Starting a business - Is it for me?

There are many reasons why you may be considering starting your own business. 

Here are some of the most common reasons:   

• You don't want to work for someone else anymore   
• You want to earn more money   
• You have an exciting idea that you want to pursue   
• You are finding it difficult to find employment after redundancy or illness   
• You want something that is more flexible to fit in with your work-life balance  
• You want to do something more fulfilling or meaningful   

There is no doubt that starting a business can be more satisfying and profitable than working for someone else. However, it's important to consider the option of self-employment with a pinch of reality too. 

There can also be some downsides to starting your own business with the main ones being:   

• Less financial security and a higher risk of failure   
• Harder work and longer hours, particularly in the early stages   

When weighing up the pros and cons it's worth asking yourself the following questions:   

• What do you want from your business?: Are you looking for a better work/life balance? Perhaps you want to increase your income? Or are you planning to create the next ‘big thing’?
• What are your individual skills?
• Do you have a trade or a background in a particular sector, or could you turn your hobby or interest into a business?
• What experience do you already have?
• What are your personal characteristics
• Can you take risks and work by yourself? 
• Will starting a business suit with your lifestyle?
• Do your family commitments, living arrangements and/or health issues give you extra pressures or considerations?   

Top Tip:   

To help you understand the effects that starting a business will have on your personal financial commitments and the implications, you should complete our handy 'Personal Survival Budget'. This will enable you to work out just how much your new business needs to make in order for you to meet your personal bills. (You'll find this under our 'You may also like' section of this page.)