Being your own boss means responsibility, but being your own boss also means rewards. Setting goals and consistently working toward them means you will reap the rewards of a successful business. There are many benefits of a successful direct sales business.

If you are involved in direct sales, or thinking of jumping in, you are already aware of some of the benefits the industry offers. These well-known perks are what draw so many of us to start a direct sales business. Perks such as being your own boss, a flexible work schedule, new social interactions, free products, personal recognition for achievements and an income potential limited only by your efforts make the decision to jump in and start a small business an easy one. And this list of perks is usually enough for most of us to make the leap. But did you know these aren’t the only benefits of operating a direct sales business?

Of course you knew that!  You are one heck of a smart business owner! And people like you who are operating a direct sales business are learning all kinds of amazingly useful business skills that transfer over to other parts of our lives. Are you more comfortable speaking in front of a group after having a year full of parties under your belt? If so, maybe you’ve found your voice in meetings at your day job or have volunteered for the PTO president position because of this new found confidence. Are you learning new computer and social media skills as you enter orders, create invitations for parties and manage a customer VIP group? If so, maybe you are sharing with your team so they won’t have to start from scratch. These are some of the more obscure benefits of operating a direct sales business.

Another not-so-common benefit is the potential to offset a portion of your personal income with your business loss. Yes, you read that right! Businesses don’t always make a profit; especially when starting out. If you, like most direct sellers, operate as a sole-proprietor, you may be able to offset the loss your business incurs against your other income. Other income such as income from a job, investment income, or your spouse’s income if you file a joint return. Business do show losses from time to time, but use caution; reporting a loss for your business too many years in a row will draw attention from the income tax powers that be.  In fact, if your business is showing a loss year after year you might want to evaluate whether you are operating a for-profit business or engaging in a hobby. Wondering what the difference is?  Use these tips to help you decide if you have a business or a hobby. A business will mean more deductible expenses, but a hobby just might mean less back office work for you.

As we wrap up the Now We Know series, we’re hoping you have learned lots of fun information about the direct sales industry right along with us. Do you have some other interesting facts to share? We’d love to hear from you! Have questions you need answers to? Give us a shout over on our Contact Us page. We’re here to help!