The Entrepreneur Inside You…

Have you ever thought about having your own business? Do you wonder what it would be like to not have to answer to anyone else? Wonder if you have what it takes?

Having your own business has its ups and downs. Many people are totally ready for it, but some just never make it work. What determines which you might be? There are a couple of main reasons.

Being a business owner is nothing like being an employee and many people don’t make the transition. I’ll give you an example of what I mean. I once met a woman who was a bookkeeper for a major corporation and she made $20 an hour. In addition, she earned benefits including life insurance, health insurance, and paid time off. She was tired of not getting additional raises (at the time she was at the top of her pay scale) so she decided to quit her job and start her own bookkeeping business. She gave herself a “raise” and charged her clients $25 per hour. She was thinking that she was giving herself a $5/hr pay increase. Her husband also worked full-time for a company, so they transferred the cost of the health insurance to his employer.

At the end of the year, she was dismayed to find that even though she had a LOT of clients and worked nearly 50 hours a week she owed a lot in income taxes, and when all was said and done she actually earned less in her own business than if she stayed at her job. She didn’t have paid time off and hadn’t figured her billable hour properly. The $5 increase actually ended up costing her more than $10/hr when self-employment taxes were included. She did not properly prepare before starting her own business. Lesson? Be sure to discuss your business plan and the amount the market can bear before leaving your employment. Many times it is beneficial to start your own business part-time while you continue to work for someone else and slowly make the transition. Also, be sure you are working closely with a CPA who has a lot of experience advising small businesses.

A great way to make the transition is to get involved with a reputable direct sales company. The business structure is often provided for you and you can leverage the experience and expertise of your upline leadership. It gives you structure, but the freedom to set your own schedule. It gives you guidance to build as fast or as slow as you want. The company you choose to align yourself with should match your values and your objectives. You can EARN not only money, but you can often earn car bonuses and incentive trips. If you want to learn more about this type of business, be sure to reach out to me!