Part-Time or Full-Time Business?
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Part-Time or Full-Time Business?. Should you start your business part-time or full-time?
Even if you eventually plan to run it full-time, many entrepreneurs and experts say that starting part-time can be a good idea.
Starting part-time offers several advantages. It reduces your risk because you can depend on the income and benefits of a full-time job.
Starting on a part-time basis allows your business to grow gradually.
But the part-time path is not without its dangers and drawbacks. Starting part-time will give you less time to market your business, strategize, and build a customer base.
Since you're not around to answer calls or solve problems from customers most of the day, clients may become frustrated and feel like you're not offering enough customer service, or responding quickly enough to their needs.
Perhaps the biggest problem with part-time entrepreneurs is the risk of being overwhelmed. Keeping a full-time job while running a part-time business leaves you with little, if any, leisure time; so, your personal and family life may be disturbed..
Part-Time or Full-Time?
1. Market Issues
As with any business, your plan of attack should begin with a thorough assessment of the market potential of your business idea.
Often, this step alone will be enough to tell you whether you should start part-time or full-time.
You must not become so caught up in your love for what you do that you underestimate the realities of business.
If you find there is a very large unmet need for your product or service, and there is no major competitor and a ready supply for consumers, then there is no reason for you not to step up and start full-time.
But if on the other hand, you find that the market won't support a full-time business, but perhaps one day with appropriate marketing and business development, then it might be best to start on a part-time basis.
Investigate factors such as competition within the industry, the level of the economy in your area, the demographic breakdown of your client base, and the availability of potential customers.
If you want to open a high-end beauty salon, for example, evaluate the number of similar shops operating, as well as the number of wealthy women in your area and the fees they are willing to pay.
Once you have determined that there is a need for your business, outline your goals and strategies in a comprehensive business plan.
You should always do extensive research, make market estimates for your business, and set goals for yourself based on these findings.
It will give you a great perspective on the long-term possibilities and keep the business on track.
Don't neglect to write down a business plan even if you're starting part-time: A well-crafted business plan will help you take your business full-time later.
Certain businesses tend to be better part-time: food products, direct marketing, and service businesses, for example.
Doing market research and creating a business plan, will give you a more realistic idea of whether your business can be run part-time.
If you are particularly interested in a business that has traditionally required a full-time commitment, then think creatively: There may be various ways to make it work part-time.
For example, instead of opening a restaurant, consider starting a catering business. You still have to make various menus and interact with consumers, but this work can be done at night and on weekends.
2. Financial Planning
One major factor in the decision to start part-time or full-time is your financial situation.
Before launching a full-time business, many experts recommend setting aside enough money for living expenses for at least 6 months to a year.
The amount may vary; By making a business plan, you will know in detail how long you can expect to wait before your business can turn a profit.
Basic factors to consider include:
- the amount of savings you have,
- whether you have assets that you can sell for cash,
- whether friends or family members may be willing to offer you capital or loans, and
- whether income from your spouse or other family members can provide for your family while you launch a full-time business.
If, like many people, you lack the financial resources to start full-time, then starting part-time is often a very good alternative.
However, if you do want to start part-time, you'll want to keep a few numbers in mind: Specifically, how do you know when your business is making enough money so you can say goodbye to your full-time job?
Another great idea: Start setting aside money while you keep doing your day job.
That way, when you take the opportunity full-time, you will have a financial foundation to increase income from your business.
3. Family Problems
The emotional and psychological side of starting a business is less taken into account than the financial and market aspects, but they are equally important in your decision to start part-time or full-time.
Begin by discussing your situation with your spouse, and other family members.
Do they support your decision to start a business?
Do they understand the sacrifices a part-time or full-time business requires - from you, from them and the rest of the family?
Make sure your loved ones have the freedom to express their concerns or concerns openly.
And the time to do this is now - not three months after you've committed to your business and it's too late to back down.
Then, work together to find practical solutions to problems you may be facing (could your partner take over some of the housework you're currently doing, for example?).
Establish some ground rules for part-time business—for example, don't work Sunday afternoons, or don't discuss business at the dinner table.
To make your part-time business success and keep your family happy, the key is time management.
Balance the time you have. Get up early, and don't waste precious time on things that aren't obvious or useless.
Apart from the effect that owning a business has on your family, it is equally important to consider the impact it might have on you.
If the idea of running full-time and giving up a monthly salary and other benefits makes you feel very anxious, then maybe a part-time business is the best choice.
On the other hand, if you need to work long hours at your current full-time job, you have a long way to go, and you have three 2-year-old twins, then adding a part-time business on top of the commitment- that commitment, can be like adding the straw that breaks the camel's back.
Of course, a full-time business also takes a very long time, but a part-time business combined with a full-time job is even more difficult.
If this is the route you are considering, carefully assess the effect it will have on your life.
You will use your evenings, weekends, and lunch hours-and, in all likelihood, your days off, sick days, and your vacation period-to attend to business.
You may also have to give up leisure activities such as going to the movies, watching TV, reading, or going to the gym.
How do you feel when you come home tired after working overtime at the office. . . and then have to sit down and spend a few hours working on a project that a client needs tomorrow morning?
This type of commitment is what you will need if you expect your part-time business to be successful. Consider carefully whether you have the mental and physical stamina to give your best effort to your work and business.
4. Decision
Whether you will start part-time or full-time is the only decision you can make.
Whichever route you take, the secret to success is an honest assessment of the resources you have, the level of commitment, and the support system you have in place.
By considering these factors, then you will be able to make the right choice.
That's the part-time and full-time business. Hopefully, it can be useful and increase your knowledge. See you in the next article. Edukasit.com.
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