| The Internet is full of home-based business offers and | | | | "one stop shop" for small businesses. I personally don't |
| packages and some of them may be good, but in | | | | think it's ideal. Your best bet would be to get really |
| many cases the earnings promised are inflated and | | | | good tax advice from someone who does only taxes |
| the cost of the all the materials, books, tapes, seminars, | | | | and then really good accounting advice from someone |
| etc on the high side as well. | | | | who specializes in small business accounting and |
| Home Based Business should be built on a genuine | | | | financial statements. This way you will know what is |
| interest, passion or skill | | | | deductible and what isn't, what the best legal structure |
| The best way to start your own business is out of | | | | for your business will be and you will end up with the |
| your own passion, something you are really good and | | | | best set up for your bookkeeping system from the get |
| know a lot about, something that perhaps has been in | | | | go. There is nothing more painful and costly than trying |
| your family for a while like a special skill or knowledge. | | | | to unravel an accounting mess made at the beginning. |
| Building a business is a long-term commitment and | | | | But if you do not unravel it, you will never really have a |
| staying in business an even longer one, so be sure you | | | | clean starting point for your business Balance Sheet. |
| have the staying power a true interest in what you do | | | | Set up a Deductible Home Office |
| gives. Enough said about that. Let's turn to the practical | | | | This part of your living space must be used exclusively |
| side of starting a home based business. There are | | | | and regularly for business. If it isn't, it won't qualify as a |
| tasks you need to accomplish and a checklist is | | | | tax deduction. Make sure it's not a den where your |
| always handy to have. | | | | child also plays video games. |
| Business Expenses | | | | Once you decide where that home office will be, |
| Keep meticulous records of everything you spend on | | | | measure its square footage and calculate it as a |
| your business, from the planning stages all the way | | | | percentage of your entire home or apartment. That will |
| through the actual start of business operations. And | | | | be the ratio you can use to calculate the business |
| even then don't quit, but then you will probably have | | | | portion of all your utility bills. |
| some of it automated by a bookkeeping/accounting | | | | Check Your Zoning |
| program. | | | | Look into what your neighborhood or apartment |
| A Good accountant is a Must | | | | complex requires for a home based business set up. |
| Find a good accountant as soon as you start thinking | | | | Some of them can be very strict. |
| about your business. And make sure you cover both | | | | More about starting your home based business in Part |
| the accounting and tax side. In many cases those two | | | | 2. |
| functions are combined by practitioners who offer a | | | | |