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One of the Best Things About a Home Business: Low Overhead

Recently, my fellow home business blogger, Traci wrote a series about some of her favorite things about running a home-based business. I thought I make take the approach of looking at some of the things that might be a “plus” for many of us who run our own businesses from home—regardless of who we are and the type of business. One of my favorite “pros” to the home-based business is low overhead.

By running a business out of your home, you don’t have the extra expense of rent, a building or storage space, heat, utilities, and all the other details that can really add up when you’re supporting a separate office. I think this is one of the main reasons for the steady growth in home-based businesses in the past decade or so. While you may need to get a separate phone line and some separate equipment (computer, phone, etc.)—not having to pay for and supply an entirely separate office or business location can save a bunch of money.

Working from a home office can also cut down on the cost of commuting and transportation (as Traci suggested in her earlier blog) and this substantially cuts back on the overhead for business expenses. Walking from the kitchen to your office or desk in your socks is far cheaper than a drive into the city. Additionally, not having to dress professionally for the office each day can cut back on overall expense as well.

Depending on the type of business you operate, you may also save the cost of inventory, storage, and supplies by operating from home. Keeping things lean and flexible makes your business more likely to survive changes in the market and changes in your own life and/or lifestyle.

So, the next time you’re feeling a little out of the loop or getting grief from those who think your home-based business doesn’t constitute a “real” job—think about all the money you’re saving and how low your expenses and overhead are since you’re operating from home!