What’s the best business for you? Work for somebody or own your own company?
There are many kinds of businesses that flood the market today aside from owning your own business, meaning you run and finance it, there are others which are also businesses in their own way. All of these are businesses and each has their own advantages and disadvantages as you try to work them out. Should you wish to enter these ventures, it is good to have some knowledge of what you are getting into.
Working for somebody. The first of kind of business which most of us usually enter into at some point in our lives, is becoming employed as an employee to a company now our own. If you are a newbie at this business the first thing you should remember is polishing your resume. The resume is your way of getting into the business of becoming employed by an employer you wish to work for. Another thing that you should remember is do some research of your own about the company you wish to work for, so that when you get to have the chance to become any employee of that organization you already have some knowledge of what kind of business you are getting into.
Becoming an employee is considered a business since you enter into a contract with that organization you wish to work for, that you will render services for their company and a corresponding compensation is given for the services rendered. Your function as an employee a business in a sense that you work for the company and they pay you for the work you have done for a corresponding period of time.
Employment is a good business choice for those who do not want to handle running their own business. When you are an employee, only the responsibilities given to you by the boss would be the things that you have to do routinely or regularly depending on the kind of job that you have. On the other hand, if you own the company, you would be more concern in making a profit on your business endeavor or at least making it break even if income is not a lot.
Working for somebody may have its advantages and disadvantages. When you enter a contract to work for somebody, there is a fixed salary, wage or compensation that would be given to you by your employer. Unlike if you own the business, profits could go up or down depending on the performance of your business in the industry. But as an employee, you will usually have a fixed compensation and sometimes fringe benefits as added financial benefits for the services you render. Somehow this is liked by several members of the labor market since you have a steady means of income even if the industry is not doing very well.
Sometimes it has its disadvantages, like when companies retrench employees meaning lay off, which they call streamlining to save on labor cost and restructure their companies in a way that they use less man power to save on cost. This is a difficult situation for an employee, if it happens, he or she have to look for a new job and compete with other would be employees in the job market.
Owning your own company. When you talk about business most of the time you are reminded of these terms: sole proprietorships, partnerships, cooperatives, private and public limited company and the franchises, which were taught to us in college accounting. Yes, these are all business ventures. Should you wish to enter them, you definitely have to have capital or funds to sustain the business and or partners with you to finance your business. These are all businesses where you need capital and need to make profit to earn money.
Owning your own business may seem easy but not. Some people say they started with a small capital to have their own businesses and some of these stories are true. But most would say it was hard work that got them where they are right now.
True, owning your own business could be a difficult job. It is a business and a job at the same time. You have to be good with a lot of things in order for you to get that magic profit and income after sales or after a service rendered. Any of the businesses mentioned earlier, like the sole proprietorship, partnership and franchises would use a lot of hard work and funds to get them working.
If you would like to have your own business, make sure you would like the kind of business you would like to get into. If you are thinking of that right now, make sure to do some research on the industry of the business that you would like to venture in. Just like job hunting you should do some research on the industry of the business you feel you want to compete in. Knowing your competition would be a very good start, getting to know and feel the industry before jumping into the pool would be a splendid idea before you spend your hard earned cash in financing a business you hardly have knowledge in. Having little knowledge about the business would increase your chances of failing to succeed in it. So do the research and draw the math before diving into your chosen industry.
Having your own business would be fun, as long as you are making profits. If you are break even it is still would be fun. But business is just like any game, sometime you are at a loss and sometimes you are winning. So if you are losing money in your business, consider that you are losing a game. Even if you say that, ‘this should not be happening’, businesses are just like cards on the table, sometimes your up and sometimes you are down. Remember this, so that when you have your business you would not feel so bad.
Having a business is gambling with other players in the industry you are playing with. If it happens that you got lucky with your marketing strategies at one point in your operation, and increase your sales, if you are into sales, there might come a time that a new competitor would beat you with the sales and you might lose some of your consumers of the product. In this game you lost over your competitor.
Businesses have life and life sometimes has its ends. There certain industries which have had their life ended because of either new innovations and technology and others have conquered time and space even through years of operation. The life of your business would depend on how you plan your business for the future. This is a very important aspect of your business. If you wish to have your business handed down to your future generation, you have to plan it that way and ahead of time, to know where you want your business to go and plan on where you want it to be headed.
Word count: 1185