Self-employment or freelancering is a better option to consider in today’s scenario. No job is safe, if it is a part-time or 9 to 5 full time job, and no company is stable, and that is the principle of business. You can lose your job during the night with nothing to fall back on, or the organization where you are working could be sold overnight, then what will you do in such critical situations? But it does not mean that everyone should or can be a business man or an entrepreneur. Some experience is needed to start any kind of business which can be physical or mental. Independent company expects exposure to different aspects of the business and people do not adapt quickly to fail and face financial or other problems which effect their personal life badly.
The difference between becoming independent businessman or employed workers is that the employee is likely to focus more on him and his team, while the contractor thinks of everything in the organization. Some of the benefits and challenges of being independent are given below;
Advantages of being independent freelancer :
1. You will become your own boss and can create own business network to develop business.
2. When you win, you can spent more time with your family.
3. No need to depend on anybody.
4. You can work as per schedule fixed by you. There is no need of working eight hours continuously as you worked in other firms. In the initial stage of own business the number of hours you have to work will be considerably higher as it is your own business and only you have to make it profitable. Here nobody will force you to work and to complete target. It is upto you to do more work to earn more.
5. You can easily develop own ideas to promote the business. Feel free to develop your own initiatives to accelerate business growth.
6. It is not necessary to distribute the benefits. If things are going well and profits are high, there is no need to distribute the benefits among others.
7. Homework: as a freelance independent contractor you can easily work from home which is more convenient and it saves the transportation and other expenses.
8. Once you begin the success, you can also achieve the social prestige, personal satisfaction, professional recognition and increased revenue that is yours alone.
Challenges of being independent
1. If you invest money in enterprises, then any investment is yours.
2. There are many financial risks if the project fails.
3. You feel lonely to know which way to go if you do not add a group of persons in your profession.
4. You must do all types of advertising, learning, training, building new relationships, etc.
5. You should monitor the time if you are self-employed.
6. You may have to work more hours which may have a negative impact on personal health and family life.
7. You must pay all the bills namely electricity, telephone, health care premiums, etc. from your pocket.
8. You must be responsible for own disability insurance, business insurance, income tax, social security premiums, employment insurance and so on.
So above are some of the challenges and benefits of being independent that can compare to making your decision. Self is probably the best we can dream, but very few people like to go for this route, such as risk, payments, time, personal financial planning and investment required is less attractive than the regular job, where your company pays most of their accounts, but again limited income. And for the long term, self is always a good option. Each option has its advantages and disadvantages. You can’t compare these two and judge, as the work is better or not. It depends on many factors such as family history (financial strength), the work schedule in Self-employment, or the need for job security, etc.