Your 2020 Biz Resolution:

Lori Plank-Thomas has thought about starting a business for the homemade cards she makes but she says, for her, it’s easier to just stay at a "normal" full-time job.

“At some point, you become dependent on that income,” she said. “You have children and they need things and then at some point leaving to start some new business just isn’t feasible and I can’t do things at night, I’m so tired.”

She said for now, it’ll just stay a hobby– particularly because she lives in one of the most expensive cities to start a new business: Washington, D.C.

“Washington DC is tough to build in because the cost of living is extremely high,” explained Folasade Ayegbusi, owner of Suncrest Financial Services. “The cost to rent an office space is extremely expensive, especially if you have to have a street visibility. This is also true if you need a large amount of square footage. In fact, the average cost to rent a storefront in DC is $500 per month. So, to even be able to break even is extremely costly.”

These kinds of expenses set you back immediately, increasing the overall amount of income necessary to have a real profit. Plank-Thomas probably wouldn’t take out an entire storefront but many businesses that might have before, now entrepreneurs are going a virtual one. Instead of an entire studio, a yogi can teach from her house straight into yours. Clothing stores and boutiques can increase their audience size and the places they reach too.

“There is a very low barrier to entry online,” said Ayegbusi. “When you are building an online business, you do not need a large storefront, you can incorporate delivery services, and end up cutting costs in that respect,” she said.

You can see a profit much quicker because you’re keeping your overall expenses low and that just means better business.

“You can create an entire website or sell through social media,” explained DC-based tech guru Lamarr Wilson. “Even if you do have a storefront, it’s easy money to sell online once you have everything set up, you can have it all automated and the bookkeeping is even easier from there.”

Only about two-thirds of small businesses even have a digital presence, so if you don’t, be sure to make it your 2020 business resolutions