Start a Home Party Business

Start a home party business and join the millions of successful and satisfied people who sell products directly through home party plans.

• Choose the Right Product The first step is deciding what you want to sell. There are limitless options available and selecting the right one depends entirely on your own preferences. The product you select is the focus of your business, you need to be enthusiastic and believe in your product in order to persuade people to buy it. Your customers must be able to see your excitement in your product. Consider the following:

  Does the product add true value to people's lives? You should be convinced that the product really works, is well made and has good results.
  Is the product a consumable or a one-off purchase? Will you be able to generate repeat sales with the product? Products, such as candles, that are consumables can provide an ongoing stream of income from returning customers.
  Is the product competitively priced? The product should not be too expensive. A unique or exclusive product offers a great selling opportunity as guests may not be able to purchase the product elsewhere.
  Is the product easy to display and demonstrate? The product should lend itself to demonstration. Products with major techncial instructions can be difficult to present.
  How long will the product be in demand? Try and find a product that has longevity. Fad products do not give you long term customers and repeat revenue.
  

  Before you start a home party business make a detailed list of the possible products you could demonstrate and sell.

• Which Home Party Plan? Once you have made a list of possible products you need to spend some time properly researching the best party plan option for you. There are many different types of direct sales companies. Some have been around for decades and others are relatively new. Research companies that interest you online. Contact the the company and ask for information about their home party plans. Some companies will refer you to a local company representative to help you. This is a valuable resources as the representative can answer any specific questions you have about how to start a home party business. You need to consider the following criteria when evaluating the plan - the initial costs and fees, what is included in the start up kit, training and support, buyback and returns policy, purchase requirements and the compensation plan. What sales tools and resources does the company offer such as good quality catalogs and training manuals? Google the company to check on their reputation. See if they are mentioned in direct selling forums and message boards. Check if the company is a member of the Direct Selling Association by going to www.dsa.org and clicking on the membership directory. Find out more about Selecting the Right Home Party Plan

Plan your First Party Once you have purchased your party plan it is time to start organizing your first home party!

Begin by making a list of potential guests. Think of friends, neighbors, and relatives. It is best to start with people you know well so you feel more comfortable demonstrating your products for the first time! Friends and family are great to practice on when you start a home party business! You can set two or three optional dates so that you can accomodate everyone.

Ensure that you don't have too many people for the size of the party venue or room. A crowded party makes displaying, demonstrating and discussing products more difficult. Start inviting your guests and keep careful records of who is coming to facilitate your catering and as a start to keeping detailed customer records. Give your guests enough notice but you will also need to remind them closer to the date. You need to be well informed about your products before you do your first demonstration. Learn everything you can about the company and the products. Practice setting up your product display and your demonstration. Run it by your family and ask for feedback.

• The Next Step The party isn't over when you have made your sales! Have a follow up plan in place for your customers. If they have placed orders make sure you follow up about delivery times. If they have purchased the product at the party follow up to check if they are happy or have any queries. If they are positive about the whole experience it is a good opportunity to ask if they would be willing to host a similar home party for you.
• Keep records When you start a home party business you are starting a proper business and you will need to keep proper records. The IRS recognizes home-based selling businesses as legitimate businesses and has certain revenue and expense reporting requirements. In addition to proper sales records you should build up a customer database to help you with future marketing and sales efforts. You can visit www.irs.gov to find out which responsibilities you need to meet as a small business owner.

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About Home Party Businesses

Start a home party business and have fun while making money at home

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