Setting a budget is of special concern for people with limited means who want to work at home on the Internet but have some doubts about how much much capital investment they require to get started, and how much will be needed each month to maintain their business.

Firstly, you will need to consider the costs of purchasing a computer and access to the Internet. If you do not have Internet access you can still do business on the Internet via a library portal or an Internet cafe, but of course you will need to calculate the costs of getting to and from those places and using their facilities.

Secondly, setting up online is much cheaper than starting a franchise where you would probably have to invest thousands or in some cases millions of dollars. You can set up an Internet business for less than $100. There are many examples of people who have started Internet businesses virtually free.

A fast way to research free business ideas is to run a search on Google for the phrase "free Internet business" and work your way through the many good, bad and indifferent opportunities that are listed. You will find that there is an almost inexhaustible supply of free Internet business opportunities to get your entrepreneurial teeth into.

Thirdly, you will have to budget for those times when a small investment is needed in order to get your business moving forward. It is better to plan for expenses like this by setting aside so much per month in a development fund. This will keep your money, your outgoings and your business development under better control.

Likewise, if you decide to run an email marketing campaign, you may need someone to write your letters or set up your autoresponder. Even if you can do these things yourself, you need to decide whether or not your time is best served doing such things or whether it wouldn't be more efficient to harvest out such jobs and concentrate on marketing your business. There are many people qualified and willing to help you get started online at a reasonable price at websites such as eLance.com. Check out the prices of these services before setting up your business.

Fourthly, some Internet businesses require a membership fee, or activation fee. Network marketing businesses and Internet businesses that sell high ticket products are examples of this. Do not forget to factor these subscription costs into your monthly budget.

Fifthly, there are still other ways to start your Internet business for free, such as affiliate marketing, which allow you to set up and be ready to run your own Internet business in just a few minutes.

Blogging is another example of starting an Internet business for free. Both WordPress and Blogger.com allow you to set up your own blog in a few easy steps. You can monetize your blog by offering affiliate marketing products, private label right products, or Google Adsense ads.

By using these free methods to keep expenses down to a minimum, and by setting a budget and putting aside a fixed amount each month for capital and one-off expenses, you will be improving your chances of Internet marketing success.