You must consider if - your home has the space for a business, and you can successfully run the business from your home. There are some general areas to watch out for, but be sure to consult an attorney and your state department of labor to find out which laws and regulations will affect your business. Be aware of your city's zoning regulations. If your business operates in violation of them, you could be fined or closed down. Most states outlaw home production of fireworks, drugs, poisons, explosives, sanitary or medical products, and toys.
Some states also prohibit home-based businesses from making food, drink or clothing.
If your business has employees, you are responsible for - withholding income and social security taxes, and complying with minimum wage and employee health and safety laws. You need to learn as much about the market for any product or service as you can. Before you invest your time, effort and money, take a few moments to answer the following questions. They'll help separate sound ideas from those with a high potential for failure. If you've researched your market, thought over the pros and cons of a home-based business, and decided to go ahead, it's time to put together a business plan.