Disadvantages of a home based business opportunity
There are some downsides to choosing a business opportunity as a home-based business model as well. Here are a few points you should consider
- While many people like the freedom that comes with working with a business opportunity, for someone without any experience with the prior business for themselves this can be a disadvantage. The probability is that you would not be provided with any training or ongoing support for the business opportunity and this leaves many people high and dry when it comes to starting off and generating income. This means that many people who sign up for a business opportunity could have potential problems starting up.
- There is no regulation governing business opportunities by the federal government and the state and local regulations also differ. For this reason there is a lot of scam and fraud in the this field as well. Beware of business opportunities that try to over sell and if they sound too good to be true, they probably are. Ignore any business opportunity that claims to earn you thousands of dollars without doing much work or menial work like stuffing a envelopes etc. However, the FTC has made great effort to root out these scams and they are much less rampant than they used to be some years back.
- Most owners of legitimate business opportunities do work harder than they ever did in a regular job. Chances are you will have to as well.
- The success of a business opportunity is directly proportional to your personal effort. Since it is not a franchise, you would have to rely more on your own personal effort and tactics. This could mean that there are more chances of the business to fail. Be sure to have a sufficient financial backup to support yourself and to weather a serious business setback.
- As in any other kind of business, you should explore your options before you invest your hard-earned money in a particular business opportunities. While most of the business opportunities cost little with little upfront payment, there are those that can be expensive such as applying for a dealership for a well-known company or product.