Money-Smart Solopreneur. Laura D. Adams

platforms, or people were responsible for your connection.

      $ Use your business label consistently. When you decide on a business label, use it throughout your marketing: on print materials, websites, social media accounts, and bios. Say it with confidence and a professional attitude when you talk about yourself. If you’re not consistent when you write and speak about your business, you may end up confusing people. Choose the label that works for you and stick with it.

Refine Your Business Vision Exercise

      There are many versions of solo businesses, and yours may evolve over time. Consider the type of venture you want to build or may have already created, and answer the following questions:

      $ How will I describe my solo business when speaking with others, such as potential clients, collaborators, or business partners? (For example: “I’m a freelancer,” or “I own a small business.”)

      $ How would other people in the same industry or profession be likely to describe my solo business?

      $ Consider any competitors who you think are successful. What are three specific reasons that you consider them a success?

      $ Once you’ve decided how to label yourself and your business, where should you include it (e.g., website, LinkedIn profile, media kit, business cards)?

      Whether you call yourself a founder or a freelancer, at the end of the day, what you need to know to succeed in your solo business is pretty much the same. In the next chapter, we’ll review some of the main pros and cons of being a solopreneur.

       CHAPTER 2

       PROS AND CONS OF BEING A SOLOPRENEUR

      There are many advantages to working for yourself, but there are downsides, too. To succeed as a solopreneur, you’ll need to understand the many responsibilities that come with being a business owner.

      Every entrepreneur has different reasons for becoming self-employed. I get many questions from Money Girl podcast listeners, blog readers, and members of my Dominate Your Dollars Facebook group about their self-employment journeys. Some are wondering how to start a side gig to create additional income for paying debt, education expenses, or retirement contributions. Some have already launched new, exciting solo businesses with hopes of someday exiting their uninspiring day jobs.

      I’ve connected with folks who want to create a solopreneur lifestyle so they can live where they want, quickly relocate for a spouse’s career if needed, continue earning an income while traveling, or promptly respond to the demands of their young children or aging parents. Some parents start small entrepreneurial ventures with their children as a way to bond over shared activities, instill life and business skills, and boost their kids’ confidence.

      First, I’ll cover the eight pros of being a solopreneur that mean the most to me. Then I’ll review eight cons to consider if you’re thinking about or have already started working for yourself.

The Pros of Being a Solopreneur

      Whether you make the leap to full-time self-employment or freelance on the side of a regular day job, here are eight advantages you may enjoy.

      1. You Do Work You Love

      One of the greatest benefits of self-employment is having the power to do work that you genuinely love. Feeling passionate about the services or products you offer can undoubtedly improve your chances of success.

      Building something you own, instead of helping someone else grow their business, makes you proud. Relying on your ideas, skills, and perseverance is incredibly empowering. You may find yourself bragging about your work instead of dreading that moment when someone asks what you do. People seem more interested in your job when you’re passionate about it!

      Plus, when you enjoy your job, it doesn’t feel like work. Most of us spend more hours working than doing anything else. So why not make it something you believe in and find fulfilling?

      2. You Control Your Income

      Another alluring advantage of self-employment is being able to earn as much as you want. While a business’s profit potential depends on many variables, if you’re motivated, you can reach realistic income goals. Some solopreneurs make a good living from day one, although it typically takes months or even years to earn the income you want.

      Your solo business may allow you to earn more or less than you would at a W-2 job. You can make as much as your customers will pay. For example, if you’re a computer programmer employed by a technology firm, you might earn $75 an hour. But as a freelance programmer, you’d likely find companies willing to pay you $150 an hour or more. We’ll discuss setting rates for your business in Chapter 8.

      If you commit to working hard and offering excellent products or services that are in demand, you’ll eventually make the money you want.

      3. You Can Get Things Done Faster

      As a solopreneur, one of your competitive advantages is the ability to work efficiently and quickly. You don’t have the red tape that often comes with a W-2 job, when you have to wait for approval from a boss’s boss to get something done.

      You can deliver products and services to customers faster than a large company could. You can be flexible when a client needs a customized project. Your ability to meet quick deadlines can also translate into higher earnings.

      A huge benefit of working for yourself is your ability to be proactive when market demand shifts or you see the opportunity to offer a new product. Being nimble allows you to serve customers better with innovative solutions. When you’re self-employed, you can make business changes and decisions as fast as you’d like.

      4. You Control the Destiny of Your Business

      Most entrepreneurs would likely call themselves “driven” or say that they like to be in control. When you’re self-employed, you’re not beholden to a company or a boss. You can’t be fired, downsized, or forced to attend meetings.

      Having your own business means that you get to create your future. You decide how to brand, delegate, and scale your company. It can be as challenging, creative, or busy as you want to make it.

      Depending on the type of work you do or want to do, it could satisfy both professional and personal goals. For instance, you might have a side gig consulting for nonprofits with missions that are important to you. Or you could create a business that allows you to leverage a skill you already have or want to improve, such as teaching music lessons, guiding fishing trips, or being a travel photographer.

      Starting a new business endeavor can help you pursue networks of people or activities that you are genuinely interested in. By experimenting with low-risk opportunities, you can find out if you like the work and if there’s adequate demand. Then you can make the call on whether to move on to something else or continue investing your time and money.

      5. You Choose Your Colleagues

      Bad bosses and irritating co-workers drive many self-employed people away from the W-2 world. The people who interviewed you for the position may have seemed lovely, but you don’t really know someone until you’ve worked with them. Being subject to unreasonable leaders or devious teammates can make work about as enjoyable as a nap on a fire-ant hill, and unless you want to start applying for new jobs, you’re stuck with them.

      But when you’re the boss, you control the partners, vendors, employees, and clients you work with. You’ll never have to endure mandatory fun (such as team-building events) or an office culture that rubs you the wrong way.