Thinking about entrepreneurship? You’re not alone. Every day, more and more people dream and hope one day to have a business of their own that not only offers them the opportunity to dedicate themselves to something they are passionate about, but also allows them to have more freedom with their time and money.
However, despite the fact that every day there are more and more people who have that entrepreneurial spirit, not everyone has a deep understanding of what entrepreneurship means: advantages, disadvantages, how to start a business, what kind of profitable businesses can be developed today, etc.
Therefore, in this post we will explain what are the positive and negative points of having your own business, in addition to giving several tips for those who want to start in this world.
Advantages of having your own business
Let’s start with the good news: let’s look at the advantages of getting started and saying goodbye forever to bosses and office hours!
You don’t have to take orders from a boss
When you start a new physical or internet business you have the advantage of being your own boss and achieve the so longed for work autonomy. You can organize your own patterns, tasks and activities according to your work rhythm, preferences and availability.
Being your own boss allows you to discover your ideal work methodology and learn things you may never have imagined doing.
You choose your working hours
Another great advantage you have when you start and create your own business is that you can choose your work schedule and combine personal, family, couple and professional life.
This is something you have to handle very carefully: not having a schedule to keep can be tempting to do a lot of things and leave work aside, so we recommend that you take advantage of this flexibility in a smart way and learn to manage your time very well and prioritize activities according to your goals.
You choose where to work
When you start up – especially if you decide to create some kind of digital business – you can work from anywhere. From your living room, your bedroom, the nearest library or your favorite bar. Anywhere is perfect for getting inspiration and making money.
You can create something that leaves a mark
Starting and growing your own business is a great opportunity to create something that is important to you and leave a mark on the world. Today there are a lot of profitable businesses and entrepreneurial initiatives that more than producing money seek to meet a need, fill some kind of gap and make the lives of their customers much better.
You can devote yourself to what you are truly passionate about
There’s no point in getting into something you don’t like, is there? When you start your own business and work for your own benefit you have the opportunity to work on something that you are really passionate about and motivated by.
Could there be anything more rewarding than that?
You can make a lot more money
That’s right, when you undertake you stop working for the economic benefit of someone else and start getting more income for yourself. The income from your business may be miniscule at first, but in time you will begin to realize that it is worth it.
Making more strategic decisions
Having your own business teaches you to think much more about things before you do them and to make more strategic decisions – a bad decision could cost you the success of your entrepreneurial project!
You have more flexibility to be with your family
Another advantage of having your own business is that if you are well organized and productive, you have more flexibility to be with your family and friends.
In fact, you can become a digital nomad and earn money online while traveling with your family.
Disadvantages of having your own business
Now we’ll show the downside of having a business of your own. Let’s see:
The responsibility is much greater
When you own your own business all the responsibility falls on your shoulders, that’s why it’s very important to prepare yourself very well before starting, especially on a financial, academic and psychological level.
The risks are greater
There’s a lot at stake when you make the decision to undertake. We could say that there will always be risk and the possibility that the business will not work, that you will lose money and that you will have to go back to look for a job.
You have to worry about all areas of the business
One of the big differences between having a permanent position in a company and being the owner of a business is that in the first one you only have to worry about your own responsibilities and activities, while in the second one you have to be aware of all the areas of the company.
Yes, even though you have other people helping in the business, an entrepreneur should always watch and supervise that everything works well.
You might be working too hard
When we talked about the fact that when you undertake you do not have a fixed schedule, we not only referred to the fact that you can have free time when you want, but also that if necessary, you may have to work too much.
It can be stressful
Owning a business can be stressful: having the uncertainty and fear of not selling enough to pay the bills is almost inevitable.
How to start your own business
If the advantages seem attractive and the disadvantages don’t discourage you, look at some tips on how to start your own business. Let’s see:
Define the market niche of your own business
In this post we have stressed the importance of being involved in something you are passionate about and know how to do very well. However, it is also important that you start a business that is in high demand and that, of course, generates profits.
It is important that before you start, you prepare yourself and take into account key points, such as defining your market niche and selecting the one that is most advantageous for you and your finances.
Conduct market research
Market research is ideal for those who want to start a business and want to know if their proposal is profitable or not.
Do you want to learn how to do market research and make decisions that will help your business grow? In this post we show you 4 options to make yours.
Create a buyer persona
A personal buyer is a prototype of the ideal client for your business proposal. When you have a defined and clear buyer person it is much easier to define the product strategies, price, place and promotion of the product or service you plan to develop.
Although there are entrepreneurial options that make it possible to create your own business without having to invest a single penny, it is advisable to prepare yourself financially before investing, especially so that you can at least cover your basic needs while the business begins to make a profit.
Create a business plan
A business of your own is not something that can happen overnight, much less by improvisation, so it is important that you establish a business plan in which you detail information such as the steps to be taken and the available budget.
The business plan is a strategic document that will guide all the actions of your company, the idea is that this plan anticipates all possible scenarios for your business. To create it you need to have a clear idea of your short, medium and long term objectives, keeping in mind a period of twelve months.
Create a marketing plan
Marketing is everything these days. For example, let’s say you have an innovative business idea and the budget to get it off the ground immediately and hire the best people in the area to support the project; however, you still need to get people to know your business and encourage them to spend their money there. You can do all this with a marketing plan. Do you see how important it is to your business?
The best thing is that today you don’t need to spend a lot of money to develop an attractive marketing plan that works. There are a lot of online tools with which you can develop marketing plans, spread information about your products or services, communicate with your customers and position your brand.
Put together a good team
It is always good to have some help when it comes to entrepreneurship, especially if the support comes from professionals. One of the most common mistakes that entrepreneurs make when starting their own business is wanting to do everything themselves, so we recommend that you put together a good team of collaborators who will provide support in the different areas of work.
To be a successful entrepreneur it is important that you prepare and study constantly. Get used to reading news on business and entrepreneurship portals, researching new market trends, taking online courses, participating in events in your market niche – the sky’s the limit!
Another thing you should do when starting a business is to have good contacts and the best way to achieve this is by networking. Be interested in meeting other entrepreneurs or professionals who can add new knowledge or ideas to your business.
Register your company
Legal issues are something you can’t avoid when it comes to starting a business from scratch. Register your company, comply with all local taxes and all legal and administrative procedures to avoid problems in the future.
Think about scalability
Focus on creating a scalable business proposition; that is, a company capable of multiplying its revenues without increasing its costs in the same way.
Focus on online business
Online businesses or Internet businesses every day show us that they are here to stay for a long time. Whoever chooses to work or undertake business on the Internet has the possibility to sell physical products or digital products.
The best thing is that the possibilities are endless. For example, you can create a digital product such as online makeup courses, e-books about coaching, create a blog and earn money with advertising, join an affiliate program, be a youtuber, become a digital influencer and much more.
Ready to get started? We’re sure you are. There are plenty of innovative businesses you can start, so get out of your comfort zone and dare.