When times get tough, costs are rising why not cut your small business costs by moving your office home.  Becoming a home based business lets you reduce or eliminate the cost of:

• Office or Store rental

Instead of paying rent, you can get a tax deduction for your office space.

• Commuting

Auto expenses drop dramatically when you can walk to your office.

• Business related travel

Some travel to and from your home becomes deductible.

• Food

Coffee breaks and lunches are far less expensive at home.

• Insurance

Riders or endorsements on your homeowners insurance policies may cost less

• Personnel

It is relatively easy to become a virtual company with your personnel working from their homes.

• Taxes

Possible deductions include a portion of homeowners’ dues and real estate taxes, furniture, converted to business use and a portion of the cost of entertaining business associates at home.

By moving to a home based office usually allows companies to lower their costs and continue to maintain or even increase margins.

In addition, working from home is eco friendly which is a definite plus for most companies and an added value in the eyes of most customers.

One final thought, get legal advice before making the leap to a home based business to make sure you can operate a business out of your home legally.  There are a lot of issues to look at such as zoning restrictions and more before taking the leap.