What's good about starting a business?

What are the advantages and disadvantages of self-employment?

When Marc Zuckerberg founded Facebook at the age of 22, he probably didn’t care whether his self-employment entailed any risks.

But you are not a sugar mountain. You would do well to reconsider your decision.

Self-employment is not an end in itself, even if the idea of ​​one's own company generates traction, charisma and fascination.

There are very different reasons for wanting to become self-employed.

Before you start serious planning, you should check it out very carefully, because there is definitely another way.

Crash course: what are the advantages of self-employment?

  • Self-determination: You are your own master.
  • Freedom: You can organize your time freely.
  • Money: You can theoretically earn more.
  • Ideas: Your skills can develop more individually.
  • Reputation: You are admired. You are powerful (he).
  • Adventure: The chance for the maximum challenge.
  • Responsibility: You develop your personality holistically and at a high level.

Already noticed something?

There is none of the points that would not also speak in favor of an employment relationship.

It all depends on how you interpret the aspects for yourself and what type of environment or company you choose and what position you choose.

For those with reservations: What are the disadvantages of self-employment?

  • Time: You work an above-average amount of work. 45 to 60 hour weeks are not uncommon.
  • Security: If the order situation is bad, there is no regular salary. You need to know how to get the business going again
  • Finances: Depending on the type of business, you take a higher financial risk. It takes a long time before you really earn well. Some never make it!
  • Administration: You have to be prepared for the tax requirements of your company. It means learning-by-doing, getting help from a tax advisor, acquiring knowledge on the Internet, for example in the founder's lounge or attending courses.
  • Psychological stress: Uncertainty in the order situation and financial troughs with a consistently high volume of work can knock the tenderly-strung off the pedestal.

Test yourself and your dream of independence!

Each of the following three situations affects your desire to become self-employed differently.

And none of the types described is a guarantee that you will not go broke and has specific risks and advantages.

  1. The thoroughbred entrepreneur. You just have it in your blood. Perhaps you are “burdened” with your family. Or an adventurer. Really powerful, but also red-hot dangerous, because you are not risk averse.
  2. The product or service-oriented entrepreneur. You are simply concerned with the matter, and it needs the right conditions.
  3. Independence born out of necessity. You can't find a job and you don't know what you want. Certainly not the best prerequisite for starting your own company. However, the situation does not mean that you cannot ignite the fire for a start-up idea after all. You might find a compromise between a part-time job and freelance self-employment.

similar questions

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Is my start-up idea viable?

Where can I find help with starting up my business?

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