There are plenty of benefits to being employed in a large, multinational company. You have job security, allocated holiday time, and most likely, opportunities to save money through a company savings scheme. None of these perks apply when you're self-employed. You have no job security because every day is another challenge for you to make more than you spend, and ultimately the butt ends with you, so you'd better keep focussed. You have to allocate your own holiday time, but it won't come often, as you won't have employees to work in your absence. You will also probably end up working on bank holidays.
But what does that matter? It's all just another day at the office. So with that said, it looks like there are very few reasons why you should even consider turning self-employed, and then if you do take the plunge, you're leaving yourself at risk. So the questions are these: First, why would you become self-employed in the first place? And second, how can you ensure that you'll stay afloat?
The Benefits of Going Self-employed
Despite all of the negativity above, there are actually a huge range of reasons why you should consider going self-employed. The first one is that you get to be your own boss. This is probably the most common reason why people convert from working for other people to working for themselves. Usually, it's because people believe they could do the thing they are doing at work better than their bosses. In other words, they adapt the products and services offered at their current place of employment and make it that little bit better.
Being your own boss has other advantages, too. You can set your own schedule, choose where your office is (if you need one), and even decide when you get to wake up. These are all luxuries that those who work for other people can only dream of!
The Benefits of Self-Employment: Embracing a Flexible Working Environment
Another major advantage to being self-employed is that you get to set your own schedule. Imagine if you no longer had to participate in the daily commute any more and you could simply set your own schedule. There are a range of benefits to this way of life. A good one is that you would save a lot of money on travel. A commute by train from a suburb of a major northern city in the UK into the city centre may cost around Â£70 per month. Imagine if you could work nearer to where you live, saving you that money. You might think of a smart way of investing it back into the business!
As just mentioned above, you can cut costs when you're self-employed by cutting out travel costs to ensure you're maximising the money you have coming in. There are several ways you can ensure that you're looking after yourself; particularly in those early years where things are a bit shaky, you need to be careful how you spend money, and think of all the ways you can get your hands on cash.
Staying afloat: The Bottom Line in the Battle for Independence
One piece of advice is to make sure you pay yourself first. This is a common adage in the world of personal finance and it applies here, too. Save money into a personal savings account, seek advice about hidden money that you could be entitled to, for example pension funds by using a Solicitors like Will Claim, and look for information regarding business loans. All of these are ways to keep yourself going when you're in need of self-employed cash float.