Is Business Ownership for you?

by Steve Hearon

It seems that almost everyone at some point has dreamed of owning their own business. It's the entrepreneurs of the world that drive free economies. However, business ownership is not for everyone. Wanting to own a business and truly having what it takes are two very different things. What are the true benefits of business ownership? Most people would break them down as follows:

1) Income - business ownership starts with the ability to make a profit and provide for your family. If a business can't provide that, then a job makes much more sense, obviously.

2) Wealth Creation - Many business owners don't make the same salary they were earning while working for someone else. So why did they make the switch? Most likely they wanted to build equity for themselves instead of their employer. Its not all about the paycheck. Its about what something is worth after 5, 10, or even 20 years of building it.

3) Control - the ability to decide what happens and when it happens. Its an empowering feeling that is tough to get in the typical workplace.

4) Freedom - taking days off and vacations when you want. Setting your own schedule and having flexibility within that schedule. This is for many the most gratifying part of owning your own business.

5) Tax efficiency - you can often live a similar or better lifestyle in business ownership as you could in a job without having to earn a huge salary and pay 30% or more of it in taxes.

So, is this really what you want? Then you now have to ask yourself, "would I make a good business owner?" If the answer to any of the below questions is "no", then you may want pause before entering this world :

1) Are you a leader? Do you have any real leadership experience to draw from? Wanting to be a good leader, and actually being one are quite different things.

2) Are you risk tolerant? Any business has risks associated with it. If the security blanket of a steady paycheck is something you can't live without, then business ownership may not be for you.

3) Do you embrace conflict? If you someone who avoids conflict...then avoid owning a business because conflict resolution is a key skill required.

4) Are you disciplined? No one will be there to drag you out of bed, or hold you accountable for missing appointments. It all falls on you and if you don't have the discipline, it is too easy to coast when you are the ultimate boss.

5) Are you introspective? Do you look to blame others when things go wrong, or are you able to take accountability? When owning the business, the buck stops with you and if you can't face that fact, you won't succeed in making necessary changes when things aren't going well.

Remember, just because you are a great cook doesn't mean you'd run a great restaurant. Just because you are a great painter, doesn't mean you'd run a great painting business. Business ownership has many rewards, but its only for those who possess the qualities discussed previously that truly reap the rewards. Either way, it starts with exploration. Talk to others who own businesses and ask them what they like, and dislike. Do your homework and be honest with yourself - it could be the most important decision you ever make.

Steve Hearon
VP of Franchise Development
CertaPro Painters

Learn more about CertaPro Painters at topfranchises.franchisebusinessreview.com.

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