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Homebased Business 101 Starting a business from home is your dream. So how do you make it happen? Here are all the basics you need to know to get your homebased business going.

By Paul and Sarah Edwards

Opinions expressed by Entrepreneur contributors are their own.

Whether your ambition is to run a homebased business or to grow your enterprise beyond your home as soon as cash flow allows it, starting at home is a good choice for you. Two out of three companies begin in a spare bedroom, garage, basement or sometimes even a bathroom. That's how companies as diverse as Apple Computer, Baskin-Robbins, Electronic Data Systems, Hallmark and Purex began. Of course, the Internet makes operating a virtual company from home more feasible and popular than ever. If you want to hang your shingle at home, either permanently or temporarily, here are some things you must consider:

Can You Work From Home Legally?
Most cities and many counties have zoning ordinances that limit, to one degree or another, whether you can operate a business from home. While many communities have modernized their zoning ordinances to recognize that a computer-based business isn't like a noisy auto body repair shop or an odorous hair salon, others prescribe limitations that may ban or handicap certain kinds of businesses. Here are some common activities communities' zoning codes may restrict:

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