Whether you are starting a home based business or a traditional “brick and mortar” business many of the procedures are the same.
What are the advantages? There must be advantages or you wouldn’t be considering starting your own business.
- Well you are the boss, that’s a start. That could also be a disadvantage for some people, but for today we will consider it an advantage. This gives you independence that cannot be achieved in any job you may have.
- Control. It also puts you in more control of how you operate in the business world and you can determine the direction you wish to travel.
- Tax advantages. There are definitely tax advantages to owing your own business and being able to deduct some of your home expenses against your income is a definite plus.
- Self Employment Earnings – you do have the potential of higher earnings. As a successful business owner you probably will make more money than if you were to continue to work for someone else.
- Self satisfaction – knowing that your success is based on your abilities, skills and determination is something a lot of people do not have.
- Stress – okay so maybe being self employed will create stress but you determine how much stress you have to have. You are in control of how much or little stress you want.
- Saving money – by working from your home and not having to pay rent for an outside office or retail space, your costs are reduced dramatically. Relevant expenses that go with that are also less and don’t forget – the tax advantages.
- Flexible working hours – you determine the hours you will work and can adjust your schedule around your family needs.
- Work Environment – create your own space! I have a home office that no one else can tell me how to manage. I also have the equipment I think is necessary for me to work at my highest level and don’t have to beg, borrow or steal from an employer to ensure I have the tools I need.
What are the disadvantages? There is always a downside to starting your own business and these must be considered when considering self employment.
- Money – there is a cost involved to start your own business and there is risk associated with that. No guarantees that your money is safe.
- Stress – you will have stress created by knowing you have to perform and there is a certain level of expectation that you will have for yourself.
- Skill level – can you do a multitude of tasks that will be required of you? You will probably be in the position of janitor, bookkeeper, marketer and you won’t always have someone else to do the tasks you aren’t familiar with.
- Time management skills– can you manage your time and be able to walk away when you need to? Even as important can you stay focused without having to answer to someone else?
- Self Employment Income – this may not always be assured and there may not be a regular check for awhile. Can you afford this? Are you prepared?
- Work Space Isolation – if you work from home there is always the potential for isolating yourself and this must be considered if a person thrives in an active environment.
- Motivation – how much do you have? What is the reason you are starting your own business? Is that just a dream or can you make it a reality?
- Work 24 hours a day – you may be too accessible to your clients if they know you work from home and are too available.
Yes there are advantages and disadvantages if you wish to start and run your own business and no one else can tell you what is right or wrong for you. Each person has their own reasons for being self employed and they alone can determine whether it is feasible. If you are honest with yourself and review the lists above you will have the answer as to how suited you are to owning your own business.
PS: I always recommend education and training and if you are even half way serious of starting your own business consider these online courses through my favorite Ed2Go educational source: Start and Operate Your Own Home-Based Business Small Business Marketing on a Shoestring ** They are reasonably priced and provide excellent content. Sign up today!**
**In the spirit of full disclosure this is an affiliate link, so if you buy something
down the road I may get an affiliate commission – I only share stuff from folks I trust and like,
regardless of the affiliate commission. Enjoy!