First of all, let me start off by saying that I understand this mindset of the home business owner…especially the one who is just starting out. All they want to do is make some money…no matter how small an amount. But sit down and ask yourself this question. “Is the money I’m making worth making?” If you’re not exactly sure what that means, I’m going to give you a hypothetical example that will illustrate.

Let’s take a home business where the person is writing articles for other people to use. He is just starting out so he doesn’t have much of a reputation. So he decides to charge $5 for each article he writes. The majority of the articles are about 500 words long and takes the person, between research and writing, about an hour to write the 500 word article. If you do the math, that person is working for $5 per hour. I don’t know about where you live but in most states in the US, it’s $7.25 per hour. So in essence, you’re working for less than minimum wage.

Now this example is pretty clear cut. You write, you get paid. But what about a business where it’s not so cut and dried? What if you have a web site where you are selling a product or service? Now you have to figure in time spent creating the site, promoting the site and whatever other administrative tasks you’re performing on a daily basis, such as customer support. So let’s say you’re making $3,000 a month but you realize that you’re working 100 hours a week. That comes out to 400 hours worked per 30 day month. If you do the math, you’re earning $7.50 per hour worked. That’s not much better than minimum wage.

Most people are grateful to make the $3,000 and I can understand that. But shouldn’t you really try to make the most out of the time you spend on your business? Well, there are two ways to do this. One way is to find some hours that you’re putting in that can be outsourced cheaply. This may increase your expenses slightly but it will also increase your wages per hour as long as your outsourcing costs are less than your hourly wage.

Another way is to simply sell a product or service with a higher price tag. A lot of home business owners seem to think that it’s harder to sell a more expensive product. The truth is, it’s not. There is a market for all kinds of products. The key is to go out and find it. If this weren’t true, we’d all be buying $10,000 automobiles and Lexus would go out of business.

Bottom line is this. You need to take a good long look at your business and see if you’re not just working another minimum wage job. If you are…something is VERY wrong.

To YOUR Success,

Steven Wagenheim

Looking for a solid 4 step plan to building your own business…FREE? Pick up my free report at http://www.stevewagenheim.com/4steps.html and get started TODAY!