Selecting The Right Business
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No, single step is more important when starting a home business than selecting the "right" business. Equal in importance to the decision to start a business is selecting the "right business". You should make this decision only after carefully looking at many factors. Selecting a business to start will come easily to some. To others it will mean investigating many opportunities. Even after investigating the opportunities and reviewing your notes, you will ask yourself many times, "Did I select the right business?" "Can I make money with the business I selected?" "Am I doing the right thing?"You will ask yourself these and other questions many times before and after you start your business. Below are some guidelines to help you in this process. 
  • The first thing you should do is START A BUSINESS YOU LIKE. Never start a business solely because you think or have heard that it will make a lot of money. I always tell my clients that selecting a business they like will determine their success. If you start a business you like, the chances of your succeeding are much greater.
Next you should review your current job, hobbies and your likes and dislikes. By reviewing your current job, there is a possibility that you can develop a business from your on the job experiences. For instance, if you are an accountant for a large company, you could consider starting  an accounting bookkeeping services. Many people have started a business as a resultof their experiences from their current and past jobs. A hobby is also a good starting point when considering a business  to start. If you have a hobby, chances are you like it and could possibility develop it into a part-time or full-time business. If your hobby is photography you could possibility develop it into a business. Once again, the main thing to remember is to start something you like. 
  • Three, do some homework. Start by reading some books and magazines. There are many books and magazines in bookstores that list many businesses to start. From these you should make a list of the businesses you think you would like to start and review those businesses as you go through the process of selecting the right business. Also check the newspapers of major cities. If you live on the East coast read the newspapers from the West coast or the Mid West or South. Many times a business started in one location has not yet been started in the area you live. Reading the major newspapers, often can lead you to a successful business.
  • Four, consider any special skills that the business you select will require. The best thing to do is start a business that taps existing skills, but it is not unheard for an individual to start a business that requires going back to school. Keep in mind that any special training could delay starting a business.
Five, ask yourself, "What are your income needs and how much time are you going to spend on the business?" It is critical when selecting a business to know the potential income of that business. Due to their nature some businesses generate a limited income. Whether a business will be operated full-time or part-time could obviously determine income potential in some businesses. When selecting your business keep in mind your income needs. Also remember that few businesses will generate a profit the first few weeks or months and sometimes it can even be years. All of this information must be factored into your decision to start a business. 
  • Six, determine any capital investment requirements. All businesses, large or small, need money to start and grow. Use your business plan and determine your money requirements. If you are buying a business opportunity, remember to set aside money to market your business. Some people spend most of the investment dollars buying a business opportunity, obtaining necessary training courses to startup a business or purchasing required equipment, only to realize later that there is no money left to help promote that new business.
  • The equipment needs could also determine the type of business you select. If a sizable investment is needed for the purchase of special equipment and your funds are limited, this could possibly prevent you from starting that particular business or at the very least delay your business start-up. In addition, equipment space requirements could also prevent your business start-up.
Seven, assess the demand for your product or service. A guiding principal for everyone starting a  business is to start a business that taps an existing demand for your product or service. This is not say that a new unique item will not sell, but it is to say that the odds are against you trying to take a new product or service to market. Yes, we have all heard of a start-up company developing a new product and making millions, but this is the exception and not the rule. Your chances are better at winning the lottery than seeing your new product succeed and make millions. I think that you have  to be both an optimist but a realist. 

As you can see. selecting the right home business is not an easy decision. The above factors are only some of the things to consider in starting that business. There are many more. The main thing to remember is to do your homework and be realistic.  

Good luck! 

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