Licensing and Zoning Laws

• Apply for a vendor's, or reseller's, license if you will sell various products from home. Additionally, you will need to register your "doing business as" (DBA) if you use a fictitious name for your business. Apply for your vendor's license and DBA through your local county or city administration office. Also, check with your local jurisdiction about zoning laws. Some cities may restrict customer traffic, business signs or product storage associated with home businesses, warns Entrepreneur.com.
  
  

Suppliers

• You will need a wholesale or manufacturer supplier if you sell products from home. You can find wholesalers through the National Association of Wholesaler-Distributors. MacRaesBlueBook.com and ThomasNet.com can help you locate manufacturers (see the Resources section). Using a wholesaler may be a better option. Manufacturers normally require that you purchase items in lots to order at wholesale prices. Consider using a wholesaler that drop ships products. Drop shippers may allow you to purchase single units of products at wholesale prices. Most drop shippers also will ship products to your customers for you for a nominal charge.
  
  

Advertising

• Identify your target audience before advertising. For example, advertise in business opportunity magazines, like "Home Business," if you are recruiting distributors for your network marketing vitamin business. Advertise in trade publications, such as "Advertising Age" or "Business Weekly," to target consumer products executives for your marketing consulting firm (see the Resources section). Start out with classified ads because they are more cost effective. Use sales letters and brochures to tell prospective customers why they should do business with you.
  
  

Recommendations

• Always check out wholesalers or businesses with which you associate. For example, do not purchase vending machines from an out-of-state supplier without first making sure the vendor is a legitimate operator. Call the Better Business Bureau in the vendor's city to make sure there are no complaints against the company (see the Resources section). Whenever possible, use local suppliers so that you can visit their warehouse before doing business with them. Also, be alert for home business scams on the Internet and through the mail. Stay away from "opportunities" that require you to pay in advance to join.