The future is something every student, parent, and working individual thinks about. Prices of necessities keep going higher, and the standard of living also goes along the ride. It cannot be helped that one has to think about where they will be in the next five to ten years.
Perhaps, you are currently employed and you think that you have a stable job that you get to keep forever. Unfortunately, nothing is certain even with big companies and businesses.
Last 2019, over 8,000 chain stores have closed in the US alone, and that’s around 3,000 more than in 2018. That same year, auto company Ford announced 12,000 job cuts by 2020 to save about hundreds of millions in US dollars. With these pieces of information, you really have to wonder whether or not you are secure in your current position.
Starting a small business
If the above statistics got your attention, you may start to think about what you can do to secure your and your family’s future. Time and time again, one idea that proves to be helpful in starting your own small business. Perhaps, it is a big leap from the usual tasks you’re used to doing. However, allowing yourself some quiet time to reflect on the advantages versus the cons will help you decide on taking a chance.
Here are ways how starting a small business can help build your future:
Allows you to have full control over your life's direction
Starting a small business means you have every right to decide what it should be all about and who your target customers will be. It is also up to you to set your working hours and decide how much you want to earn. You can control the entire process without having to sacrifice anything in your life, thus helping you steer your life to a kind of future you’ve always wanted for you and your family.
Generates steady cash flow
Do you feel that your job is limiting your income potential? The primary reason why employees strike out on their own and seek greener pastures is to earn more money than they are currently getting. When your salary is not enough to sustain a growing family, it is only natural to change careers or start a business of your own.
However, it would be best if you keep in mind that along with starting a small business means making smart financial decisions. You must first consider how much you want to earn and how much time you are willing to give. In addition, you may use tools or apps, such as Wave, that will help you manage and track your expenses, sales, and revenues.
When you are handling your business well, you are better assured of steady cash flow from your small venture. In time, you will have enough to live the life you want without worries.
Shapes you to become an expert in your field
Starting a small business allows you to form the right questions, make the right moves, and improve your problem-solving skills. Suddenly, you know how to do your taxes, keep licenses updated, and follow regulations and laws related to your small business. The said skills can eventually make you an expert in your field. When you are an expert, you can approach problems in a systematic manner.
Furthermore, you learn from various trials and errors, and you apply what you learn along the way. Yes, you may make mistakes, but you learn not to sulk over these failures; instead, you find solutions immediately so you can and move on and deal with other important matters.
Being consistent with your professional ways produces excellent results, as well as products or services that people want and need. Because of this, they eventually learn to trust you and your brand, thus gaining more loyal customers. The bottom line of all this is that your expertise is vital to the longevity of your business and its ability to continue earning revenues, thus giving you and your family better financial security in the long run.
Exposes you to more networking opportunities
By having a business, you become exposed to people who may have specific skills or enterprises that could be beneficial to the growth of your small venture. Other small business owners are also likely to contact you for a project or a collaboration. Small businesses who help each other have a more substantial chance to survive the competitive world.
Here some of the advantages of networking for your small business:
Building connections leads to finding the right people with whom you can have collaborations or partnerships for a long time. These are like-minded people who share the same mission and goals as yours. Making such connections is also a way of making friends. When you are friends with the people you do business with, the business becomes more fun. It not only helps the growth of your business, but you also gain more positive people in your life who will be around for years to come, through thick and thin.
Networking gives you a chance to stand out and get noticed by the right people. When you offer your best products and services, they will, in turn, put out a good word for you. This way, you are able to gain more customers.
Being at the right place at the right time, such as events for entrepreneurs, allows you to meet other business people who are already veterans in their field. These individuals are fountains of information who may be able to share tips, tricks, insights, and constructive criticisms that you can apply to your own small business.
Surrounding yourself with people who encourage and empower you is also a confidence booster. They uplift and share positive messages that will inspire you to keep doing what you are doing. When you feel good about yourself and your business, you keep going and do anything that will benefit your thriving business.
Enables you to minimize loans and pay off debts
Are you having trouble making ends meet? Do you often take small loans with hefty interest rates? A small business can keep you from living off on loans, allowing you to live a debt-free life.
Managing your business well to keep you earning continuously will help you avoid signing contracts to get loans. You must also exercise self-discipline and control your spending habits, especially if being a spendthrift is the reason for your constant need for cash.
Remember that it also takes money to make money, and your business needs it for operational costs. A fraction of what you earn is also for your family’s needs, insurance, savings, and retirement. If you have debts, your business will also help you pay them all off, that is, if you learn to make sound financial decisions.
Hones your creativity
Do you work nine to five in the office for a pencil-pushing position? When you start a small business, you take on multiple roles. You are the one to brainstorm ideas, market your offerings, and make necessary changes to your products and services to make them more useful to your customers.
By having a small business, you get to improve your creativity. With this, you’re able to come up with various solutions to different issues affecting your business. Creativity is also what enables you to move swiftly and effortlessly within a competitive environment. It inspires innovation and challenges your way of thinking. If you want your business to keep thriving, it is essential to make changes and adapt to them.
Moreover, a creative business person can accept multiple points of view. They can also reimagine concepts that will keep customers interested in their offerings.
You become a better decision-maker
Your decision-making skills are of the essence when you are managing a small business. Unlike large companies with processes and protocols, you are the sole driving force behind the management. Unfortunately, not all small business owners get the chance to receive training on how to handle business operations on their own. But, this doesn’t mean that you can’t help improve your decision-making skills.
By having a small business, you learn to identify a specific core problem and gather all the necessary information relevant to it. You learn to list down your options, as well as the pros and disadvantages of those choices. From there, you will be able to anticipate the consequences, both good and bad. Through this, you’re able to become a better decision-maker, which will not only positively impact your business but also your life in general.
In conclusion...
For a regular employee who worries about the future, starting a small business is the way to go for several reasons. It allows you to have full control over where you want to go in your life and generates a steady cash flow, but only if you manage your finances well. It also enables you to build connections with like-minded people and veterans in the industry to which you belong, as well as shape you into an expert in your chosen field. Furthermore, by having a small business, you get to improve your creativity and decision-making skills. All these things contribute to better financial security and a more flourishing future for you and your family.