Know What It Means to Work Virtually
Whether you’re operating a business or working from home, be sure you’re aware of the legal ramifications. If clients will be visiting you, check to see if your home is in an area zoned for business and what the local zoning ordinances require in terms of permits or licensing, as well as any restrictions that define what you can do from your home. There also are tax issues regarding working from home. In the United States, you cannot claim a home office deduction unless you use that space only for your work. So if you’re working from your kitchen table, you probably can’t take the home office deduction.

Beyond the legal and tax ramifications, there are other aspects you should consider before you decide to take the plunge.

• While you’ll still be communicating with coworkers (read Backpacking Your Business and this month’s Know How Network), a lot of it may not be face to face. Not only does that make it more important to communicate clearly, but you may miss that element of human interaction on a daily basis.
   

• You also have to clearly define your ‘work’ time and your ‘down’ time – and you do need down time. Although your work will always be there, it doesn’t mean that you should always be working.
   

• And don’t forget the importance of having an adequately equipped office – everything from hardware (computers, fax, copier, phone and cell phone) to software systems that not only help you create documents and/or manage projects but that provide administrative support, as well.

Once you’ve covered your bases in terms of knowing what’s required, don’t forget to consider the benefits.

• You single handedly reduce pollution and traffic by not driving to and from work – not to mention the financial savings in not having to fill up the gas tank as often.
   

• You also save the time spent commuting and can manage your time more effectively, being able to work when you’re more productive, reducing your overall stress.
   

• And when it’s time for your business to grow, your pool of job candidates greatly increases since location doesn’t matter.

Once you’ve covered your bases in terms of knowing what’s required, don’t forget to consider the benefits.