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Working From Home?
Christine Corkan
Java Jazz
Mobile Café Ltd.
"I like to get out there with the truck to make contacts and keep fans warm more than just about anything."
If ever there was a textbook good-news business story, Christine Corkan's is it. She had run down the street for a coffee and missed her son's soccer goal. While she was climbing back up the bleachers, it hit her: why not bring the coffee to the people?
"Vancouver is a coffee city, and it's a recreating city," she says. "Most people have three bucks in their pocket for a latte. I'm pretty much a normal person, and if I wanted this, I knew others would want it too."
Christine was already working part-time, but she didn't feel her future was secure. So she started pursuing her dream, a business she could manage from home. She did a lot of background work while she established her business, a gourmet coffee café on wheels. She was never daunted, even though it took more than a year to go from the light bulb to the first latte.
"I just took it one day at a time, learned what the next step was and did it."
Christine discovered that she's a hit with her niche market – parents watching their kids at the park. Her challenge now is to rein in her business. With her own children at home, she's determined to have her business serve her life, not the other way around. So when she thinks about expansion, she looks at options that support that philosophy, like franchising her Mobile Café.
"I work about six hours a day on the weekend. I like that I don't have a sign that says I'm open from 9-5, whether people want the coffee or not. I'm around for a few hours, then I go home."
You don't have to run a full-fledged operation with inventory, a storefront and employees to be a legitimate business. If you sell flowers at a roadside stand or design websites from your home, you own a business. It doesn't matter that your office is a computer in the corner of the bedroom or that it's a part-time commitment.
an email address that promotes your business; a memorable Internet
address for your future website; and a virtual identity that stays the same, even if you change service providers.
Consultants and people who own cottage and hobby-oriented businesses will benefit from taking their enterprise as seriously as a corporate CEO. No matter how big or small your business, you're investing time, money and intellectual capital to make it work.
The good news is that your business can be shaped to meet your needs. Keep it simple, or make it as complex as you like. Whatever your style, consider the following advice.
First, get the financial facts
One of the biggest advantages of working from home is being able to deduct a portion of your living expenses. Make an appointment with an accountant or financial advisor, who can explain how much of your rent, mortgage, utilities and car costs you can declare. They can also help you set up a straightforward bookkeeping system.
Make sure you talk about GST. If you earn more than $30, 000 a year, it's mandatory to charge it to your customers. But if you earn less, you have a choice to opt out (information current as of 2004). The advantage of charging GST is that you can also claim any GST you pay on business- related expenses – from a box of staples to a new laptop computer.
Set up a separate business identity and accounts
If you live with other people (especially teenagers), get a business phone. Record a professional voice mail message and don't let anyone else answer incoming calls. If you don't want to have two phone lines in your home, use a cell phone.
Apply for a credit card in your own name, and use only it for business transactions. Not only will you build your credit record, it's a good way to track and record business expenses. Pay the entire bill each month, from a line of credit if necessary, to avoid high interest rates.
Set up a separate business bank account. Use it to deposit your cheques and pay all business-related costs. If you qualify for a line of credit or overdraft, attach it to this account. It will cover the gaps between sending an invoice and receiving a cheque. You can also write off any interest costs you're charged on a line of credit or credit card that is used specifically for purchases for your business.
Resources
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"Starting a Home-Based Business: A Manual for Success, "www.gov.bc.ca/sbed.
Click on Reports and Publications.
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"The Women's Home-Based Business Book of Answers: 78 Important Questions Answered by Top Women Business Leaders," Maria T. Bailey. Roseville, California, 2001.
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"Raising Your Business: a Canadian Woman's Guide to Entrepreneurship," Joanne Thomas Yaccato with Paula Jubinville. Prentice Hall Canada, 1998.