then these tips are for you – courtesy of insurer, King Price.
“We’re not just giving you helpful hints so that your business will survive for your benefit… In South Africa, small and medium business owners boost our nation’s economy by contributing 52% to 61% of our GDP. So, it’s for the good of everyone that you become a major success,” it said.
Here are 4 strategic tips that will help your business survive, thrive, and perhaps even go on to become an empire:
Get dedicated to the details
If your home-based business is going to be successful, you need to focus on the details. There are three main details to get right.
The first, King Price said, is to plan a schedule for your workday so that you can achieve your short and long term goals. It helps you be productive, efficient, and goal-oriented.
“The second detail is to dedicate a specific area in your home to work from. If you’re lucky enough to have an extra bedroom, you should consider converting it into office space. If you don’t have this luxury, then invest in a partition so that you can create an office area in 1 of the larger rooms in your house.
“The third detail is to be professional. Remember that even though you have the luxury of working in your pyjamas, your suppliers and clients don’t need to know about it. This may sound silly, but don’t give out unprofessional details to customers if you’re making small talk, like discussing what time you got dressed or saying you’re working from your bed.”
The modern world is online, so your business should be, too
The Internet is your most influential business tool for reaching prospective customers, creating awareness, and selling your goods and services. This is true even if your business isn’t officially an e-commerce business.
At the very minimum, you should invest in a website to function as your online calling card. You may find that your website will grow to accommodate customers who prefer an online experience from start to finish, said King Price.
“And while you’re investing in an online presence, you can use the Internet to do some essential market research. While your home-based business is unique to you, it’s likely that you have competitors from whom you can learn and improve on in your own business, and you can find these companies online.”
Market research can help your home-based business:
- Discover the extent to which your market is saturated.
- Find a special angle for your specific service or product.
- Find inspiration for marketing ideas, your website look and feel, packaging designs, customer engagement ideas, and more.
Develop an achievable business plan
You won’t get anywhere if you don’t aim for something, the insurer said. “That’s why you need to plan where you want your business to be in 6 months, 2 years, and 5 years.”
“A business plan will help you narrow your focus, test your ideas, set your goals, grow your business, and possibly even secure funding and attract investors as you become more successful.”
Insurance and tax are non-negotiable for your business
As a home-based business, you’re eligible to pay taxes. Rather find a qualified professional to advise you about your tax situation upfront and avoid a panicky couple of days as you work out where your personal tax begins and your business tax responsibilities end, King Price advised.
“Business insurance is also an essential so that you can protect your business assets and finances. A lot of South African entrepreneurs who run their businesses out of their homes assume that home insurance will cover their business, too.
“But the truth is that you simply can’t rely on home insurance to cover your home-based business, because ‘home’ policies don’t cover any products and equipment that are used to generate an income.
“So, if a fire or flood in your home destroys stock or equipment that you use to make your money, your home contents policy won’t repair or replace any of these items. This could spell ‘the end’ for your business,” it said.