Pros and Cons of Being a Small Business Owner
Welcome to the world of owning your own small business! Whether you’re a young, inspiring entrepreneur or you’re tired of the daily routines of working your office job, taking this plunge is a huge risk, and it can be intimidating. However, with great risk comes an even greater possibility of a huge reward.
Before jumping in, it’s important to understand exactly what you’re signing up for. In this article, we uncover the different pros and cons you’ll experience as you make your way on your own business journey. From the thrills of calling all the shots to the (unfortunately) inevitable long working hours, we’re uncovering it all. So get yourself comfortable and prepare as we explore the wild and wonderful world of small business ownership.
PROS:
1. Being Your Own Boss
Do you ever find yourself daydreaming about standing at the top of a huge corporation as the CEO? Wearing fancy suits, having assistants, having full control of your own schedule, making every major decision in your company -- all the benefits and opportunities that business owners have can be yours! The best part about it all? You won’t have to climb your way up the corporate ladder to make it there. All you need is great management skills, an innovative idea, and understanding of what it means to own your own business. As the owner of your small business, you’ll have full control of not only just your company, but also of yourself. You won’t have to experience a higher-up telling you what to do because you’ll be the higher up. No more long days of hearing your manager scold you for missing a deadline; no more late-night calls from your boss asking you to take on more hours; and no more dreaming of all the luxuries and opportunities that other CEOs experience.
2. Having Full Control
Being your own boss and having full control over your small business go hand-in-hand. Instead of listening to and obeying other people’s decisions (whether good or bad), you’ll be making them yourself. Ever get tired of others not listening to your great ideas? Well, as a small business owner, you’ll be the ones thinking about all the ideas. Your business is your vision, and you have full autonomy of making your dreams a reality. Branding, rebranding, creating your own unique online presence, controlling the quality of your products and services, managing customer relations, coming up with new ways to advertise to your clients -- the list of choices you can make as your own boss is endless. Using your creativity and knowledge, you will be responsible for most (if not every) decision in your business, and living through the success that comes with these ideas comes a sense of pride and accomplishment that is hard to come by if you work at a typical office job.
3. Profits!
One of the biggest con of working a typical job is the salary cap. You have a yearly income, and it’s so hard to get anything more than what you’ve already signed up for (unless you spend years working your way up). However, as a small business owner, you are able to make as much money as your business makes. Your profits rely on the success of your business, and if you continue to strive for success and see tangible results, you can find yourself living the luxurious life of a huge CEO. The best part? All of your success, all of the results, and most of the profits are completely yours to have.
CONS:
1. Financial Investments/Risks
Now we’re getting into the not-so-fun parts of being a business owner. In order to start your own business, you’ll need to make some major financial investments. You want to make money off your small business, but you’ll need to first put in some money to get your business up and running. Getting a business license and permits, setting up an office or storefront, operating costs (rent, utilities, employee salaries), marketing and advertising, legal and financial advice -- these are all things that you will/might need as you start your own business, and unfortunately those things cost money. Managing a successful business and making profits aren’t going to happen overnight, so it’s important to have some money saved up to cover your bills as your business gains traction. It’s also important to have a back-up plan just in case things don’t work out in your favor.
2. Long Hours
Your business will require a level of attention that you probably haven’t experienced in your past jobs. Usually, you would clock in, work, and then clock out at around the same time every day. Unfortunately, small business owners don’t get that luxury. Yes, you have full control over your daily schedules; however, you’ll find yourself working more and sleeping less. There are countless responsibilities that you’ll have as a business owner, you’ll soon realize how much time and attention they require. It’s tempting to stay focused all day and night to work on your small business, but the effects of pushing yourself to the limit every day will hit you before you realize. It’s important to set healthy boundaries in your own workspace. It’s critical to put your needs before your business’s wants; give yourself the same attention that you would give your company, and remember to take care of yourself. Schedule relaxation times, establish working hours and stick to them, and prioritize your sleep.
3. High and Lows
One of the greatest pros that comes with being a business owner can also be one of the greatest cons. It’s amazing that there isn’t a limit to your yearly income; making more money as you reach higher levels of success and achievements is great! However, there’s two sides to every coin. You can make as much money as your business, but you can also experience inconsistency with your income. There may be times when business is slow; there will always be highs and lows in the market. However, don’t let that discourage you! Remember, you won’t necessarily have a steady income like you would at a typical 9-5 job. One year could be extremely busy, while the next could be slow. Remember that profits aren’t the only signs of success as you run your small business. Achieving great customer retention rates and satisfaction, seeing more customer interactions, watching your social media presence take off -- these are some of the other signs that your business is reaching higher levels of success.
With every decision you make in life, there will be advantages and disadvantages, and this holds especially true when you start your own business. As you continue your own research of what it means to be a small business owner, remember to take a lot of time to reflect. Do you believe you’re ready to take the plunge? Are you aware of the risks that you’ll be taking? Are you willing to put the work into managing your own business? If your answer to these questions is an unwavering “yes,” then you might be one step closer to achieving your dream of running your own small business.
If you want to read more about Barbie’s journey as a small business owner, check out the rest of her page at barbiepatel.com. Or if you want to learn about her bridal services, visit her website at cinderellabridez.com.