How to Turn Your Favorite Hobby Into a Work-At-Home Business

Tips For Turning Your Favorite Hobby Into A Successful Work-At-Home Business

Many of us dream of the possibility of creating a successful business right from our homes, one that is sustainable and we can run without ever leaving the confines of our humble abode. Alas, there are numerous businesses which begin and end with these great ideas each year. But some people have the know-how to create a business, which can effectively be operated from home and they have learned the secrets to doing it profitably.

Some of the most innovative of the work-at-home-business ideas revolve around the craft business. Many people are interested in having a home-based craft business; furthermore, some have been able to parlay this fun activity — which others just see as extracurricular fun — into a business that grows and thrives, increasing in sales each year. Those in the craft business will tell you that having a business sense is imperative, and it is even more important when you run a home-based craft business to love what you do and to let that love show through with each and every project which you complete.

The possibilities for a work-at-home business are endless. Click To Tweet

There are multiple home-based craft businesses that can be created, once you determine that this is something that you really love to do. The possibilities for a work-at-home business are endless, especially when you zero-in on such a wide-ranging area as a home-based craft business. But here are a few that seem to be experiencing the greatest growth, and perhaps one of these ideas will inspire you to take part in the new work-at-home business craze that is sweeping the nation.

One of the most successful ventures that is showing up more and more frequently, particularly among those interested in a home based craft business is that of making homemade jewelry. Whether you have a true designer’s eye or just love to play around, homemade jewelry and the parties you can utilize to showcase your wares, seem to be the rage in numerous communities across the nation. This work at home business is relatively easy to get into, and although startup costs can be a little expensive as you first purchase beading and wiring to make the jewelry, your returns can be phenomenal. (**At least your start up costs are a tax deduction!)

Make sure that when you are pricing your items to take your time and work effort into consideration, as well as cost of materials. Beyond that, most businesses fail because their owners fail to factor in a profit on their hard work, so be certain that you factor in a profit on your business as well.

A great plan for showing off your designs is to have home-based parties, where you can have people either buy your pre-made jewelry items or even give them the option to design their own. You can further offer hostess incentives for those who are willing to showcase a party for you. Having another business allow you to display your goods is an additional fantastic way to showcase those items that you make by hand. These two methods really help get your name out into the community and will serve as positive advertising methods for your craft and home business idea with little to no cost to you.

Any work at home business, when well-planned, can be a dynamic investment, and there are numerous other craft ideas that can really get a business rolling for you. If making jewelry is not for you but you have a flair for design, why not turn this into wreath making or dried floral arrangements? Another vibrant craft business that leads many to great success is the creation of knick-knack items for the home. This includes miniature painted figures and even original paintings and artwork for walls. Identify where your true talents and interests lie and you can certainly create a successful work at home business venture!

Shoppers love to buy items that are creative and original, planned out and produced with care and love. That is why your craft and home business idea can merge to form quite the winning formula for accomplishment. People like to support local artisans — this fact really helps to grow your work at home business.

Use the people that you know to get your name out in the community, and frequent quaint shops, restaurants, and even spas to ask permission to display your wares. Setting up an Etsy shop can also help you sell your crafts. [Here’s an Article that will teach you 7 Steps to a Successful Etsy Start). Take your home based craft business to the community members who care about and will support your cause, and you too can create a work at home business that helps you leave behind the drudgery of the job you do not like and allow you to flourish with the one from home that you love.

Take Advantage of Home Business Tax Deductions…Read These 5 Tips

For most home business owners, tax deductions may be the key that can help put a little extra cash back into your pocket. Tax deductions vary from business to business but it is worth your time to familiarize yourself with some of these common tax deductions.

  1. First…determine if you qualify for a home business tax deduction. A home office is generally defined as  place where you meet with clients, patients, or customers. Or if this part of the house is used exclusively for business purposes…as an example, someone who runs a Gift Basket business might use a spare room for where the supplies are kept and that person may also use this space to build the gift baskets for customers. Most people have a general image that comes to mind when they hear the words “home office”. In reality, tax deductions can apply to a variety of places. Your home office can be a garage, basement, or a studio. If you do qualify as a home business, it is crucial to keep all records, receipts, and paperwork that you have accumulated through the year.

    It will make tax time a much less stressful experience for the home business owner. Do not overlook the small things. This can be as simple as keeping the receipts when you purchase paper, staples, or toner. Any item that is purchaes for your home business is usually considered a tax deduction. This may seem tedious and unimportant but nothing could be further from the truth. You might be amazed when all these little things add up at the end of the year.

  2. Home business deductions can be separated into two categories. The first is for Direct Expenses. These are expenses that are needed for your actual home office. Direct expenses include office furniture, decorating costs, or equipment. The other category is Indirect expenses which are the expenses that must be paid for the entire house. This includes heating, electricity, or mortgage Interest payments, rent, etc. You can deduct a percentage of your business expenses from your indirect costs such as these, because these indirect expenses are shared for  personal reasons too.
  3. Another home office tax deduction to consider are telephone expenses. If you have one telephone line, the IRS is usually not going to believe that you use this only for your home business…but again…because it is a shared expense, you can deduct a percentage. Some home businesses have a second phone line installed, in a case like that, this second line expense is 100% tax deductible.  (This can also apply to your cell phone.)
  4. An overlooked tax deduction for some home business owners are the Meal expenses when they entertain an employee, a customer or a client. Save all your receipts from these business lunches and dinners. It is possible to deduct fifty percent of meal expenses.

    Education expenses can also be a tax deduction if it is required by law to update your skills or if you are trying to enhance your skills for your current position. As an example, some hair stylists and barbers often independently take hair cutting classes or take a class to learn a specific skill. The cost to attend those workshops and any travel involved would be tax deductible.

  5. Most home business owners use a vehicle as a means of transportation for their business. This vehicle can be used for running to the post office, or meeting with a client as well as running other business errands or if you’re a child care provider that uses your car to take the children on outings. Keep a log book in the vehicle or download an app like MileIQ to keep track of the mileage on these auto trips. Vehicles can be vital to run your home business, and over time these kinds of charges can hurt your profits. There are many valuable tax deductions for vehicles, such as car insurance, car repairs and maintenance like car washes.

    Airline fares can be another costly but necessary aspect for home business owners. The IRS does allow your trip expenses as another tax deduction.

As you can see, home business owners have a  variety of options when it comes to tax deductions. Remember to keep records of all your home business activities and consult with a tax professional who specializes in working with home business owners in order to get the best deductions for your home business. Remember that not all tax professionals are created the same.

If you are looking for an extensive list of home business and small business tax deductions, you may want to download my Home Business & Small Business Tax Toolkit.