
DATE: Friday, May 16, 1997                  TAG: 9705140114

SECTION: CHESAPEAKE CLIPPER      PAGE: 20   EDITION: FINAL 

SOURCE: BY JENNIFER C. O'DONNELL, STAFF WRITER 

                                            LENGTH:   70 lines

WORKING FROM HOME REQUIRES PLANNING, SAYS EXPERT

AT ONE TIME or another, just about everyone thinks about turning an interest or hobby into a home-based business. And although working from home and calling the shots does appeal to most people, experts warn potential home-workers to proceed with caution.

``A lot of people get an idea and start a business at home without being fully prepared,'' said Dr. Ann Lastovica, home-based business coordinator with Virginia Cooperative Extension in Petersburg. ``But it takes preparation to have a successful business.''

Lastovica and other experts in the field of starting and running a home-based business will speak at a home-based business conference, sponsored by the Chesapeake Cooperative Extension, on May 29.

According to Lastovica, it takes a special person to make a home-based business work. Successful candidates must possess entrepreneurial skills, business management skills and expertise in their chosen professional field, she said.

``Entrepreneurial skills include motivation, enthusiasm and a willingness to work with people,'' Lastovica said. ``It's your basic get-up-and-go attitude.''

Endurance should be included under the entrepreneurial category because most home-based business owners must commit to numerous hours to make their business work, Lastovica said.

``The hours are usually very long for many years,'' she said. ``A feeling of personal satisfaction and control is what keeps most people going.''

Second on Lastovica's list of necessary skills is a proficiency in business management, such as a knowledge of how to develop a business and marketing plan, record-keeping ability and knowledge of financing, pricing and other management issues.

Fortunately, most people can acquire business-management skills at seminars, such as those sponsored by the extension, or by classes offered at community colleges, Lastovica said.

Finally, Lastovica said successful home-based business operators must know their chosen field of business.

``You can't just pick up on an idea that sounds good to you,'' she said. ``You need some ability or training in that field.''

Even if you have all the qualities needed to run a successful business from home, the privileges associated with working from home, such as making your own hours and avoiding commutes, don't come without a price.

For instance, Lastovica said owners of home-based businesses often have to deal with space and storage issues that sometimes interfere with family needs.

``You need a space that won't put much conflict on the family,'' she said. ``If you use the dinner table for your work, you can expect problems because the family won't be able to eat there anymore.''

And there are other issues that pose problems.

``You have to be able to shut a door so you can walk away from the business,'' Lastovica said. ``A lot of people let it take over their lives.''

Still, the benefits of running your own business from home are numerous. According to a 1996 Money Magazine survey, 20 percent of home-based businesses gross between $100,000 and $500,000 a year, and the average home-based business earns $50,250 per year. ILLUSTRATION: Graphic

WANT TO GO?

What: Conference on how to start and run a successful home-based

business. Topics covered include record-keeping and taxes,

developing a business plan and marketing your product or service.

When: May 29 from 9 a.m. to 3:30 p.m.

Where: Holiday Inn Greenbrier.

Who: Sponsored by the Chesapeake Cooperative Extension.

Cost: $25 per person. Includes information packet and lunch.

Contact: The Chesapeake Cooperative Extension, 382-6348.