Can a home-based business affect your responsibilities and your Soldiers???
NO! Don't get a home based or any other kind of business involvement with soldiers of any rank. Department of Defense Regulation 5500 7-R, Joint Ethics Regulation, is very clear on this. Keep the spousal unit tidy on this, too. Now that the regulation side is clear, let's look at the moral and ethical side.
Every soldier knows that "the leader's wish is a command". So how does the soldier draw the line? The soldier doesn't, the leader does! How can an E2 know if the E5 (or the E5's spouse) is "inviting" the E2 to look at Amway, or it is really expected that the E2 buy the Amway? The E2 doesn't know. That is why the regulation is there. BTW, it could be an O2 and O5 and it's the same difference. That is also why SMs not allowed to do missionary work, or express political opinions in uniforms. How would a junior know if they are being told to vote or worship a certain way? It is just too complex. The regulation are there to protect all soldiers from uncertainty or unintentional influence. Keep it all simple!
Each service has their own corresponding regulations. Also, the type business SSG Christopher G. mentioned is called "multi-level marketing" in the sales world. Even though home-based, it's a good idea for the SM to go through the "second job" permission procedure with their commander. Reasons:
1. If the SM is suddenly deployed, the SM will have civil liabilities for that business. One of the reasons for getting permission is so the CDR isn't surprised with phone calls from creditors, customers, the SEC, etc.
2. Money will be moving. When the amount of money moving reaches a certain threshold, the CDR needs to be aware of the SM's obligations, not to mention things that will automatically kick in from the IRS and on security clearances.
3. The nature of the home business must not be in conflict with the interests of the government or good order and discipline.
4. The CDR can help young soldiers avoid scams.
This is a good question, SSG Christopher G.; Running a home-based business can be fun and profitable. It can also be hard work or get the SM in trouble (and not just with the military) if not done correctly.
SSG Christopher G: Having been a soldier and now a business executive, I'm here to tell you that the business world will do or say anything to get a buck out of the SM and family. Just be careful that the sales pitches don't woo the SMs into doing something they will regret later. Most senior officers, senior NCOs, and SMs with certain security clearances are more aware of these trappings and regulations. Also, off duty employment regs are more rigorously enforced in flight and medical units than line units. Take it from a corporate chairman: even a home-based business is a legal entity. The permits, licenses, tax filings, and incorporation certificates better be in order or the government and IRS will be up in your stuff, and they don't care what your day job is! To them, wife=husband=they don't care you both broke the law, and to DoD that is Article 134, Conduct Unbecoming.
Up-side: RP works! Some real-world experience from us old guys is wafting around and hopefully you won't have to learn about some of this stuff the hard way!