A significant percentage of Homestead customers are running home-based businesses, and we find them to be among our most passionate customers. In fact, if you don't have an office, your web site IS your place of business, where you meet your customers, deal with your suppliers, and stay open 24 hours a day. Plus, we hold a special place in our heart for home-based businesses, because Homestead started as one (in my house).
Last week was "Home-based Business Week", and Homestead celebrated by commissioning a study by Darrell Zahorsky (small business expert at About.com) that looked for trends in the home-based business world. I know what you're thinking: how could I have missed out on all of the fun associated with Home-based Business Week? Well, thanks to the wonder of the web and blog posts, I thought I could keep the week alive by sharing some of our findings from the study.
Among the most interesting results:
- Over 1/3 of all home-based businesses are run by people over 50 years of age. This result surprised me, as the stereotype of a home-based business is the stay-at-home mom running her business from the kitchen table. However, many semi-retired folks are using home-based businesses to leverage their career expertise or turn their life-long hobby or passion into a second income.
- The average American commutes almost 30 minutes per day, or well over 100 hours per month. The average commute for a home-based business: the time it takes to go from the kitchen to, er, the kitchen table or maybe the garage.
- Service-based businesses are in, product-based businesses are out. I used to assume that most home-based businesses were selling products that are stacked up in their garage, and the UPS man comes every day to cart them away. Maybe this is because my aunt long had a successful home-based business like that. However, consistent with what we see in Homestead's new customers, most new home based businesses are providing services. Note that as more and more products are produced off-shore, and can be found on any internet site, service businesses make more sense from a competitive standpoint. Expect this trend to continue.
- And (drum roll please) the 10 most popular home business trends for 2007:
- E-Learning: With advances in new web application tools such as podcasts and video blogs, development costs will decrease.
- E-Bay Aftermarket: Helping companies conduct market research, pricing strategies, shipping, and competitive analysis is a great niche business.
- Children Arts Education: There is a major market for teachers of right-brained education who are thought to help foster the development of future innovators.
- Garage Organizers: Just as organizing closets was the next big thing in the 80's, the messy garage is the final space to clean up.
- Background Checks: Small businesses with limited resources are turning to background check companies to handle investigation and due diligence.
- Pet Sitting: An ideal home-based business where you get paid to walk and enjoy the companionship of pets.
- Specialized Coaching: The coaching market has boomed in the recent years including specialized areas such as life, spiritual, corporate, relationship and business.
- Home-based Debt Collection: Debt has become a way of life for many Americans. Operating a low overhead home-based collection service can serve the niche sections of this market.
- Specialized Outsourcing: The small business market has limited resources and a focus on core competencies. Specialized outsourcing from home to small business will have a solid position market position for years to come.
- Scrap Booking: In today's easy to save and store digital age, opportunities abound for the home-based scrapbook artist, workshop teacher, or a direct sales rep.
So, join us in celebrating home-based business week. Heck, maybe it's time for you to take the plunge and start one yourself? Homestead started as a home-based business, and twelve years later, we have 100+ employees in our own buildings, with thousands of customers, and millions in sales. Not that we're the most successful company around (far from it), but it beats working for a living!
Great article w/useful information.
Posted by: Gingerdoe | October 19, 2006 at 03:20 PM
Great article, thank you
Posted by: work at home dad | November 05, 2006 at 07:02 AM