5 Things To Look For When Selecting A Home Based Business

Many people looking for a home based business have know ideal what to look for when selecting a company to work with, and some of them end up selecting companies that they later find out are a host or spam. There are a lot of good companies to choose from, and unfortunately there are a lot of bad companies out there as well. To help make your search for a legitimate home based business easier and with fewer worries about be taken for your hard earned dollars, here is a list of 5 things to look for when selecting a company to work with for your home business.

1. The Company

Look at the company track record. Find out how long the company has been in business and their most current revenues. You do not what to start working with a company that is in debt because they may go out of business soon after you join. If the company has been featured in any publications, try to get a copy of a publication to read. You also what to know how many people are already working with them and read some of their success stories, in other words, are there people making money with the company already. You also want to know some of the history of the company so that you are not joining a company that is here today and gone tomorrow.

2. The Product/Service

The company must have a product or service to market. Most companies have more than one product or service which is excellent but it is not at legitimate business if there is no product or service at all. Run fast if you come across one of those, especially if they want you to pay them money and you get nothing in return. The product or service should be of good quality and unique to your marketplace. If you like the product yourself and would purchase it even if there was not a business opportunity attached to it, then you know you have a good product or service because it is something you believe in, which makes it easier for you to market effectively. If you do not use it yourself, you will find it difficult to stand behind the product and market to other people. You must know your product or service and the best way to do that is to own it and use it yourself.

3. Need/Marketplace

You want to know if there is a need for your product or service in the marketplace. If there is no need, is the product or service unique. Basically, you want to ask yourself will people buy it and is it affordable by the masses? These are just a few questions you need to consider when evaluating the product or service. Evaluating a product or service may require you to think outside of the box. Many people never thought bottled water would be a $4 billion a year product when it first hit the marketplace. Tap water was free so why pay for it? Well, when people started saying tap water was bad for you; bottled water started selling off the selves like hot cakes. You need to look out for new trends and catch them early. Bottled water is still a big seller today, even after a new study by the Natural Resources Defense Council said “bottled water is not necessarily cleaner or safer than most tap water in the United States”. People still rather have bottled water or tap water.

4. Compensation

Every company that offers a business opportunity should have a compensation plan. You want to know how you will get paid, and will your pay depend solely on your own efforts or will you have the opportunity to earn passive and residual income. A lot of people think they should get paid for all the other things that they must do to operate their business but you must remember, you are in business for yourself and those other things are typical for any business owner. You will only get paid when a product or service is sold. You are not an employee for the company so you can not expect to get paid by the hour when you are running a home based business. Many business owners work many hours and sometimes years before ever making a profit on their business. This could be the same for your home based business, so do not quit your day job so soon after starting your home based business. Wait until you are well into profit mode with your business first.

5. The Timing

Just like when bottled water took off in the marketplace, you want a product or service that has not already saturated the marketplace. Look at the timing for your product or service in the marketplace. You would not sell very many winter coats in the summer time. A better example is trying to sell VCRs in the 21st century when DVD players are more popular now.

In summary, look for a reputable debt free company that is not a fly by company that has a product or service which is needed or is unique in the marketplace. You should like it and use it yourself, and it is also affordable by the masses. If your product or service fit these criteria, then you may have selected a company you can feel good about working with for your home business and be successful making the income you desire.