Many people know owning a business isn’t for them. But for others, the appeal and lure of owning their own business and gaining a greater measure of control over their future can be powerful. If you are uncertain as to whether this path is for you, there are a few simple questions you can ask to gain almost instant clarity. In this article, we will explore those key questions and help you determine if owning a business is in your future.
1. Are You Dedicated to Growing Your Income?
Quite often people like the idea of making more money, at least in the abstract. But when presented with what it takes, many people realize that they don’t want to do what is involved. Owning and operating a business can be a lot of work and it’s not for everyone. Yet, those who embrace it can find it rewarding in a variety of ways.
Being a business owner is radically different than being an employee. As an employee, you don’t exercise much control. Put another way, your financial fate is clearly in the hands of someone else: your employer.
However, owning a business means you can take steps to control your own financial destiny. You can make decisions that will, ultimately, boost the success of your business and, in turn, increase your own income.
As an important note, statistics from 2010 show that the longer you own your business the more money you, as the business owner, will make. It is typical for those who have owned a business for ten years or more to earn upwards of six figures per year. If you have had more than one year of experience in running an organization, the yearly salary will likely range from $34,392 to $75,076. However, if you’ve owned your business for more than a decade, you will likely earn more than $105,757 per year.
While there are no guarantees, owning a business can be a path to growing one’s income and wealth.
2. Would You Like Greater Control Over Your Life?
Some people are comfortable letting their financial fate rest in someone else’s hands (their employer’s), or they see no way around it, but others are not comfortable with this. Many opt to start their own business because they want more control over their financial fate.
Owning a business increases the amount of control a business owner has over his or her life in many ways, not just financial. For example, business owners have more control over how they spend their time, where they work, when they work, and who they work with daily. Instead of being part of a business, you help create, mold, and shape it. Clearly, this takes a lot of effort and it isn’t for everyone, but again the rewards can be diverse and great.
3. What is Your Personality Like?
Owning a business translates to greater control, but that control comes with a degree of risk. In the end, you’ll have to determine how comfortable you are in dealing with risk. As a business owner the “buck” stops with you. You’re risking your time, effort and, of course, money. You also don’t get a paid vacation, sick days, or any of the other benefits so often associated with being an employee.
A study by the Guardian Life Small Business Research Institute revealed other ideal personality traits for successful small business owners. These traits include being collaborative, self-fulfilled, future-focused, curious, tech-savvy, and action oriented.
Thinking about these three key questions—related to growing your income, gaining greater control over your financial future, and your personality—is the perfect place to start when contemplating launching or acquiring a business. Additionally, working with a merger and acquisition advisor can help you gain clarity and determine if owning a business is right for you.
Copyright: Business Brokerage Press, Inc.
Photo credit: Tierney via Adobe Stock
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