If you are planning to start your new business on a small scale, you may probably be the only employee in the beginning. At the initial stage of starting a new business, funds are usually limited. You must be facing the question that how to setup a home office effectively.

Setting up a home office initially may be the best option available for you, a convenient and low-cost method. It may sound easy, but working from home requires proper planning and effort. You can start initially by setting up a budget. Here are a few tips for setting up a home office that may prove to be helpful for you:

Choosing Proper Space

One of the major home office setup ideas is to get a proper space that is separate from your living space and provides you privacy. Keep your workplace separate from the place you use for relaxing purposes. Make sure the room you intend to use as your office has sufficient electrical outlets.

If you are using any other part of your house except the office for storage purposes, it will be added to your office space. Measure your home office space and calculate its percentage. This needs to be done for tax deduction purposes.

Select the Furniture

Having appropriate furniture is necessary to create a professional environment.

  • The most important furniture is your desk. Measure your office space and check the desk before you purchase it.
  • Another important piece of furniture is your desk chair. Remember that you have to spend a lot of time sitting on it. It should be comfortable and fully adjustable.
  • An adequate filing cabinet will be enough to complete the best home office setup you will need. It will keep your office organized. The size of the filing cabinet should be in accordance with your office space.

Get the Needed Equipments

Having necessary equipment is very important to work efficiently. The right office tools can also help you to boost your productivity. You should have following essential equipment:

  • A desktop computer or a laptop is the basic need. If you are opting for a laptop, you may also get a mouse and a keyboard to plug in occasionally.
  • A phone set within easy reach.
  • A printer, not an expensive one but a simple inkjet printer would suffice.
  • A fax machine for occasional use.

How to Setup a Home Office Professionally

Home office layouts must be professional. If you find it difficult to start by yourself, you may hire a professional. Your filing cabinet and your equipment should be within reach from your desk. The office should also be in accordance with the type of business you operate.

Get a Separate Phone Line

When setting up a home office, it is advisable to get a separate phone line for your office. It keeps your professional and personal calls separate. You should also get a voicemail or answering machine for your business phone.


Many people start working from home for convenience. When setting up a home office, you may actually end up working more hours.

Try to keep track of time. Pre-decide your office hours and avoid distraction during those work hours. Finish your work at your pre-decided time.

Get Things Organized

Start working on your deductions and get a home business insurance policy. Small business financial software can be used to track your income and expenses and suggest deductions.

Keep a record of all documents. You can also look for an easy-to-use online time tracking and billing software program. You also need to get a home business insurance policy and a good business checking account.

Keep your office clutter free and organized. Remind your family and friends to keep away from your workspace and respect your privacy.

Summing it up

Now that you understand how to set up a home office, you can get started. The task may seem a bit difficult when you start but all you need is a bit of proper planning and determination before you start. If all the work seems overwhelming to you, you may look for professional guidance. All the best for your new venture!