work from home small business

[laurence]

O.K., I know what you are thinking, "The Moderator is spamming his own board". Seriously, my thread on ER goal and other threads around here have shown the promise of having your own business vs. being employed. My question is, if you can't risk quitting your day job, what would you look into as a small business on the side? DW and I are NOT interested in Amway, MLM, etc. etc. but searching the internet just gets you 1000 hits that belong in the Rich Dad/Poor Dad scrap heap. Small business owners, what did you do, and how did you get started?

 

[Mr._johngalt]

O.K., I know what you are thinking, "The Moderator is spamming his own board".  Seriously, my thread on ER goal and other threads around here have shown the promise of having your own business vs. being employed.  My question is, if you can't risk quitting your day job, what would you look into as a small business on the side?  DW and I are NOT interested in Amway, MLM, etc. etc. but searching the internet just gets you 1000 hits that belong in the Rich Dad/Poor Dad scrap heap.  Small business owners, what did you do, and how did you get started?

I won't list all of the small businesses I owned (wholly or partly), nor the
history of those I started up. Too much to post. However, with my experience and knowing what I know now.........real estate is about
all I would look at. You can work from anywhere and use other people's
money (100% if you wish). Not many small businesses can come close.
If you do it right the rewards are bigger also. You know those infomercials
with the RE success stories? I don't know if they are all true..........
but they certainly could be.

JG

 

[Arif]

Laurence,

We own our own rental property business. I've been managing our rental units for about 7 years and plan to do it full time by December. Now before you think real estate is overpriced everywhere think again. We live in Augusta, GA and can find sfhs for 55-65K or fourplexes for 100k and cashflow enough to make it worthwhile. Our networth is currently 80% in RE but they all cashflow and are making it possible for us to leave the day job. To increase our income we do rehabs as well usually clearing about 15-20k per property. Not a wholelot but enough if you also LBYM and do 3-5 deals a year. BTW we have 31 units and plan to buy a 17 unit next year before we slow down a bit and concentrate on paying off the mortgages.

 

[TromboneAl]

Laurence,

Buy my business (http://www.ResponsiveSoftware.com). I'll give you the early-retirement.org discount.

 

[REWahoo]

Buy my business (http://www.ResponsiveSoftware.com). I'll give you the early-retirement.org discount.

Laurence, just how much did Al spot you to set him up for a free internet ad?

REW

 

[Mr._johngalt]

Laurence,

We own our own rental property business. I've been managing our rental units for about 7 years and plan to do it full time by December. Now before you think real estate is overpriced everywhere think again. We live in Augusta, GA and can find sfhs for 55-65K or fourplexes for 100k and cashflow enough to make it worthwhile. Our networth is currently 80% in RE but they all cashflow and are making it possible for us to leave the day job. To increase our income we do rehabs as well usually clearing about 15-20k per property. Not a wholelot but enough if you also LBYM and do 3-5 deals a year. BTW we have 31 units and plan to buy a 17 unit next year before we slow down a bit and concentrate on paying off the mortgages.

I envy you. I'm too old. I have the dream but not the drive.

JG

 

[Arif]

JG,
I am trying to get where you are at! Who should be envying who.
I'll try and remember that when I get up at 630 tomorrow for work and then after I get off the day job I get to run down late rents.

 

[kat]

Solo practitioner lawyer. Set my own hours and days off. Mostly off now.

 

[retire@40]

There are an infinite number of business you could start from home.  Some of the home-businesses I know people do first-hand are...

Selling on ebay

Computer repair, consulting, networking

Pet sitting

Bookkeeping

Writer

Wedding Planner

Carpenter

Cleaning Service

Music Teacher

Real Estate sales and rentals

Landscaper

Catering

Home Inspector

I also know a lady who makes and sells pocketbooks out of used cigar boxes, a couple who host private dinners in their dining room for $400 per couple, a lady that breeds and sells dogs, and a guy who grows vegetable plants in his backyard and sells them to the public.

Pick something you like and turn it into a business.  Chances are it will succeed beyond your expectations.  The biggest problem with starting your own business is that most people just dream and talk about it instead of doing something to make it happen.  Kinda like the people dreaming and talking about FIRE but working until they die and never enjoying life.

 

[laurence]

T-al, I appreciate the offer, but I'm trying to avoid 7 figure start-up costs.

So real estate gets some play, but while I know not all areas are overblown, my immediate area is. Anyone have experience owning rental properties at a distance you can't visit every week? What is a good resource to look into if I'm interested in starting a venture in RE?

 

[Mr._johngalt]

JG,
I am trying to get where you are at! Who should be envying who.
I'll try and remember that when I get up at 630 tomorrow for work and then after I get off the day job I get to run down late rents.

Here is the deal. I love real estate. Dabbled and played around the
edges my whole adult life. But.............I never went into it big time
and then I ERed. After I quit, looking back I could see how this could have been a profitable PT/semiretirement job; and one I was interested in.
By the time I saw it my opportunity was past. Now I am content to just loaf. Soooooooo, maybe it was good that I did not recognize my
"window of opportunity". We'll never know now.

JG

 

[Arif]

JG,
Got it. RE has been in my blood for awhile and I still get a rush finding that diamond in the rough. I plan to keep buying and rehabbing props. in GA while in Panama so that should be interesting.

Laurence,
We are planning on leaving the area and moving to Panama. I am in the process of interviewing property managers to take over the day to day stuff. I don't know if I would recommend handing off millions of $ worth of RE without knowing the business inside out. I suppose it can be done if you let them know what you expect upfront and stay on them to ensure they take care of your properties. We own property in TX as well and it has been OK with no real major problems so it can be done.

BTW- a real great source of info on landlording is www.mrlandlord.com Be warned most folks there don't like property managers (read like to control everything) and bring your thick skin when asking for advise.

 

[riskadverse]

Sell your primary residence, take the profit out up to 500K tax free, buy a fixer (worst house in the best neighborhood you can afford, live in it 2 years while fixing it up, go to the beginning. 

Most people will tell you, you can't do that now because it is the top of the market.  Being a contrarian, I don't think so.  Pick your property right, and I think you can do this any time ... kinda like the guys who say it's a "stock pickers" market.   

 

[Michael Moore]

I'm a firm believer that everyone needs to have some sort of home business to help shelter their other income.

Most any home business can justify a computer, broadband Internet access, web hosting, a digital camera for photos for the web site, etc etc.

Look for things you'd be buying even if you didn't have the business. Desk and chair for the computer, file cabinet, pens, paper, whatever - write it off.

But only go with legitimate items you can easily justify. But there's a fair amount of that stuff, and all you need to do is conduct your business with a "reasonable" expectation of a profit. The more legit you do things (bank account, business telephone line, Yellow Pages ad, etc) the more legit you look/are, and the easier it is to justify things.

cheers,
Michael

 

[maddythebeagle]

Isnt that an auto. audit.?

 

[sgeeeee]

Isnt that an auto. audit.?

No -- not at all. If you have a reasonable chance of making profit, the expenses related to making that profit are legitimate deductions. You have to jump through a few hoops, but business expenses are legitimate deductions.

 

[Mr._johngalt]

Sell your primary residence, take the profit out up to 500K tax free, buy a fixer (worst house in the best neighborhood you can afford, live in it 2 years while fixing it up, go to the beginning. 

Most people will tell you, you can't do that now because it is the top of the market.  Being a contrarian, I don't think so.  Pick your property right, and I think you can do this any time ... kinda like the guys who say it's a "stock pickers" market.   

It's only the "top of the market" in spots, just like the dreaded
"bubble" will only burst in spots. There are always deals, which is why I love real estate. Also, if you do make a mistake, there are a bunch of
(hands on) ways to bail yourself out, without waiting for the DJIA
to rebound.

JG

 

[maddythebeagle]

has anybody thought about being a part-time financial advisor? I think with a lot folks knowledge on these boards, they would be excellent.

 

[unclemick]

I actually looked into it - in 1993. Luckily I passed up the 'opportunity.'

Hindsight - Christmas 2004 - surveying family and others - 1 out of 4 really listened, the rest - ?

My salesmanship leaves a lot to be desired - hence passing on that idea - was probably the right choice - for me. Hand holding is the primary skill required.

BTY - the one that listened - is set for life - if they stay on course.

 

[REWahoo]

Laurence,

It just dawned on me that the Internet Addiction Test generates a great 'work from home' business opportunity for you. You could create your own "internet addiction recovery" business, offering diagnostic services, counseling, support group therapy and other services. Best of all, you can do all of this online!

How cool is that!? 8)

REW

 

[maddythebeagle]

"I actually looked into it - in 1993. Luckily I passed up the 'opportunity."

Yes, being a salesman doesnt appeal to me, either. Although, I have been able to get a few in my family to do some things, but no fee income, just satisfaction.

 

[laurence]

Laurence,

It just dawned on me that the Internet Addiction Test generates a great 'work from home' business opportunity for you. You could create your own "internet addiction recovery" business, offering diagnostic services, counseling, support group therapy and other services. Best of all, you can do all of this online!

How cool is that!? 8)

REW

Isn't that like holding AA meetings at the bar?

I thought of the financial advisor route, still thinking about it, but the lack of results among family/friends has been a little daunting. We are going to find some books on Real Estate and do some numbers, start small.

 

[P.S.]

It's only the "top of the market" in spots, just like the dreaded
"bubble" will only burst in spots. There are always deals, which is why I love real estate.

Our neighborhood is small, everybody knows each other b/c of the semiannual get-togethers, most residents have been there 35-50 yrs (houses passed down in family, etc).  The housing market has been rising @25%/y here as the rest of "froth."
One couple finally decided to retire to a retirement community in N.C.  Put out into the grapevine their asking price. A couple (outsiders) began  a contract that fell through. So retired couple listed with an agent that same afternoon. The next day got another contract. House sold for 25% more than the original asking price.  Meanwhile, everybody in the neighborhood is kicking themselves why they didn't buy and flip the house.  A quick remodel would probably have raised the selling price even more.
Agree with JG, there are deals.  You just have to know your market and watch carefully for them.

There are an infinite number of business you could start from home.  Some of the home-businesses I know people do first-hand are...

I also know a lady who makes and sells pocketbooks out of used cigar boxes, a couple who host private dinners in their dining room for $400 per couple, a lady that breeds and sells dogs, and a guy who grows vegetable plants in his backyard and sells them to the public.

Know of one lady that spends her summers in Pittsburgh and winters in Palm Beach.  Buys fur coats from the thrift stores in Pittsburgh and turns them in to expensive teddy bears to sell in Palm Beach.

Forgot to add:
you mentioned in another thread that SD home prices seem to have stabilized? May want to follow the forclosure listings in your local paper.

 

[Nords]

A cousin runs her eBay business by selling everyone ELSE's crap on her site and charging a commission. She's pretty much running an auction business on consignment. USPS will bend over backwards to support your mailing expenses (they'll even pick up at your house) so you theoretically would only leave the house to look at other people's stuff. Take a look at Marsha Collier's website or any of her eBay books.

While he's waiting for his R&B career to take off, my brother runs a doggie daycare center. You would be amazed at who would spend big bucks to let their "children" spend the day running with a pack of wild animals...

So real estate gets some play, but while I know not all areas are overblown, my immediate area is.  Anyone have experience owning rental properties at a distance you can't visit every week?  What is a good resource to look into if I'm interested in starting a venture in RE?

If you can't drive by it in 10 minutes then you have to put a lot of faith in paying someone to drive by it for you (and not take advantage of what you don't know).

(1) Investing in Real Estate, 4th edition or later, by Andrew McLean & Gary W. Eldred (who's taken over the new editions) and
(2) Landlording by Leigh Robinson (7th edition or later).

 

[greg]

Laurence, I have a home business idea for you, and I'm semi-serious about it.

You could start up a website called "Ask Jesus." It would be similar to the "Ask Jeeves" program, but instead of referencing all general things on the web it would use the New Testament as a data base. So, if a Christian wants to ask a question such as 'What do I do, my daughter is pregnant?," it would spit out a number of verses related to that particular problem. No spin allowed.

You would make your money selling ads to Christian businesses. You would need some sort of "Ask Jeeves" type program that was programmable and, of course, your primary job after setting it up would be sales.

This one is free to you.

But if you do an "Ask Mohommad" (sp?) with the Koran, I get to tweak it a bit so only non-fanatical behaviors are recommended. Plus, I get 2 cents five cents a hit .

Also, you could use the Old Testament and call it "Ask God." I would definitely want to be actively involved in the creation of that one. We could probably get it done in about six days.

--Greg