Wouldn't it be great to be able to quit your job, be your own boss and earn a paycheck from the comfort of your own home?
The good news is that with a little planning and some startup money, it is possible!
Once you settle on an idea, research the marketplace to see how similar businesses have fared and how tough your competition would be.
If you're married and/or have kids, you should also be asking your family how they feel about your working from home, as your decision will affect them both financially and psychologically.
You should also avoid borrowing against your 401(k) or other similar plans as this could adversely affect your retirement.
Without a budget, a business runs the risk of spending more money than it is taking in, or not spending enough money to grow the business and compete.To do this, many or all of the products featured here are from our partners. A strong, detailed plan provides a clear road map for the future, forces you to think through the validity of a business idea, and can give you much greater understanding of your business’s financials and the competition. It spells out exactly what you’d like to accomplish, both in the near term and over the long term.A business plan typically looks out over three to five years, detailing all of your goals and how you plan to achieve them. If you’re looking for outside funding, you can use this section to explain why you have a clear need for the funds, how the financing will help your business grow, and how you plan to achieve your growth targets. And while our site doesn’t feature every company or financial product available on the market, we’re proud that the guidance we offer, the information we provide and the tools we create are objective, independent, straightforward — and free. Our partners cannot pay us to guarantee favorable reviews of their products or services. " At Nerd Wallet, we strive to help you make financial decisions with confidence. A business plan can make or break a small business. [Back to top] An objective statement should clearly define your company’s goals and contain a business strategy that details how you plan to achieve them. We believe everyone should be able to make financial decisions with confidence. This may influence which products we review and write about (and where those products appear on the site), but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. It contains important information including its registered name, address of any physical locations, names of key people in the business, history of the company, nature of the business and more details about products or services that it offers or will offer.Three months of living expenses is a minimum goal for a new business owner, but even more will help take the stress off of you and let you spend your energy on your company.Try to avoid racking up costly credit card debt that could cost 20% or more in yearly interest fees.In addition, after the rush of a small-business launch and the initial influx of curious customers, many small businesses reach a plateau.Any business must constantly adapt to changing market conditions, new business tools and new sales opportunities in to continue to grow and prosper.This may sound easy, but for most people, this is actually the hardest part.You should conceive a plan that puts your knowledge, experience and expertise to use in the most profitable way possible.