If you’re thinking of going self employed there are a few things that you should take into consideration before taking the leap. Many people decide to just go for it and hope for the best, and more often than not end up failing because they’ve not thought everything through beforehand. In this article will be some of the main things you should be thinking about before deciding to become self employed.
First and foremost, think about what it is that you will be doing for a career. You need to make a plan of action and ideally have customers lined up ready to kick off your business. For example, if you’re setting up your own gardening business, it might be a good idea to pick up some clients alongside your current job so that when you do become self employed, you’ve got some income coming in for definite.
Secondly, it’s a good idea to check out the need for your line of business in your local area. For example, if you’re setting up a hairdressing salon and there is already dozens of others in town, it’s unlikely that you will get a lot of custom straight away. Consider hiring a chair at another salon that’s already well established and run your business from there.
Something else that a lot of people tend to forget about when going self employed, is that it’s then completely up to you to ensure that your taxes are correct. This is quite daunting for many people, and on a lot of occasions people have gotten themselves into a lot of trouble with the taxman. MCC4Tax can help you make sure that you’re not paying too much or too little and keep your taxes straight.
Another mistake that many people tend to make is trying to be too general and trying to please everyone so that they can get the biggest sales. Unfortunately, you’re never going to please anyone so make sure that you pick your target audience before taking the leap into self employment. Once you know who you’re aiming your product/service at, you can then concentrate on planning how you’re going to market your service. Do the research and find out what works for certain age groups, what sex, and what interests your audience should ideally have and then you will find the best method of marketing your product to them.
Renting a place for you to do your work is also another expense that people tend to overlook. If you’ve already got the cash to put down a few months worth of rent, then that’s brilliant. However, it’s unlikely you will so make sure you think that through before jumping forward and creating your business. Thinking about location for your new enterprise is important too. If your ‘office’ is based in the middle of a busy city then you’re more likely to get business than if you were based in the countryside. This does however, come with a price so be prepared for higher rent charges. You will also need to make sure that you have the correct equipment for the job at hand. If for example, you’re setting up a web design firm you will need to buy all of the equipment for the job at hand.
Also, if you’re going to be hiring staff you will need to think about wages, perks of the job, holidays, and job roles. Being a boss of a team of people isn’t as easy as it’s made out to be. There are a lot of roles that you will have to take on and a lot of training that you will have to give out to your staff. Make sure that you’re ready for the responsibility. If the role of ‘boss’ isn’t done properly, then you could end up with a massive mess on your hands if an employee isn’t getting what they’re entitled to. Checking that the wage you’re paying is legal and fair is essential.
As you can see, there are a lot of things to think about before heading into self employment. If you’re able to take on the responsibilities and you’ve got everything set up ready, then go ahead and start your dream career! Being self employed can be amazing, and if it’s done correctly then you have the potential to be a very successful business.
