Home-based business slashing start-up costs

New findings from a Microsoft survey suggest the cost of a business start-up has tumbled. Just under 20% of respondents claimed to have started their business with no capital at all. Those who needed some start-up capital opted, in order of preference – self-funding, the bank, then friends and family. Only 6% opted for a special grant.

Enterprise Nation recently did its own in-house research to assess the viability of starting a business for under £500. And it found that, for less than the cost of two London-Manchester return tickets, you could buy a laptop, business cards, a website and basic furniture for a home office.

'Costs have continued to come down on account of location, technology and globalisation,' said Enterprise Nation boss Emma Jones. 'You no longer need to rent or buy office premises as the home is now the most popular location for business start-ups. Setting up a home office reduces overheads and means time spent on a lengthy commute can be dedicated to your business in its early stages.'

In the UK, the most popular business start-ups focus on the ‘knowledge sector’, including accountants, designers and IT specialists, where the business is ‘selling’ the owner's knowledge. And being your own boss has other benefits. Studies show self-employed people are happier than their employed colleagues and more likely to become a millionaire.

So don’t let the initial costs put you off starting a new business. That £500 (or less) may just be the best investment you ever make.

Source: www.enterprisenation.com