I kid you not, if I got a dollar for every time I heard someone say they were going to start their own business, I’d be a very wealthy woman. As a society we’ve fallen in love with the concept of being an entrepreneur. Literally, it’s become a buzzword all over the world. The dictionary definition of the term “entrepreneur” is a “person who sets up a business, taking on financial risks in the hope of profit”. Having once been employed and since then owned several businesses, the difference between the two shouldn’t be underestimated.
When you’re running the show, you’ve got to worry about legalities, paying wages, super, taxes and managing cash flow, all on top of actually sourcing business that makes profit. The fact of the matter is if you’re building a company and aren’t a sole trader, employees are relying on you to provide their income so you have the obligation to do just that. On the flip side as an employee, you’re relatively safe in the security of knowing that unless something drastic happens, you’ll be paid provided you complete the required work. For people who think of their job solely as a way to make money, one perk of working for someone else is that you can switch off the minute you leave the office. Contrastingly, as a business owner, work hours are 24/7. You’ll often find yourself handling business in the middle of the night like it’s normal behaviour. And because of the all-encompassing nature of running a business, there will be lonely moments when the stress of it all can become too much.
During these times the only thing that keeps entrepreneurs going is a passion for their work, so make sure you love what you do! Then there’s the change in the definition of holidays. As an employee on vacation, your biggest concern is how many cocktails you’ll be able to indulge in by the pool. When you’re an entrepreneur on holidays, in between moments of slight relaxation, you’ll still be checking emails, taking calls and doing deals albeit from a remote location. Now that you know some of the differences between running a business and being an employee, do you still think you have what it takes to be an entrepreneur? Or have I given you a newfound appreciation and respect for your boss?