by Harriet Bond
(Fort Worth, Texas, USA)
If you are sick and tired of working long hours for little pay you may be ready to become the owner of your own business. Many people are finding that owning their own business is the only way to truly declare their independence and survive these troubled economic times.
Why are people finding this so attractive?
Let us give you some ideas how having a business of your own benefits you.
1. Independence – As you know, you will have no employer directing your every move. Instead you will have the autonomy to make your own decisions and be in charge of your own success.
However, there is a trade off. You may no longer have a single boss, you now will have many customers each of which is your “new” boss.
2. Benefits solely for you – All profits of the business are yours. With the exception of Uncle Sam and your overhead, whatever is left is yours alone.
3. Manageable work time – You will no longer need to punch a time clock or be accountable to anyone but your customers. You control your time.
4. Develop creativity – Here you get a chance to be innovative and creative. Put your talents to good use.
Who do we consider self-employed?
A self-employed person is someone who works solely for himself instead of having an employer, gaining income from a business or trade operated solely by yourself.
You are considered to be self-employed if you:
– Pursue a trade or business as an independent contractor or sole proprietor.
– A member of a partnership pursuing a trade or business.
Starting your own business requires careful planning and effort. Planning is the major factor for a business to be successful. It may be tedious but the rewards are remarkable.
It also entails thorough examination and research. The following are some points included in the planning process:
• Type of business – decide on what business you would like to venture into. You may want to include the benefits and detriments involved in this venture. Determine what products and/or services you will be offering to your future customers.
• Marketing – you also want to consider how you will promote the business. Determine what market you wish to target
Operating your own business can be difficult and there are many factors that need to be considered before you tackle this new career path.
Here are some things that you might want to take in to account…
Every business needs capital to operate. Many businesses start with a small investment. Some will thrive and be able to reinvest their cash flow.
However, many start up businesses fail because they began with insufficient funding.
You need to secure a federal tax identification number if you incorporate or hire employees in order for you to operate. If you operate as a sole proprietor your social security number will suffice.
You are obliged to pay taxes as you earn or receive income during the year.
Before any business can operate, you must know who your target market will be. Market research is one of the basic steps when operating a business of your own.
It entails systematic gathering, documenting and analyzing information and data about potential customers and even competitors.
With this, you are able to determine who will be receiving or purchasing the product and service you will be offering. Finding customers can be really challenging, and a good marketing research plan will definitely help in doing so.
There is an enormous risk in starting a business for yourself and many do not succeed. Before you enter into this new venture make sure that you have thoroughly studied the pros and cons of having a business of your own.
With proper planning up front, eventually all your hard work will pay off!
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