But running a business out of your home can be peppered with pitfalls at every turn. Unfortunately, that's not necessarily the case. Pricing products too low is a second common problem for home-based businesses, Rowe says.
Many people are satisfied to break even, instead of charging enough to make a profit.
They should charge enough to cover materials and labor and add enough to make a reasonable profit. Family can be a huge pitfall if an individual isn't careful, Rowe says. The entire family needs to understand what 'support' of the business means to them. Supporting the business might mean staying home to answer the phone and take orders, driving the kids around town on errands, or fixing dinner four nights a week. Each member of the family needs to do his or her part.