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Do You Have A Hobby or a Real Business: 6 Key Indicators To Know the Difference Business Articles | June 16, 2007
As every business owner knows, almost every business is born from a passion for ?some thing? that we think we can do better on our own. The need for freedom, independence and unlimited earning potential gets the better of us and the next thing you know, you are in business for yourself.


Most of us start our business with a very idealistic vision of what?s possible Cheap NFL Jerseys Free Shipping , pour hundreds of hours with very little financial return for the first few years only to realize we?ve taken a very hard road to success.


Take my client Michele PW for example. She started as a ?freelancer.? She would work tirelessly, 10, 12, 14 hours a day, writing copy until she had enough money to pay her bills. Then Cheap NFL Jerseys From China , exhausted and burned out, she wouldn?t work again until she needed more money. Frustrated that she couldn?t break the $50k mark, she realized one day that her freelancer mindset was getting in the way of creating the level of success she really desired.


It?s at this point in the game that an opportunity surfaces. The entrepreneur must make a decision. Most of us up to this point have been playing with a hobby, thinking more like a free-lancer than someone who expects to be quite successful in business. The excitement of our craft is more interesting than all that stuff that it takes to run a business (like bookkeeping, marketing Cheap NFL Jerseys China , sales, etc.) The future is unknown so we just focus on today. Profit is a mystery?so we don?t really even look at planning and revenue.


But the problem is there are certain things you MUST DO to truly create a business. The IRS considers you a hobby, and taxes you appropriately, if certain success indicators are not in place. If you don?t have these indicators in place in YOUR BUSINESS, you really don?t have a business at all?you just have a hobby.


Now it?s OK to have a hobby that you love. But if you have a hobby you must be realistic about your income potential and goals. If you have a hobby Cheap NFL Jerseys , you just won?t have the time, resources or financial capital to get past a certain point of success.


Here are a Six Successful Business Owner Indicators:


1.?You operate in a business-like manner. You have an LLC or Corporation status, not a self-employed status with your bank accounts intermingled. You also have a business identify with a recognizable brand, marketing collateral and a presence in your industry.