Using SOHO business services, pros and cons

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The SOHO, or small office/home office, movement is growing at a fast pace as more and more people are starting their own small or home-based businesses. SOHO companies are those that have just 20 employees or less. Currently, there are approximately 40 million SOHO businesses in the United States alone, and they are increasing at roughly a million more each year.

SOHO businesses face a unique set of challenges that larger businesses don't have to contend with. Generally speaking, they have less money and fewer resources than bigger companies, and their limited number of employees make it difficult to cover all aspects needed to run a business.

With that in mind, there are many business services that cater specifically to the SOHO market. These services provide employees, services, and other helpful information to SOHO companies.

If you are thinking of using a SOHO business service, consider the pros and cons first:

Pros
There are a number of advantages to using SOHO business services, including:

  • SOHO business services can fill in gaps. Small companies typically don't have departments or specialized services, like information technology experts to handle programming and computer glitches or marketing writers to write professional copy. A SOHO business service can provide these things and fill in the gaps your company may be lacking with qualified services and personnel.

  • Online SOHO business services can connect you with others in your situation. Some online SOHO business services exist, allowing you to join for a fee. These fees allow you to receive continually updated news and information pertaining to small and home businesses exclusively, and they also give you access to online communities that allow SOHO businesses to talk with and get advice from their peers.

  • They can help you appear more professional as you start out. Often, new businesses lack certain resources that make them competitive in their market. A SOHO business service can provide you with those resources temporarily until you have the means to hire the staff or products you need. This is advantageous because it can help you appear more competent to your customers and allows you to offer the same services that your more established competitors provide.

Cons
You may want to keep in mind the following cons before using a SOHO business service:

  • They can be pricey. While they may save you money in the long term and can be considered a business investment, SOHO business services can be expensive, depending on what you need and how long you need it for. Hourly rates, flat fees, and monthly website or membership fees can add up. For businesses with a small budget, this can put a large dent in the budget.

  • You have less control over your workers. If you use SOHO services to find temporary employees, you will probably have less control over those who are working for you, as they report to the business service, not you. In addition, using temporary SOHO business workers can be a disruption to your business or home, with different people coming and going. You also don't have the ability to interview and choose your own employees.

For the small office/home office business market, SOHO business services can be very beneficial. However, at the same time, they may not be worth the money. It's important for SOHO businesses to weigh the pros and cons before using a SOHO business service.

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