More than ever before, home based businesses are becoming more successful, thanks to the internet.
Let’s consider some of the obvious costs involved in running your own home based business to support your family as compared to running a commercial store front business.
Home Based – Tax break on mortgage, all household utilities and repairs or improvements required.
Office Based – Monthly lease on commercial office space, utilities and no household tax breaks
In a typical home environment, you already have fixed expenses such as mortgage, water, hydro, telephone, internet, etc. If you start a business out of your home, there is little to no impact to the costs of your home based business because they are already being paid for. In fact, you can claim tax breaks due to the business.
When you choose a commercial office space for your business, you incur additional expenses. Now you must pay to rent or buy that commercial space and pay for all the utilities that office will require. There are no tax breaks as in the home based business.
Let’s assume you want to buy a product that is worth $400.00 from either the home based or office based company. As we all know, items are sold to make a profit, above the cost to produce the item, so what does this mean to you?
The home based product contains no hidden costs since the household is already being accounted for. Full quality goes into the product.
The office based product contains the additional costs of operating out of a commercial location, which means the actual product is of lesser quality in order to equal the same price.
Here at Resumes with Results, we have maintained a residential office for over 30 years, not just to provide our clients with a more comfortable and relaxed atmosphere, but more importantly, to keep the expense of running a licensed business to a minimum. This has allowed us to put more effort and quality into every resume we write. We have no hidden expenses to pass on to our clients.