How to run business out of my home...

[Jillbeans]

Old topic but I can still add to it.

Plusses:
Raising my three kids without them ever once needing day care
Not needing a storefront
Lower overhead
Internet business via my website
Being able to work in my jammies if I want
Putting up my "CLOSED" sign if I need a mental health day

Minusses would be:
Customers at all hours of the day and night
Customers who walk in to my kitchen
Customers who creep me out, as mentioned above
Customers having a "sixth sense" about stopping in right at dinner time or when I am in my jammies
Not enough room in my own garage for my stuff because of my son's stuff
Painting signs on the dining room table in winter
Not seeming like a "real" business to potential customers

 

[bayshorecreations]

I currently work from home, I have a large 2 car garage that I converted to a workspace.
I have 2 kids (2 1/2 year old twins) who are home 2 days a week.
I absolutely HATE working from home!
I can agree with all of Jill's minuses list on this! I have had customers show up unexpected at all hours, creepy customers who have shown up here that I would prefer not know where I live, not enough room at all is the biggest problem. For example, I have a 4x8 table in my workshop, I just finished up a job that was for 20 banners. they were all either 10ft and 20ft long. Have you ever tried to hem and grommet a 20ft banner on an 8ft table? Not to mention I had banners on the dining room table, the kitchen counter, the floor, the couch, etc. which is very difficult when you have 2 year olds running around the house not to mention 2 dogs and a cat.
I'm not trying to discourage you at all here. It has worked well for me up until now and was nice for a while being able to walk across the yard to get to work but that got old after a while and I feel like I never leave the house anymore. I personally prefer having a place of business to go for work but that's just me.
That being said we are currently searching for a nice 1500sf warehouse space to lease so we can get out of the house and grow the business to the next level and so I can make the garage a garage again to use for my kids stuff and my toys.
Good luck with your new venture, I hope it works out well for you!

 

[ChiknNutz]

Due to the change in the FL Constitution a while back I moved my corporate office (not the shop) to my garage.

Being where I am sited, there are no requirements for a business lic. from the the local political subdivision as they did away with those about 8-10 years ago. But most cities and towns will want you to get one.

Having a business in your home is perfectly legal in every state. What can be restricted is generally 2 things. Your sign. Most places limit a sign on a home to 2 sq. ft.
Customer traffic. That also includes delivery vans (or so they say). If you have lots of coming and going you will be visited by code enforcement when a neighbor complains.
Despite what the CE agents tell you, a UPS or FedEx truck coming by daily isn't something they
can legally restrict.

Everything, as far as restrictions go, depends on the precise zoning you have. Look at your
zoning map or call your property appraiser's office and ask. Then check you political subdivision
codes for what is and isn't allowed. Most of that stuff you can get on-line nowadays.

What most places look at is noise, noxious fumes, the number and frequency of non-family members
coming and going. Having one, two or three customers a week stop by isn't usually a problem.
If you have a solvent printer exhausting fumes where your neighbors can smell it would be problem. Ditto for spraying paint.

Running a circle saw / table saw or other loud machinery all day or many days a week where
the noise irritates neighbors can be a problem.

Get to know your neighbors and be a good neighbor. If you are helpful and informative and
always wave to folks and have a smile when you do so, they'll be reluctant to call the law
and more prone to talk to you directly if they perceive a problem with your home business.

Good luck with the business.

Also ensure that setback restrictions are met, building size is not too large and if it matters how many employees you can have...speaking from experience here. All three of these were against us so we had to move to a commercial location. Initially thought it would be good to be a "real" business, but it really was the beginning of the end for us.

 

[3dsignco]

Obviously you can see the Pros and Cons of Both. A few things I would like to Add as I have had both.. I started in 1000sqft shop at the house then Bought a 25,000 sqft shop with all the bells and whistles along with 8 employees (14 during the busy season)and had that for about 4 years until the Economy crashed. (That has always been my timing) and now I am back at my house in the same shop I started from. But like many people, Over time my Priorities changes. I only do profitable work.

Just a few things.
You are only as Professional as you look and act.
Just because your at home doesn't mean your not professional. Get up and get dressed.. Don't work in sweats. Try to have a professional looking office. You walk in my shop main door and all you see are samples and a clean work area.(Except my Desk). Now our work area is a different story as I Have a lot of tools and my CnC so dust is everywhere but everyone understands that as it is a wood/sign shop.

Keep some sort of standard hours.
My hours are 9-6 by appointment. All my clients know this and will always call before coming by. (You have to train them.. Yes they can be Trained) If you have a Yellow Page ad.. Put that in the ad.. I no longer advertise in the yellow pages so that's a mute point for me..

Just because you work at home your work is not worth any less then anyone else.
Don't become a bottom feeder. Price yourself at standard levels.. Don't fall into that BS of most people.. "Since I have low overhead I can do it cheaper" It's not a crime to be profitable and to make a good living for your family. If your using the Signcraft Pricing guide we keep it between the Green and Blue sections sometimes getting into the RED but you will need to adjust for your market area.

My list of Pros and CONs.
Pros.
Short Commute to work. (Sometimes I am late as I have to avoid a 3 cat pile-up in the Kitchen)
Low Overhead.
Spend a lot of time with my son.
By CO Law I am not allowed employees at a Home based business unless I put in bathrooms and all that fun stuff
I have to fill my truck with gas maybe once a Month
My neighbors a great and always seeing what I am doing
I do have separate Insurance for my shop and house to avoid and tax hassles and to avoid any cross over headaches but since it is at my house it is Cheap on both accounts. My shop with $5 million Liability and I am over insured on all my equipment (Insured for NEW Replacement not prorated) costs me $550 a year

Cons.
Can always use more room
My neighbors are always seeing what i am doing
Cant have employees


I can honestly say I will never go for a Big Shop again as I really love my work and where I work. People say that is great you can just work when ever you want but that's not true.. To keep your sanity and to avoid burn out you need to discipline yourself. Work Normal hours that work for you.. I open at 9 and close at 6.
I do stay out here later during my busy season but for the Most part I stick to my Hours.. I may be in the shop til midnight but I am working on stuff just for me. It just happens my Art/Hobby does cross over to sign related work.. (Gold on Glass work and Model Building)

 

[G-Artist]

Another good idea is to have a policy that customers must have an appointment to stop by.

You make one to stop by their place to do a survey/estimate and they should do likewise.

That will give you ample notice to push a broom (clean up a bit) and also avoid embarrassing
moments such as you running signs for their competitors / opponents (assuming something
like political campaign signage or whatever).

 

[Rooster]

Can't beat a two step commute. I owned my own commercial building for 15 years in B.C. and can't even fathom a commute again after setting the new shop up at home.

Maybe a I'll move to a bigger house someday, or some property with a shop built on it. Or perhaps a commercial location with an attached residence. I can't ever see being a slave to morning drive again.

Downsizing with the new location has been very beneficial. Keeps you lean and mean and able to weather the downturns better than having a big monthly nut to pay. Having customers come by the house hasn't impacted my ability to close a deal. Meeting them at their office is easy, but don't be afraid to have them come by your home if they want to check it out. Most of my customers are jealous of the set-up I have and wish they could do the same (work from home).

Paypal works pretty good for processing credit card payments. If somebody complains that it's a tad unusual, I just explain that sending them a money request and having them process it themselves through a web browser means nobody but paypal ever sees their credit card info. It's more secure than giving out your card number to a stranger over the phone. Most seem fine with the explanation. Turn a negative into a positive with a little "spin".