Top 6 technology challenges for home businesses

When it comes to technology, every home-based business owner can feel a little bit alone from time to time. OK, make that all the time.

There’s no help-desk or IT staff to call when your PC, Internet connection, fax machine, or other devices are on the blink. It’s your problem.

These tech challenges are not something to be taken lightly. "Some of them have the potential to put you out of business," says David Friend, president of Carbonite, a backup systems provider based in Boston.

So here are the six biggest technology challenges for home-based businesses—and tips for how to make sure you don’t fall victim to them.

1. Getting a business-grade Internet connection on a home account.   Face it, that high-speed Internet account or VOIP (Voice-over-Internet Protocol) phone system you’re relying on for your business probably wasn’t meant to be used that way. It was built for someone’s home use, and you’re probably expecting more from it than it’s going to deliver.

   "It’s the most significant challenge to the home-based office," says Clint Strong, founder and president of Connectrac, a Dallas-based company that sells floor-mounted raceway systems. Don’t believe it? Just wait until your lines are down after a big thunderstorm, blizzard, or hurricane, and try to explain to your Internet service provider that you need to be up and running now or you’ll lose business. Strong recommends selecting the most reliable of the providers and keeping your solution simple. It also helps to have some built-in redundancy (say, a phone line and high-speed Internet service, so that you’ll always have a backup).

    Tip   Ask the phone or cable company classify you as a business account. That way, you’ll get priority service during an outage. (My company reclassified me to a business account after I ordered a particular kind of Internet service preferred by businesses.)

2. Handling hackers, viruses, and malware.   Home-based businesses that store customer data—or really, any sensitive information—know that safety is a constant concern. We're not talking about the inconvenience of having a single home PC infected by a virus here. We're talking about a catastrophic loss or compromise of mission-critical data.

"Finding security tools that offer true security is a real issue for home-based businesses," says Shane Coursen, a senior technical consultant at Kaspersky Lab, a Woburn, Mass., company that develops antivirus software. Coursen says choosing the right solution isn’t easy when it’s a home business, because you become what he calls the “de facto security expert” who must install, maintain, and update the program. His solution: Find something simple but robust that addresses the specific needs of a home business.

 Tip   Windows Live OneCare offers virus and spyware scanning, firewalls, and tune-ups and is available for a 90-day free trial. Companies such as Kaspersky Lab also offer off-the-shelf solutions that home-based businesses may want to consider.

3. No IT employees.   Many small-business owners don’t know a lot about technology or don’t have the time to deal with it. Their best solution when something goes wrong is to call the manufacturer and wait on hold for hours, or call a friend who knows something about computers, fax machines, or telephones.

   The bad guys know home offices are in this IT limbo, and see it as an opportunity. "Hackers, realizing that small businesses lack the technological know-how to set up robust perimeter security, look to small businesses as easy targets," says Jessica Kalish, director of technical and corporate communications for iS3, a computer security firm in Boynton Beach, Fla. She recommends consulting with a network professional when you buy your components. That person can identify any security vulnerabilities and act as a resource when your systems fail, or in the unlikely event that they break down.

    Tip   Consider working with a Microsoft Small Business Specialist, a specially-trained expert who can respond to the technology needs of small businesses.

4. Inadequate data backup.   Regularly backing up your data isn’t easy for any business. But when a home-based company runs out of hard-drive space, chances are pretty good the data will not get backed up for an indefinite period of time. As a result, "many home-based and small businesses simply do not recover when data is lost," says Jim Gutman, a Phoenix-based IT professional who owns a 1-800-905-GEEK franchise.

   It isn’t just on-site backup that is vital to a home-based business; off-site backup also plays a critical part in keeping your company’s data safe. Even when both are in place, Gutman has seen problems with home businesses because they often don’t know how to restore from a backup, which means they lose time and, potentially, data. "It is not a question of if it will happen, but when," he says.

    Tip   Windows Vista has automated backup and restore features that can give you peace of mind when it comes to your data.

5. Buying the wrong technology.   "Most business owners are good at what they do and want to run their business, not be a technologist," says John Sarra of CMIT Solutions, a professional IT service provider based in Danbury, Conn. Result: These business owners often make bad purchasing decisions. They buy the wrong PC, the wrong printer, or the wrong fax machine.

   And when things go wrong, as they often do, they have to figure out a solution on their own. Apart from hiring an IT consultant to guide you through major purchasing decisions, Sarra suggests asking a few tough questions before buying any gadgets for the home office. "What hardware is really necessary and at what point is it just fluff or fancy bells and whistles? Do you really need a PDA? How about a multimedia PC that can play movies?" he says.

    Tip   For smaller home offices, the minimalist approach is often the best one. Consolidate functions such as faxing, printing and scanning into a three-in-one machine. Or consider merging your phone and PC using a service such as Skype. You don’t need a stand-alone device for everything. Remember, less is more.

6. Trying to be in two places at once.   Business travel can be a huge challenge for the home-based business. When you’re gone, there’s no one to answer your phone, check e-mail, and mind the store. Basically, you have to be in two places at once.

   "It’s a critical problem for business owners when they are at airports or in hotels," says Andrew Birol, an entrepreneurial growth consultant in Cleveland. His advice? Never test technology on the road that hasn’t first been proven in the office. Otherwise, you could be out of touch with your customers while you’re away—and that could harm your business.

    Tip   Use Web-based e-mail service (Microsoft Office Live Small Business offers free e-mail accounts along with a free Web site) so that even if you can't travel with a laptop, you can sign in to your account from any Web browser.

The key to overcoming these technology challenges isn't just knowing about them, but having the right attitude about them, too. Which is to say: Be proactive. Don’t wait until a blizzard, hacker attack, or business trip to do something about it. "Heading off a problem before it impacts or shuts down a business is the key," says Michael Wexler, president and co-founder of HiWired, a computer security company based in Needham, Mass.

If you wait too long, you could be out of business.

About the author   Christopher Elliott is an Orlando, Fla., writer and independent producer who specializes in technology, travel, and mobile computing. His work has appeared in numerous newspapers, magazines, and online. You can find out more about him on his Web site or sign up for his free weekly newsletter.