Pros and Cons of Starting your own Business
Posted On Wednesday, August 27, 2008 at by Sun Jun
Factors | Employment | Business Ownership | ||
Risk | Pros: Stable income; often includes benefits; standard career progression Cons: Layoffs a constant possibility, as long-term employment is less of a given today | Pros: Offers more career control and opportunity for advancement Cons: If business fails, you have more to lose financially; can require significant initial investment of time and money | ||
Rewards | Pros: Well- defined with potential for incremental increases Cons: Little chance for major increase in the short term | Pros: Financial reward significantly greater in the long term Cons: Short-term financial rewards—even salary—may be nonexistent | ||
Intellectual stimulation/professional challenge | Pros: Established businesses often have a training budget to keep your skills well-honed Cons: Some jobs offer little mental stimulation or challenge | Pros: Business owners are constantly learning on the job Cons: Sometimes difficult to carve out time to receive official training and development | ||
Time and effort required | Pros: Typically well-established pattern of hours; opportunity for additional compensation or recognition spelled out Cons: Extra effort may not yield any kind of reward | Pros: Time spent on business is often within your control—you create a schedule that meets your needs Cons: Near- constant commitment required during startup; greater than average time investment required thereafter | ||
Control over schedule | Pros: Schedule is well-defined, and expectations are communicated at outset Cons: Schedule is defined entirely by employer | Pros: When and where you work is frequently within your control Cons: Your business may require more time than you’d anticipated or wanted to invest | ||
Vacation | Pros: Well- defined and available Cons: Limited to a certain number of days per year | Pros: Available anytime Cons: Sometimes hard to schedule due to business commitments or workload | ||
Taxes | Pros: Withholding covered in part by employer Cons: Employees are generally not entitled to all the tax deductions that businesses are afforded | Pros: With your accountant’s help, it may be possible to reduce your total tax obligation Cons: All taxes—company’s portion and yours—are paid by business, making proportion higher |
source: http://quamut.com/quamut/starting_a_business |
Choosing a franchise business is very useful because of it's like a ready made business for you. So, you have a brand name and product, so you can make money with a big name.
pros and cons of franchising