Whilst using a home address for business might be both a convenient and cheap option for becoming self employed, there are also some disadvantages of this method of operating. For example, the image portrayed to potential clients might not be a desire one.
Businesses generally assess the risk of transacting with other entities, especially when large sums of money are concerned.
Having an office address located in a residential area might portray the business as both small and new, and consequentially, make it harder to both gain customers and obtain favourable credit terms from suppliers.
The specific issue might be overcome by using a virtual office service.
Using a home address for business might create some disharmony within that environment, with telephones constantly ringing, children having their own set of priorities, and the barrage of post which usually accompanies a business address.
In addition, the thought of potentially spending days not leaving the home might be unattractive to some and deeded to be unhealthy.
The journey to and from work for some people is a relaxing time, a period where they can read a book, enjoy driving, listen to the radio or collect their thoughts. Starting a home based business would mean sacrificing this luxury.
There is a distinct possibility, even with online businesses, that customers might arrive, unannounced, at the doorstep. As well as being inconvenient, this might be seen as an invasion of privacy particularly by a partner and if the visitor has a complaint and is unreasonable vocal.