If you are thinking about starting your own home based business you have a whole list of items to consider before making any financial or time investment. As with any business, home based businesses have to follow a certain protocol to become successful, but, it mainly falls on the shoulders of the business owner to make the right decisions at the right time.

The first question you should be asking yourself is: "Am I the type of person that can manage a home based business?" The reason you need to ask this question is because, although the idea of being your own boss sounds lucrative, not everyone has an owner mentality. An owner mentality would be someone who possesses the following traits: self-starter, self-motivated, organized, detailed, aggressive, and disciplined. Let's add one more for good measure: committed.

You absolutely must be committed to starting your own business. Someone who is committed is going to take action and not procrastinate about things that need to get done. This is so important to the success of your business. There is a big difference between someone who is interested vs. someone who is committed. The interested person may or may not follow through on key initiatives, while the committed person will absolutely complete the task required.

OK, so now you perceive yourself as committed to managing your own home based business. Now what? You'll have to make the decision to register yourself with your state as Sole Proprietorship or perhaps start a Limited Liability Company (LLC). A 'Sole Proprietor' is someone who owns an unincorporated business by himself/herself. The owner receives all profits and is responsible for all losses and debts. An 'LLC' is a business structure allowed by state statute. LLCs are very popular because, similar to a corporation, owners have limited personal liability for the debts and actions of the LLC. There is also the benefit of pass-through taxation.

Decide which one you'd like to be and be aware there will be filing fees involved when you register with your state. You should not make this decision on your own and it's highly recommended that you consult with your income tax professional.

Next in line is deciding what type of business you want to run. There are many factors to consider before you make your decision. For example, what do you like to do? Do you have any hobbies or special skills you can turn into a business? Can you turn your earlier working knowledge into a business? Your first task is to find out what you really want to do. Something that you will enjoy doing and can see yourself promoting with unrivaled excitement. For our purposes we will focus on non-franchise home based ideas since franchise businesses usually carry a high monetary investment with them.

Here are just a few ideas to get you thinking:

• Bookkeeping - keeping a client's financial records

• Collection Agency - you'll need excellent communication skills for this one

• Computer Training - one-on-one or in groups

• Computer Tutoring - one-on-one and your client comes to you

• Copywriter - create marketing brochures for customers

• Desktop Publishing - providing printing services to clients/organizations

• Medical Transcription Service - produce typed reports from doctor's dictations

• Online marketing - selling your own or other company's products

• Technical Writing- technology products that need descriptions

• Video Production Services - take old videos and make them professional quality

• And many, many more...

Home based businesses have gained in popularity in recent years. You can say there is a close relationship between the recent economic hardships and a booming interest in working from home. Aside from the above list, you'll find such things as paid surveys, mystery shopper opportunities, and several others. You can make money filling out online surveys right from a laptop on your kitchen table. There are thousands of companies around the world that invest large quantities of money in trying to figure out consumer trends. These companies are interested in finding out how consumers behave and why they are more apt to purchasing certain products and not others. While this may not be able to pay for the rent or mortgage, a few dollars here and there can't hurt. With a little luck and plenty of research you can find these companies and sign up to receive their surveys.

Online Marketing businesses have increased in numbers in recent years and have become an easy and cost-effective way to start a home based business. You don't need a lot of money to get started, and you don't even need to know web programming. It is so easy to get started once you have the proper foundation in place. This is what makes an online marketing business so attractive. There is also the potential of making a lot of money. If not done correctly, the potential is there to lose money as well.

Some people are not open to the idea of an online business because they don't have a product to sell. What they don't know or understand is that many successful internet entrepreneurs do not sell their own products. Rather, they promote someone else's products. This is referred to as Affiliate Marketing. So, you could be in the business of selling digital cameras and you don't need to have a warehouse full of cameras or a staff to distribute them. There are many companies who are looking for affiliate marketers to market their products. Every time someone buys that item through your web site, you make a profit, and you don't have to deal with the hassles of shipping the item to the customer.

If you are interested in starting your own online business, here is what you'll need to get started:

• A reliable computer

• Printer

• Fax machine (optional)

• Telephone

• Fast internet connection such as Cable or DSL (Dial-up modem will not work)

There will be other costs involved such as domain registration and hosting. These are very cheap and inexpensive to acquire.

You'll also need the following to get your business going:

• Business Plan

• Website to promote your service

• Marketing plan so customers come to you

• Effective method to sell your product or service

• Bookkeeping software or service to keep track of sales/expenses

• Separate checking account for your business

Finally, and probably the most important thing you'll need to ensure a successful online entrepreneurship: a good education on how to get started with your online business. There are key processes you'll need to know and understand that will decide your success. Without proper education and knowledge, you don't stand a chance against the rest of the competition. You'll need to understand what to do, how to do it, and in what order.

My recommendation to you is to start slowly and build up your business. Think of your business as a child. You need to teach it to crawl before it can walk, and to walk before it can run. The same goes for any successful business. Stay away from companies that claim you can earn a million dollars overnight. If it sounds like a scam, then it probably is. Your intuition is usually right.

Believe it or not, the internet is still in its infancy stages. More and more companies, as well as individuals, are getting their share of the marketing possibilities that currently exist, and this promises to get even bigger within the very near future. Having an online presence is the key to any successful business. Those businesses that don’t have an online presence will lose customers to those who do.