Transitioning from Employee to Entrepreneur
Posted in Business Advice on September 18, 2014
If you’ve decided to take the plunge and start your own business, good for you!
Yet if you think that making the transition from employee to entrepreneur means only knowing without a doubt that your boss is a great guy or gal, transitioning from worker bee to business owner definitely will open your eyes.
When you’re an entrepreneur, everything rests on your shoulders, especially if you’re going to be a small-business owner:
• Marketing the business is up to you.
• Making sales calls and closing new customers is up to you.
• Fulfilling orders or providing services is up to you.
• Making sure you save enough for business and personal taxes is up to you.
• Paying all bills and taxes is up to you.
• Collecting payments from late customers is up to you.
• Making sure business continues even when you have the flu is up to you.
You’ll more than likely work longer than you ever have (albeit on the schedule you choose, which is a priceless perk of being an entrepreneur). You’ll more than likely work on weekends and holidays.
Sure, you can take Monday off and head to a lake or the movies. But there’s no one else available to get the work done, so you’ll need to make sure you provide the product/service to your clients when you said you would, even if means you’re going to stay up Monday night until 3 a.m. to make sure you do so.
Vacations? No longer will you take time off and still get paid. Most entrepreneurs find – at least in the beginning – that any time taken off is unpaid time, that unless they’re working, they’re not making money.
This can change, of course, as entrepreneurs hire employees or sub-contractors. But then another “problem” pops up: those workers need to be paid for their efforts!
On the upside, it’s definitely possible to earn more money as an entrepreneur than as an employee. It’s just that even making the same amount of money you were making as an employee can take months or even years (and don’t forget to multiply your last salary by 1.35 to see how much money you’ll have to earn as a self-employed person to make up for the added benefits given to you by an employer, such as health insurance, the employer-paid portion of your Social Security payments, etc.).
We’re not trying to turn you off to the idea of entrepreneurship. Far from it. Instead, we want to make sure you enter this exciting time of your life with your eyes wide open, knowing full well the highs and lows that may await you as you transition from employee to entrepreneur.
Working in a co-working space such as 90 State Street can be a great place for entrepreneurs to make that transition from employee to entrepreneur. A co-working space is much less expensive than a full office. It’s also much more collaborative – and far less lonely – than working out of a home office.
Contact us today at 518-694-0662 to learn more about 90 State Street’s co-working and virtual office rentals.