Many people think they would like to work for themselves, but comparatively few ever take the plunge, and it isn’t hard to understand why. If you work for someone else you get benefits such as vacation time, days off, healthcare contributions and the like, as well as a regular income and a different level of responsibility. By comparison, the uncertain income, loss of any kind of benefit or right to time off, and the taking on of the entire responsibility for your business and your wealth can seem a little daunting! However, the rewards for taking such a risk can be many and great.
Potential benefits
If you have an entrepreneurial spirit, then working for yourself is a joy, because you have the freedom to make decisions and drive your business forward the way you wish. Being an employed entrepreneur can be quite frustrating, as you can feel like your brain is working far faster than those of your superiors, and at the very least you long to be the person calling the shots. Once you are self-employed or start your own business, you are able to spend your time doing the work that you feel passionate about in the way you think is best, and the satisfaction of making a success out of your venture is highly rewarding. Even the long hours very often don’t feel as arduous as they might sound, for if you love the work you do, it feels less like work, and more like pleasure.
Potential downsides
You do need to be realistic about your abilities and have a sound business plan in place because suddenly deciding to quit your job one day in the belief you’ll start earning the next is sheer folly. You will need savings, borrowings or investment to fund a start-up, and there is a lot of work required to ensure the finance is in place and you have the right strategies planned for all the aspects of your new business. If you intend to freelance, you will have fewer overheads, but you will need to have a reserve to live on until you start making money, which can take a good few months if you’re starting from scratch. You should be thinking about saving for your self-employed status for several months, if not longer, depending on how much you have already saved and how much you earn. It’s also sensible to invest a proportion of your savings so they can be earning you an income while you establish yourself. Don’t invest in anything too risky, as you don’t want to put your money in jeopardy, and make sure you keep informed with detailed analyst stock ratings for any stocks you follow.
Making the decision to go it alone in your career takes courage but shouldn’t be the result of a rushed decision. Plan carefully and meticulously, leaving nothing to chance, and ensure you can support yourself if it takes longer to start making money than you envisaged. If you have the drive and passion for going with your plan, then you too could start enjoying the pleasures of being your own boss.
About Carson Derrow
