Advantages of Starting Your Own Business:
1. Your rule, your kingdom (Boss):
Working under someone else has always felt like a restriction. However, when you are out there, setting up your own business, you are the incharge. This point itself is a boon in disguise. It gives you the freedom to choose and make a decision of your choice. It also lifts off the barriers of restriction from you.
Moreover, being your own boss means that you can run the business with your own strategies without much ado about it. This also gives the elasticity to choose your own working hours. In addition, you also have the freedom to enjoy family matters whenever it is required.
2. Your hard work pays you (and not your boss):
The biggest complaint for defending starting own business is that the hard work that they do does not feel rewarding in the corporate sector. I agree that hard work must not be feeling rewarding as the salary is fixed in the corporate sector. Everyone enjoys the benefits of their hard work.
The phrase ‘hard work pays off‘ seems relevant in the own business category too. On a longer run, owning a business have high scopes to be very successful in the future.
One of the most successful companies of its time i.e. Microsoft started its journey from someone’s garage. Therefore, there is always a scope for betterment. All you have to do is just try it.
3. Secured job (No one to fire):
Temporary or not, corporate sectors’ workers have no such guarantee of their jobs. They can be fired at any time due to any reasons. The reasons may be working performance or recession’s demand.
In your own business, you have the advantage of hiring yourself. Thus, the idea of firing yourself can never arise. As a result, you enjoy the freedom of working the way you want regardless of the fear of losing the source of your bread.
4. Secure and satisfied on mental grounds:
The driving force that pushes you to achieve better is satisfaction. You feel satisfied when you are able to do what you always want to.
For example, your passion is your own beauty parlour. Every day you do not have to wake yourself up unwillingly. Instead, your passion for your parlour will drive you.
As a result, you would always make sure to be enthusiastic about your work. Your main motive would be to impress your client. This in itself would give you peace and can be considered as a reward for you.
5. The exposure to experience all aspects:
As a corporate worker, you do not get much exposure. You simply experience one part of the job. For example, if your job is to manage the marketing of the company’s product then you solely work under the marketing team. However, if you have your own business you are able to understand and experience all the angles and diameters of your work.
For example, if you have your own beauty parlour you would have to look out for the salary, accounting, trainee fees, income, profit, etc. These things do not matter to someone who works as an assistant in the parlour.
6. No payment problems:
As an employee, you are aware of your annual income along with a little increment on your successful tries. Unless you get a promotion, your salary is stagnant. However, when owning a business you have the potential to earn more depending upon how you work and run the business. You might handle your own pricing and marketing strategies and set your own profit bar. This promises a lucrative income as long as the business is running.
Disadvantages of Owning Your Own Business:
The following mentioned are few disadvantages of business management.
1. It is a risky task:
Setting up your own business comes up with several challenges. Those tough challenges are one of the reasons for those who defend corporate jobs.
Starting your own business comes with the risk of losing everything you invested just because of an unsuccessful business.
If the business fails to flourish it falls flat on the shoulder of the entrepreneur. As a result, people think various times before opting for their own business.
2. Financial investments:
Before starting any business first, you have to set up a capital that can take the load of all the planning that you have done.
Starting with the area of work to the employees, you have to manage everything. Thus, you have to build capital.
Taking a loan for these capitals may also come off as risky, because the start of your business may not always begin with profit. It is a risky task to manage financial burdens without any backup plans.
3. You may not receive a lucrative income:
There is no such guarantee of your business to flourish instantly or continuously. You might face the vicissitudes. However, the problem arises when the inconsistent loss continuous for months.
At times like these, bigger problems like bankruptcy can appear. Moreover, if you have the burden of loan on you, the problems might accelerate out of your hands. Further, you might land in bigger trouble.
4. Freedom to work- turns into overtime work:
Your own business gives you the freedom to take a holiday when needed. You have no one above you to ask for leave. However, at times of need, you would need to work for extra hours with no extra pay. Thus, you will have to work extra and manage everything accordingly.
5. Financial obligations:
Businesses can never work out without a bit of law in it. If you start your own business, you need to set up your own assets. However, when you collaborate up with some other institute you have to share your assets by default.
When they believe that, you have done an error at a certain point they might file a lawsuit. These business obligations may also affect the capital and profit of the company.
These are the benefits and pitfalls of having your own business. However, the choice is subjective depending upon how well you can find the solution to the disadvantages.
If the advantages work well for your company and the disadvantages are hardly applicable, then setting up your own business will be a wise step. Now let us check out the advantages and disadvantages of corporate jobs i.e. corporate employment or working for a corporate.
Tips to be successful in any business
Whatever business you choose you should always know about its pros and cons. Apart from that, you should always have positive thinking and technical knowledge to handle every small aspect. If you can be successful in this then you will eventually lead a profitable business.
What to consider before investing in any business
Remember, having ample capital to invest in a small business of your choice is not enough. You also require the necessary skills to ensure its proper functioning. Before entering into any venture, it is advisable to know licensing procedures and other legalities concerned. It is better to legitimize your business since it can help you get loans and subsidies in future. It will also protect you against any lawsuits.