Entrepreneurship is something that many people do for different reasons, some for independence and flexibility, others for inheritance, others for necessity, but regardless of the reason that propelled a person to be an entrepreneur, he must be aware of what awaits him in the world of entrepreneurship. In this article we will provide you the advantages and disadvantages of entrepreneurship.
In this article you will learn about the main advantages and disadvantages of being an entrepreneur, and what the reality of the world of entrepreneurship is.
Below are the advantages and disadvantages of entrepreneurship.
Advantages of being an entrepreneur
- You are your own boss – who doesn’t want to be their own boss, right? Being an entrepreneur you will have autonomy to decide your time and place of work. You also don’t have to wait for someone to tell you what to do and you’re the one who will create your own routine.
- Autonomy – You are the boss of other people and have the autonomy to assess the productivity and commitment of the team and make the changes you deem necessary, as well as work methods, suppliers, etc.
- Flexibility – You can have a better quality of life and a more flexible routine. For example, you can travel suddenly, work from home, etc.
- Passion – You know that phrase “Choose a job you love and you won’t have to work a single day in your life”? We know this isn’t 100% true, but it isn’t a lie either. Your company is your creation, your investment, your business and often a personal achievement, having passion for it is natural, having passion for your work and your life span.
- There is no age to start a business. – Many people stay out of the job market because they are already considered unproductive, and end up becoming entrepreneurs as a way to return to the market. Being older can mean having more experience and credibility, characteristics that can be very useful for an entrepreneur.
On the other hand, many young people do not fit into the traditionalism of many companies and decide to open a business with their own face, so many companies are increasingly modernizing their way of working, so that they do not lose these young people, or even so that they do not become competition later on. Becoming a young entrepreneur is a way to revolutionize and improve the working life of many contemporaries.
- Fruits – Reaping the fruits of your own work is something very rewarding and perhaps the biggest advantage of being an entrepreneur, often bearing fruit even for future generations. Knowing that you will enjoy the results motivates you to face the challenges in order to achieve the desired tranquility and quality of life for the future.
Disadvantages of Being an Entrepreneur
- Investment – To open any business it is necessary to have capital to invest and it may take a while for this investment to bear fruit. The initial investment should be enough to open and maintain the business for months, paying for bureaucratic issues, equipment, leases, staff, etc.
- Risk – The initial investment becomes even more important when the entrepreneur begins to analyze the risks. It is possible to prevent risks by doing a market analysis and business planning, but there are unpredictable threats that can affect and jeopardize your business. It is worrying, but when investing in a company, it is important for the entrepreneur to know that he will never have everything under control, he will always be taking risks.
- Responsibility – The entrepreneur will have an entire company under his responsibility. Keeping your employees motivated, making decisions, taking risks, paying bills and several other issues are actions that are present daily, and it is very important to know how to deal with this type of pressure.
- Accounts – If even personal accounts sometimes make you sleepy, imagine managing and paying bills for an entire company. The ideal is to take a course in finance and financial management to learn strategies and methods that will facilitate your administration, because even if you have someone responsible for this sector it is important to know how to analyze your company’s accounts.
- Work overload – Many people become entrepreneurs to have a better quality of life, but end up having an uncontrolled workload and losing much of their social and family life. As it is a business of its own, it is normal for people to want to invest more of their time and money to obtain better results, but it is important to impose a limit. Set a maximum number of hours per week that you can work and try to respect this time so you don’t overwhelm and harm other aspects of your life.
There are advantages and disadvantages in any type of work, whether it is self-employed or not, what you should analyze are your priorities and what you don’t want to give up.
Another important point is to study very well about all areas and stages of entrepreneurship and business.
We hope you have grasped the advantages and disadvantages of entrepreneurship.
