Why consider entrepreneurship?
To be a successful entrepreneur requires business planning, innovation and risk-taking. In short, it is a lot of work! But, there are many benefits too. Let's look at some advantages of being your own boss.
You can put your own ideas to work
Being your own boss can allow you the freedom and independence to use your own ideas. Working for someone else can suppress your creativity and drive. As an entrepreneur, your time and energy can be spent creatively by putting these ideas to work for you and the future success of your business.
You can decide on what type of business you want
Your business should complement your experience, interest and knowledge. Before you put too much work into your business, make sure that the area you choose is the right one for you. You may first want to consider what hobbies and/or interests you have, as well as your experience and background.
You make the decisions for your business
Starting your own business can be risky; however, desire and persistence along with innovative thinking are in your favour. Believing in yourself and basing your decisions on prior knowledge and experience can lead to the success of your business. However, knowing the limits of your own abilities and not being afraid to ask for help from experts or knowledgeable staff are necessary for making business decisions.
You also get to establish the policies for the business and set the tone for its culture. You can build a business that meshes well with your own personal values. This can be a significant benefit compared to working for someone else where you may have to follow policies that you do not agree with or where you may feel like your personal ethics are compromised.
You can choose the location for your business
If you are tired of a long commute or if your family is considering relocating, this may be a good time for you to start your own business. You can choose a location for your business that suits your needs, whether that means working from home, working close to home, or taking the opportunity to travel a lot and see different locations. You can choose between having a trendy downtown location or a place outside a city to avoid traffic. While you have a lot of flexibility in choosing a location, you have to consider your prospective clients' needs too, as you can lose customers by choosing the wrong location.
You have the potential to earn more
As an entrepreneur, you have the luxury of working your own hours and stretching your earning potential. Usually, this success comes with real hard work and long hours. If your business is successful, you will probably make more money than you would when working as an employee. However, the downside is that there is no guaranteed pay cheque and your hard work can cut into time for personal and family obligations.
You can be involved in the total operation of your business
Running your own business can provide you with a tremendous source of satisfaction and pride. You will be able to see your business grow from the ground up.
However, you will also be responsible for the initial capital that will be required for your business and the costs involved with the day-to-day operation of the business. You may also have to do some administrative tasks that you may not be trained to do, such as purchasing and accounting. It never hurts to get professional help with the running of your business as, sometimes, the administrative tasks take more time than the actual day-to-day operation of your business. They also take you away from the tasks where you can provide the most value.
You can turn the business into a family asset
A lot of people go into business in order to have a place for their children to work at part-time jobs and to finance their education. This can take a burden off the parents in terms of financing their children's education and also give the children valuable life skills. Depending on your children's career aspirations, you may also be able to pass the business down to them when you are ready to retire. Family businesses can also provide employment for other members of an extended family that are unemployed or underemployed.
Still not sure? Take the Entrepreneurial Self-Assessment to see if entrepreneurship is right for you.