How to Establish a Workspace for Your Home-Based Business
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Running a business from home is always a bit of a juggling act. Besides the competing demand for your attention from household chores, well-meaning family members, and your professional work, you also have to grapple with the issue of space. Your business will soon overflow the confines of your kitchen table and start taking over your home, one stack of paperwork at a time. When you get to this point, you have a couple of options—carve out space in your home for a dedicated work area, build a home addition, or buy a new property. Here’s a quick guide to help you decide on the best course of action!
Buy a New Home
Many times, buying a new home is the best way to accommodate a growing home-based business. Whether you’re looking for a full-sized bedroom, a basement workshop, or a property with enough space for a separate structure, moving might be your only option. If you decide that buying a new home is the best solution for your space-related issues, work with a skilled and knowledgeable real estate professional like Stephanie Sacco for help finding your perfect home and navigating the buying process
Before moving forward, make sure you’re clear on the financial steps you have to take before buying a home. Paying down debt should be one of your top priorities! Moneylenders are hesitant to give mortgages to people who already have substantial debt, especially if they show evidence of poor debt management. This is the time to get your debt-to-income ratio under control so you can show lenders that you will be able to keep up with your monthly payments.
After managing your existing debt and improving your debt-to-income ratio, get your other financial prerequisites in order before searching for homes. Check your credit score, start saving for a down payment, and get pre-approved for a mortgage. You should also spend some time evaluating your local real estate market and calculating how much your current home is worth. If it’s the right time to sell and your finances are in a good place, start searching for the perfect new home so you can finally work and live a little more comfortably.
Build a Home Workspace
Selling your home and moving somewhere new may not be in the cards for you right now if the pandemic has negatively affected your business. If this is the predicament you’re in, know that there are government programs that can help keep you and your business afloat, and some private grants are also available for small businesses. Once you have the financial resources your business needs, think about what you can do to make your existing property more accommodating for your business. For example, you may be able to renovate your basement and turn it into a dedicated office, workshop, or studio. You could even work out of your garage!
No basement, garage, or spare room? Squeezing a business workspace into a small home can be a little more challenging. This is especially true if you need to store inventory or supplies. If your home lacks the necessary space for your business activities, consider building a home addition or a stand-alone structure in your backyard. A home workspace with a separate entrance is an ideal office setup for business owners who meet with clients or perform home-based services such as hairdressing, pet grooming, massage therapy, or tailoring. Remember, much of what you spend on your new business workspace will be tax-deductible! Keep in mind that if you’re working from home you’ll likely need fast and reliable internet. Fortunately, 5G home internet has recently been introduced in the Detroit area, so your business can take advantage of its ultra-fast speeds and minimal lag time.
In the end, the best home workspace for you will depend on the nature of your work. How much space do you need? Do you need to store inventory? Will you be meeting with clients in your home office? Thinking carefully about your needs—and reviewing your budget—will help you make the best decision on whether to build or buy a new space for your home-based business.
If you’re buying or selling a home in the Metro Detroit area, connect with Stephanie Sacco today at 248-229-4523 to schedule a consultation.
Written by Tina Martin (https://www.ideaspired.com)