Advantages and Disadvantages Of Being Self Employed: Self employment could definitely be a profiting way to make a living, regardless of the fact that it could be tasking and a lot demanding as one get to handle or let every important decision about the business go through them, it could as well be profiting. When one is self employed, he or she is said to be their own boss as he does not answer to anyone with regards to his job.
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Table of Content
Meaning of Employment
Employment means the state of having a job or the state in which a person is employed and in most cases, the job in question is a paid job. In its general sense is the relationship which exists between two individual, which most times, it’s on a term of contract where the work being done is paid for, the person who is an employer, pays the employee. However the mode of payment may come in different methods which could be in the form of monthly salary, annual salary, hourly or weekly wage.
Meaning of Self Employment
To be self employed, one has to work solely as a sole proprietor or contractor, the person need not necessarily work alone as he would have others working under him, rather he would be the sole owner of the business. Instead of working in a company or establishment and being paid salaries, being self employed, offers one the opportunity of paying his own salary and also bearing any risk emanating from the business.
Advantages of Self Employment
Being self employed opens doors to many advantages which other form of business may deny. These advantages are:
1. Being Self employed puts you in Control: It’s no doubt that humans love being in control, therefore being self employed offers us the opportunity to be in control. Being self employed provides you with absolute opportunity to be in control in every aspect of the business, it allows you to structure the work environment you wish to have. Instead of following rules or having some rules being forced down on you against your wish, you get to make your own rules.
2. Creates an Opportunity to be more passionate about what you do: The magic of self employment is that it allows you to engage in work which interests you, you get to do what you love doing and not what another wants you to do. Instead of presenting your idea to an employer who has no interest in your them and have he or she turn it down, you get to pitch the idea to yourself and execute it the way you please.
3. Work Schedule: Isn’t it fun that you get to create your own work schedule; you get to decide where or when not to work, you get to work at your own pace? Being self employed helps grants you the opportunity to create your work schedule, however, while starting the business, the schedule would be a though one as one would get to work many hours and sometimes weekend all in the bid to build the business but once the business is strong enough, there would be stability which would allow you create a stable work schedule.
4. Team Meetings: In our respective work place, we get to endure sitting through unproductive hours of team meeting, we get to listen to our boss and co workers waste the time which if put into work would have increased productivity, but here we are, listening to long chatters as time goes by.
Being self employed would avoid this time killer as you get to plan about the business yourself, allocating time to yourself while doing it in other to be more efficient.
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5. Control over time management: Independent time as a person who is self employed means that you have more control over your how you spend your time which gives you more control over time management. You get to fix your schedule into allowing you to do other things like; going for the book club meetings, going to the gym and the rest of the extra work activity you wish to do.
Disadvantages of Self Employment
1. Paying More Taxes: If you a self employed, you would realize that all that glitters are not really gold. This is in the sense that being self employed comes at a price. When it comes to paying bills, especially taxes, you would have to bare it alone. You pay more taxes as an employer than an employee, and no one would come to your aid as all the risk is on the owner of the business.
2. No stable income: Yes, one would be able to save up money by just working for him but this does not guarantee a stable income. You would be bearing the entire risk of the business on your shoulder which would lead to spending more and sometimes earning less especially if it is a start up business.
Unless you have good financial stability before starting, the first few years of starting up a business would defiantly be fund consuming as lots and lots of expenses would be made. Fortunately, you may be able to find customers and clients within a short period of time and this would help stabilize your income to a reasonable extent.
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3. There would be difficulty picking work: Being able to choose your own work schedule has been discussed in the advantages, however, this may be difficult to do as you may find it hard to settle for work at a particular time and not having to do other things.
One may find it difficult to establish a healthy boundary between their work schedule and their personal life. However, work may consume all the time one has, living him with little or no time for his personal life. Also at start ups, you don’t get to have paid leaves as you do not have the time to go on leaves and need all the money you have got for your business.
4. Isolation: Working for yourself sure does make you the boss but this does not excludes the fact that it leaves you in isolation. This is because you often get to work alone excluding you from the company of your friends. It’s no doubt that you have to get in contact with customers whom you would interact with but you won’t be going around telling them about your personal issues.
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5. Losing a Client: Rating a self employed worker is by the success of his work, he or she tries as much as possible to please his or her client but this does not exclude the fact that no matter how one tries, you would lose one or more client during your career. So many reasons could explain the reason for a loss of a client and sometimes, it’s simply no fault of your own.
Being self employed is a tedious task one would say. At the early stage of this self employment, it is work upon work, you strive to get your things together, paying bills, attending to new customers, sacrificing the company of your friends and a whole lot more, but I tell you, once you have done your work well at the beginning, you stand to enjoy the benefits of self employment.
Edeh Samuel Chukwuemeka ACMC, is a Law Student and a Certified Mediator/Conciliator in Nigeria. He is also a Developer with knowledge in HTML, CSS, JS, PHP and React Native. Samuel is bent on changing the legal profession by building Web and Mobile Apps that will make legal research a lot easier.