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Are you starting your own business and looking for ways to save money? Do you want to test the sometimes turbulent waters of business before signing a lease for office space or obtaining a mortgage for a building? Is your company well-suited to operating in a virtual environment? Are your employees willing to work from home, their cars, or other mobile locations? Or do you believe that the environmental benefits are sufficient reason to consider a virtual work environment?

Whatever your motivation, we will walk you through some of the issues you will face when establishing a virtual office. We'll also go over some of the benefits and drawbacks of operating solely in cyberspace.



But where are you going to do your work?
Your office is technically wherever you are. With today's technology, you can conduct business from almost anywhere. Your office could be in your home, car, airport, beach, or even on top of a mountain. In most cases, whether you travel or not, your office will be located in your home. If this is the case, you must have a proper setup. This includes a quiet location away from the distractions that come with being at home. These include the refrigerator, television, children, lawn work, dishes in the sink, and so on. It can be a source of distraction.

First impressions are extremely important.
But what about your company's address? If you run a home-based business, you probably don't want your home address to be used as the business address. It may not give the impression you require depending on the type of business. You have two choices in this situation. You can rent a post office box or use a CMRA (Commercial Mail Receiving Agency) mailbox service, which will provide you with a corporate-sounding address as well as a suite number.


Configuration of a Virtual Office
If your job requires you to travel to client sites or other locations away from your home base, you should probably consider purchasing a laptop computer rather than a desktop system. You'll always have your files with you if you use a laptop, and you won't have any embarrassing moments where you leave an important document at your office because...well, your office is with you. While a laptop may appear to be a bit cumbersome to always travel with, there are many lightweight models that are very powerful available. Just make sure you get a good carrying case with a shoulder strap and enough space for your hard copy documents.

If working from a laptop's keyboard and small screen doesn't appeal to you, there are other options. Yes, they've considered everything! A docking station, into which you can simply plug your laptop, can be set up to make using your laptop in your home office more efficient. Docking stations make it simple to keep a standard monitor, keyboard and mouse, printer, fax machine, scanner, and other peripherals connected and ready to go.


Other equipments and hardware options to consider are:

If your final documents require crisp, high-quality black and white output, use a laser printer with a resolution of 600-1200 dpi. Laser printers also provide the fastest output, so if you know your volume will be high, a laser printer should be considered.

If your documents require high-quality color illustrations, photos, or charts, use a color laser printer. Because these are quite expensive, compare the print quality to that of a less expensive inkjet printer.

If you need high-quality text, colour charts and graphs, or photos, use an inkjet printer. The paper used in ink jet printers often makes the most difference in print quality. Purchase the most appropriate paper for the job at hand. Also, before you buy, get a test print from different models to compare quality. Ink jet printers can produce high-quality results but are slower than laser printers.

If you will need to fax paper documents frequently, you should invest in a fax machine. There are also online faxing services available, such as E-Fax.

If you need to scan documents or photos, you'll need a scanner. A scanner combined with e-mail or fax software can also be used in place of a traditional fax machine.

A CD burner (CD-RW) if you need to send large files to clients electronically or if you want to back up your files on CD. A CD writer has numerous business applications, not to mention the ability to create your own music CDs.


Software for Virtual Offices
On the software front, you have several options to choose from. Fulfilling your software requirements is not difficult if you work independently and do not need to coordinate with others. Here are some software categories you may require, along with links to some of the most popular packages:

an e-mail program — You can use the e-mail program provided by your ISP, but programs like Microsoft Outlook Express or Eudora will provide you with good e-mail functions and will not require you to change programs if you change ISPs.
Microsoft Word, WordPerfect, and Lotus Word Pro are examples of word processors.
Microsoft Excel, Lotus 1-2-3, and Intuit QuickBase are spreadsheet and database programs.
Microsoft PowerPoint or Astound are two options for presentation software.
McAfee or Norton AntiVirus virus protection software

Group software requirements
If you work with others and need to coordinate scheduling, access central files, keep a contact manager, meet in chat rooms, and so on, the task becomes more difficult. There are software solutions available, such as Lotus Notes or Novell Groupwise, that provide these types of features. These solutions may necessitate extensive computer knowledge and the services of an IT professional to manage the system.
As an alternative, there are online management services that offer these types of services via the Internet and can be accessed through your browser. These are relatively easy to use. They provide numerous features to promote information coordination among team members, client interactions, or simply communication and file sharing with coworkers. They typically charge a low monthly fee per user or a higher flat rate for unlimited users.

Other Items to Consider
In addition to computer hardware and software, you'll need a good phone. Caller ID assists you by allowing you to screen out telemarketers and other calls that you are unable to accept at the time.

A surge protector is required not only to provide additional outlets for your computer and peripherals but also to protect your equipment.

You'll need a desk with a lot of space. It should have room for a computer and enough space to spread out paperwork if necessary. This is best accomplished with a corner "L" shaped desk. Check that the desk has a large keyboard tray that can hold your mouse pad and mouse. Many computer desks lack sufficient tray space.

Tools for Virtual Business Communication
Communications are vastly different today than they were even 15 years ago. An E-mail has become a way of life and the only means of communication for some people. There is no comparison between how you communicated in business in 1985 and how you communicate in business today. You most likely used your office phone and... well, there wasn't much else back then... maybe a telex machine. However, fax machines soon entered the market, followed by car phones and e-mail. After that, things changed quickly. As technology advanced, so did expectations for the amount of work produced.

With technology advancing at such a rapid pace and workloads increasing in tandem, the desire to work from home and alleviate some of the stress associated with commuting, juggling family life, and so on has become very strong. In that regard, the same technology that took away our freedom is now giving us more freedom than we've ever had... except before technology forced us to work so hard!

Establishing an Internet Connection
All of this hardware and software will be useless unless you have access to the Internet. If you can get access, a broadband connection is your best bet. Broadband simply refers to a high bandwidth technology, such as DSL or cable, that enables you to send and receive files, sound, and video over a single connection.

If you can get cable in your home, you can probably also get a cable modem and Internet access. DSL uses your standard phone line, but you must be relatively close to the provider's central office (in some cases 3-4 miles). See if DSL is available in your area by contacting local providers. Many service providers provide online tools that simply require you to enter your phone number to see if service is available at your home.

If you live in an area without cable or DSL, you can still get Internet access via satellite. These systems provide fast connections but necessitate satellite dishes, receivers, and special modems.



What about meetings with clients?
Client meetings cannot always take place in cyberspace or at the client's location. If you find yourself in this situation, instead of having the client come to your house (assuming they are in the same city), look into executive suites or hotels that offer space that can be leased for short periods of time. If this happens frequently in your business, you might want to consider leasing an Executive Suite, which includes a receptionist, voice mail, e-mail, and other services, as well as time-limited access to private offices, a reception area, and a meeting room.

The Virtual Assistant
You knew exactly how to get the administrative part of your work done back in the good old days of corner offices with big windows and a secretary outside your door... your secretary handled it. But what if you don't have an office or a secretary outside the door? The answer is simple: a virtual assistant is provided in a virtual office (VA).

Simply enter "virtual assistant" into your preferred web browser. There are numerous links to sites built, managed, and maintained by the people who used to sit outside your door and assist you with business management.

What should you be on the lookout for?
Aside from the flexible work hours and lower costs, the advantages of using VAs include the wide range of skills available. Although AssistU defines a Virtual Assistant as someone who provides long-term administrative support to clients, many people refer to themselves as VAs and offer services ranging from basic data entry to web design to accounting. Check out samples of their work and talk to references. When speaking with their references, inquire not only about the work's quality but also about its speed and accuracy.

Creating policies for virtual offices
If your company has employees working from various locations and telecommuting to your "virtual office," you should consider creating some home office policies. This will help standardize each worker's capabilities, ensure compatible workflow throughout your system, and assist you in managing your employees in cyberspace.

Consider the following issues in your guidelines:

Home office location — Encourage employees to set up their home offices in separate rooms so that they can work uninterrupted.
Home office equipment – Provide or specify (depending on the situation) the bare minimum of computer systems for your employees.
Computer software — Standardize the software programs used so that files are compatible and document collaboration is possible.
System login procedures — Keeping track of who accesses central databases and when may assist you in managing security as well as your staff.
Time-sheet submission procedures.
Accessibility requirements during regular business hours — Because of the flexibility of working from home offices, you and your employees will frequently work odd hours. Don't let your freedom prevent you from being accessible to coworkers or clients.
Procedures for forwarding phone calls or e-mails when employees are required to leave the office during business hours.
Protocols for client interactions should include e-mail protocols (because we use less formal language in e-mail), traditional correspondence protocols, meeting place protocols, and any others that may be applicable in your business.

Virtual business legal ramifications
There are several legal issues to consider when working from home. First, is your house in a commercial zone? What kind of business can you run from home? Check your local zoning ordinances to ensure you don't need any special permits or licensing, and that you don't have any restrictions on what you can do from your home. If your business requires clients or customers to visit your home, parking may be an issue.

There are also the obvious tax implications of running a business (or simply working) from home. If you want to claim a home office, the IRS has tightened the rules so that you can't use it for anything other than work. So, if you work from your dining room table, you probably won't be able to claim the home office deduction. There are some exceptions (for example, home childcare), so contact your tax accountant or attorney to learn more about the law as it applies to your situation.

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