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In 2001 I was a one man business - and incredibly happy with it.

I had one service product to deliver.
I had a portfolio of very satisfied, faithful clients producing a very steady supply of orders.
The "office" was a room in the house.
I didn't have to deal with staff. Or VAT. Or much in the way of red tape.
The total monthly operating costs of the business (including rent) were covered in the first four days of trading - the rest of the month ...