Weighing The Pros And Cons Of Starting A Business
by Majenica Moles
So, you want to start a business? A lot goes into starting a business, and it’s not something that is easily done overnight. Yes, maybe there are some people, who have the connections and means, that can wake up and decide to start a business and have it done by the end of the day. For the average person, this isn’t the case.
So much goes into the planning, and implementing. The first thing you need to do is weigh the pros and cons. What do I mean by this? You need to decide if the risk of putting money, time and energy into a new business is going to be worth it. You need to put it on paper, so you can visually see what you are getting into. Let’s take a look at some pros and some cons.
Let’s start with the pros, or the reasons to start a business.
- Being your own boss: This is definitely a good one. Being your own boss, you wouldn’t answer to anyone other than yourself. You would be in charge, and make the decisions.
- Choosing what you want to do: Being able to choose what business you want to start is definitely a pro. Too many times, people have to work a job that they hate just to pay the bills. Deciding what business you want to run allows you to do what you love.
- Satisfaction in your own work: You choose what you do, so you choose how you want it done. This provides satisfaction in what you are doing. You can do work, and provide goods/services that you are proud of.
- Making money: If you choose the right business, it will provide a good living. With hard work, determination and a good business plan, you can succeed.
Let’s look at the cons now.
- Costs: The costs of starting a business can be astronomical. You need to ask yourself if you have the means, financially, to start a business.
- Failing: There is always the chance that a business will fail. Most of the time, this is usually within the first year. But you need to consider it a possibility, and determine if the business you want to start might fail.
- Insurance: Insurance could cost you an arm and a leg. Insurance is a must have for any business. You never know when Mother Nature will strike. You could lose everything to a fire, flood, tornado, etc. Be prepared. You also need health insurance. Being a business owner, rather than an employee, could prove very expensive.
- Time: Starting and keeping a business is time consuming. Do you have the time to put into it? There’s a real possibility that you could put 50-100 hours a week into your business until it is off and running smoothly.
- Customer Churn: If customers start unsubscribing to your emails, or stop buying products, this is customer churn. If this is a high amount, then it’s going to negatively affect your business You need to determine if the product or service you are offering is going to be something that customers want for the long term.
There are many more pros and cons to starting a business, but this list will get you started. If you plan to start a business, you will need to look at all aspects. Make sure to start with a business plan, and a budget. If you choose to start a business, then I wish you the best!
"Time spent with cats is never wasted." ~ Sigmund Freud