Is it a Business or a Hobby?

An important question to the IRS is, "Is it a business or a hobby?  If you want write-offs, it had better be provable as a business.

However, I am also thinking that you should also be asking that question yourself.  At the end of the day, you want an entrepreneurial venture to make you money.  With that in mind, let's consider a few questions:
 

• Have you made any sales?
• Are there sales on the short-term horizon?
• Do you market and advertise the business?
• Have your expenses been necessary?
• Do you think in terms of return on investment?

These are a few questions that should help you get a handle on what your venture really is . . . a business or a hobby.