Operating the Home Enterprises

In most Enterprise ventures, much less home based Enterprises, it's important to have realistic expectations. Realistic expectations of long term profits not short term windfalls. So many home Enterprises are marketed with "make money fast" hoopla that it's no wonder people are disappointed when they join an Enterprise and can't 'fire their boss' right away.

Realistic expectations for a home based Enterprise means a long term commitment, not a short term fix. Therefore, you need to expect to operate your Enterprise at a loss; at least at first. It's actually quite normal for Enterprises to operate at a loss when they start and often even in their first few years. For example, Amazon.Com was founded in 1994 but it wasn't until nearly 10 years later when the company posted its first annual profit for the 2003 fiscal year.

Fortunately, home based Enterprises can get to the profitability mark a lot sooner than a company like Amazon.Com. There is less overhead with a home based Enterprise. That means no space to lease, no employees to pay, no equipment to invest in, etc. It is important however to be aware of your ongoing costs. How will you fund the Enterprise at first until it begins to make a profit? Ah, now that's the million dollar question.

You can stick with something that doesn't have a lot of start up costs and doesn't carry much in the way on ongoing costs. That means your risk of operating at a loss is minimized and your Enterprise will have a great chance of surviving until it can start to monetize.