Could you go self-employed?

With employment vacancies few and far between and with increasing levels of unemployment throughout the western world, many people are considering alternatives to employment through companies. One such alternative is to go self-employed. This route offers the individual many benefits but there are also a number of risks associated with such a move. It is important to way up the pros and cons of being self-employed prior to making any firm decisions. In this way the individual can be fully prepared for what may lie ahead.

The pros


For many anything is a good alternative to the tedium of applying for numerous jobs every single week and simply waiting around to hear the result. This laborious cycle can be exceptionally de-motivating and can even lead to mental health issues.

Being self-employed offers individuals not only the opportunity to break this cycle but also the possibility of being able to prosper within the new business. Moreover, self-employment brings a significant amount of freedom, allowing the individual to be his own boss, to work when he chooses, to be independent and to take on only the work that appeals or pays well.
The cons


Many people who establish their own business fall into the trap of only seeing the glamour and appeal of being self-employed. They are often lulled into a sense that being self-employed is an easy option. However, this is simply not true.

Being self-employed is hard work, especially in the first couple of years. Moreover, the owner of the business alone is responsible for the day to day running of the company and is accountable for the decisions that are made. There are very few backups when it comes to being self-employed and therefore many who choose this route tread a very narrow path.

Risks


Unless a partnership is established along with other individuals the owner takes the full share of the risk associated with the business. In good times this conversely means that the owner takes a full share of the profits as well. Being self-employed often means that the owner will have to invest significant amounts of his own money into the company.

However, the use of third party services such as internet fulfilment services can minimise the initial outlay for the business and therefore the individual. Nevertheless, internet fulfilment services and other outsourcing measures do come at a cost themselves.

Be prepared


For many who are trapped in the seemingly never ending unemployment cycle the prospect of being self-employed with the opportunity to prosper can be exceptionally attractive. However, before committing to such a venture it is important that the individual is prepared for what may lie ahead and the demands of being self-employed.

Moreover, it is essential that any business proposition is deemed to be viable before pursuing it rather than it simply having a great appeal to the individual. Being self-employed can place great demands both upon the owner’s time and financial resources and any business, however well planned, presents a significant risk.

This post was written by James Harper on behalf of Hallmark Consumer Services who provide internet fulfilment services as well as an array of outsourcing services to help your fledgeling business get off the ground.