Zoning, Laws, and Taxes Affecting Your Home-Based Business

Zoning laws that relate to your home-based businessZoning laws may be determined by your city or your county, and you should familiarize yourself with these laws so you will be able deal with any issues that may arise. First, you need to determine if your home-based business will have employees or walk-up trade. If not, the zoning questions may never arise. Home-based businesses that deal with the public or have non-family-member employees that work out of their home are more likely to have issues with with zoning laws. Before you start your business, get a copy of your local ordinances from your city or county clerk’s office, the city attorney’s office, or your public library.Usually the problems arise when neighbors complain, and the zoning boards are required to deal with the complaints. If employees and customers are going in and out of your home, making noise, or parking by the neighbors’ homes, your neighbors will probably bring this to the attention of the zoning commission. Also, your hours of operation may also be an issue if you are open early in the morning or late at night and you disturb your neighbors. If your biggest problem is your neighbors, try talking to them about your business ahead of time to help allay their fears. If you meet with resistance from neighbors, you may be able to negotiate a resolution.The amount of space your business is uses in your home usually cannot be greater than the actual living area. This is called “space percentage,” and it can lead to a zoning issue. Also, the type of merchandise you are selling may also be restricted in a residential area if you are using chemicals or other items that have an unpleasant odor. Most zoning laws allow a nonpolluting home businesses, as long as any home containing a business is used primarily as a residence and the business activities don’t negatively affect neighbors.You may also be in breach of zoning laws if you post a sign for your business in your yard, and you should read up on signage laws in your area before you post a sign. You may be able to find other business owners in the area who have similar zoning issues, and you can organize a local business campaign to try to change your zoning laws to make them more favorable to home-based businesses.In many cities and counties, if a planning or zoning board rejects your business, you can appeal or request a variance from the city council or county board of supervisors. You are more likely to succeed if you have the support of all affected neighbors and other businesses in the area. Because of the prevalance of home-based businesses, some communities are working to amend ordinances that prohibit home-based businesses entirely to allow “traditional home-based businesses” that are unobtrusive.In an effort to protect residential property values, most subdivisions, condos and planned-unit developments create special rules called Covenants, Conditions and Restrictions (CC&Rs) that govern many aspects of property use. When you purchased your home, you received a copy of the CC&Rs, and you should read them carefully to be sure that you are allowed to operate a business in your home. Rules pertaining to home-based businesses are often significantly stricter than those found in city ordinances and they are more zealously enforced. If you violate these homeowner’s restrictions, the homeowner’s association or property management company could obtain an injunction to stop the business activities, and you could be facing stiff fines.Legal issues affecting home-based businessesThe first thing you must do is establish a business entity for your new venture. You need to take this vital step for your business to protect yourself from liability issues. You will also need to apply for a business license before you start selling anything if your state requires one. If your state does not require a license, you may be required to have a reseller’s certificate. Research your state’s business laws and get the proper license or certification.Many home-based business overlook their need for insurance. Unless you are covered already, you will need to provide your own health, dental, and life insurance. You will also need liability and business property insurance to protect your business and its assets if an accident or other unexpected event affects your business. If you have employees working in your home-based business, you must consider whether you will provide health insurance for them. Also, research the OSHA standards to determine if your home-based business is subject to them.Tax laws that govern your home-based businessYour tax situation will change when you start your home-based business. Because new tax laws are passed every year, you need to hire a good accountant to be sure you are compliant. Even if you have done your own taxes for years, owning a business means that you will need different tax forms and schedules. It is well worth the cost of a good accountant to be sure that your deductions are viable and that you are paying the correct amount of tax.State taxes regarding deductions, income tax, and sales tax vary from state to state. Contact your state’s tax office for specific information about how taxes are calculated and collected in your state. The Internal Revenue Service can be researched on-line at http://www.irs.gov to learn about the tax laws you will be facing. The IRS Web site provides comprehensive information for small businesses and also lists a toll-free number if you need more help. Spend some time at the IRS Web site until you feel comfortable with the new.You can also get good information from the Small Business Association site on tax laws and other business issues. Another good resource is Nolo Press that sells books, e-books, and guides specifically about small business tax issues. Their Web site also offers free information. If you plan to hire employees, you need to be aware of employment taxes and other issues that face business owners. You will need to set up a system for federal withholding tax, state tax, and other employment taxes, and you need to report and pay the taxes withheld to the appropriate government agency.Jo Ann Joy, Esq., MBA, CEOThe future of your business starts here!You may contact Jo Ann by phone at (602) 663-7007, by fax at (602) 324-7582, by email at joannjoy@Indigo Business Solutions.net, and by mail at 2313 East Ocotillo Rd., Phoenix, AZ 85016. I have many published articles, and I will send any article to you free of charge. Most consultations are free.For information about other important legal, tax, and business topics, free copies of articles, or EBooks, please visit our website at u>www.IndigoBusinessSolutions.net. Copyright 2006. All rights reserved. Indigo Business Solutions is a registered trade name.

The 10 Traits of a Successful Home Based Business Owner That You Don’t Have

Thousands of people start a new home based business every year. Some prosper into massive fortunes, while others just wither away. Some people always seem to have success with their home based business ventures, while others never seem to get their home based businesses off the ground.After some investigating, I found that the successful home based business owners all seem to have some of the same traits. I want to share that with you today. Hopefully, you will apply these practices to your home based business, and in turn achieve the success you desire.Here are the 10 things I have come up with during my investigation. Pay close attention here. You may even want to take notes or print this off for future reference.
Be A List Maker. I like to do this the night before so I am ready to go the next morning with everything I need to get done. This starts my day off organized and primed for results. As you finish each task, cross it off your list. It is amazing how much you will get done when you can focus on what you need to do, and not hem-hawing about what needs to be done. Having the items crossed off your list will also give you a sense of accomplishment, making you feel better about what you are accomplishing in your home based business.
Be Enthusiastic. Enthusiasm is the fuel you need to accomplish your tasks. Enthusiasm will keep your energy level high. People who are busy, happy, and enthusiastic are always achieving success with home based business. And if that wasn’t enough, enthusiasm is contagious. If your enthusiasm level is high, your prospects will see their enthusiasm increase as well.
Set Your Goals. What are you doing? What do you want to accomplish? Pay off your debt? Buy a house? Fire your boss? It doesn’t matter what your goals are, you just need to know what they are. Write them down, and be specific. Include exactly what your goals are and when you are going to achieve them. If the goal is large, break it down into smaller goals that combine into your bigger goal. This will keep you focused and keep you from getting discouraged. And make sure you have your goals where you can see them. You want to look at them several times a day. When you wake up in the morning. Before you go to bed at night. Another four to six times throughout the day. This will keep your goals fresh in your mind and keep you focused on achieving them.

Schedule Your Time Wisely. Your schedule is the roadmap by which your home based business travels. It ensures that you are doing your income producing activities first, and your less important items last. Plan your work, and then work your plan. Most people spend too much time in their email inboxes everyday. The most successful home based business owners spend less than one half hour with their emails a day. Also, I know you love your family, but work time is work time. Your family needs to respect your business and know that you need to have uninterrupted work time. You need to treat this time just as if you were in a place of employment.
The Magic Word Is “Ask” The most successful home based business owners don’t wait for business to come to them. They create their own sales by asking for it. They ask for appointments, and then they do business. They ask for business, and then they close sales. They ask for referrals, and then they have full list of potential prospects. You want to be polite, but firm, when you are asking.

Expect No’s. You are going to get no’s when running any home based business. Remember that these are not personal. In home based business sales, the law of averages is always at work. Every no you receive will get you closer to a yes. Be sure to keep track of your ratio. It will help you to improve your techniques. You can also use your ratio as a goal. Remember setting our goals? Are you getting eleven no’s for every yes? Is your ratio running six no’s to a yes? Always remember that your income is dependent on the yes. Also remember that a no is not always the end. Quite often a no is simply a way of saying “I need more time to think.” It may simply be a request for more information about your product or service. What your prospect is actually buying is assurance. You need to assure them here with your helpful attitude and complete honesty. They need to know that you want what is best for them. In most instances, they will respect you and do business with you.
Maintain A Positive Attitude. Success with your home based business is ninety percent attitude and ten percent aptitude. Every one of us must develop habits of constructive thinking. All of us. I am proud to be a home based business owner. I am proud to be in sales. Sales is what makes the wheels of our economy turn. Advisor to several presidents Bernard Baruch was once quoted as saying, “If every salesperson sat down and took no orders for twenty-four hours, it would bankrupt the country.” Every company that has any kind of product or service is dependent upon sales to move those products and services. Remember, if you become good at sales, you will enjoy and income far above the average.

Have An Office Area. For success with your home based business, it is essential that you have a place where you can work in an organized and efficient manner. An office plus a strict working schedule equals dignity. Both are absolutely essential for efficient operation and accurate record keeping, which are very important to the success of your business.
Be Involved. Most home based business opportunities offer contests to stimulate production. Include those contests and what your results will be as part of your home based business goals. Not only do contests add a considerate amount of income to your business, they are just plain fun to participate in.
Handle Money Intelligently. A regular nine-to-five job in Corporate America usually means a paycheck at the end of two weeks. As a home based business owner, you will be handling money constantly. Making sales with your business means instant income and constant income. It is absolutely mandatory that you become an efficient money manager. Have a separate checking account setup specifically for your business. You will want to deposit every penny from every customer into this account. Since bank statements show an exact record of every penny collected, and business expenses can be verified by your cancelled checks, your record keeping will become more simple and very accurate.So are you ready to be a home based business professional? Does financial security mean a lot to you? At this point, you need to ask yourself a few questions including:
Am I honest?
Am I willing to learn?
Am I willing to work?
Do I really like people?
Am I actually capable of being my own boss?If you answered yes to all of these questions, then it is time to find yourself a good home based business opportunity. You will need to find one that you like, one that fills a need or offers a solution to many people, and start working for yourself! If you can take your future into your own hands, then you can make your dreams a reality.