Here's how you can weigh the key factors when deciding to become self-employed.

Most importantly, give yourself permission to say no to entrepreneurship. It’s truly not for everyone. You will do yourself no favors if you try to convince yourself to take a road that is not good for you just because it looks good or like you might do okay. If you aren’t 100% sure you’ve got what it takes, opt out.

A lot of people dream of owning their own company. Its a sexy idea and we often see romantic versions of entrepreneurship on social media. The truth is it can be sexy...but it can also be the most stressful thing you'll ever do. Before jumping in heard first I usually ask people what they're trying to accomplish. From there, we dig deeper to see if they can do that within a company or does it have to be their own firm? Intrapreneurship is a real thing and often you find that most people just want to be part of growing something. This is a route that gives you a lot of the reward desired, without all the risk of being the entrepreneur. And yes this can still be sexy!

Prioritize comprehensive market research to identify niche opportunities and assess demand for your product or service. Analyze industry trends, competitor landscapes, and target audience demographics to inform your business strategy.

You have to understand your customers to serve them properly, and if you treat everyone the same way, you are treating half of them wrong

1. Personal Assessment Before diving into self-employment, conduct a thorough self-assessment to determine if it’s the right path for you. Consider the following aspects: Skills and Expertise: Assess your skills, knowledge, and experience in the field you plan to enter. Ensure you have the necessary qualifications and a clear understanding of the industry. Passion and Motivation: Reflect on your passion for the work you want to do. Self-employment often involves long hours and challenges, so a strong intrinsic motivation is crucial. Resilience and Adaptability: Consider your ability to handle setbacks and adapt to changing circumstances. Entrepreneurship requires resilience and a positive attitude towards overcoming obstacles.

Implement effective cash flow management strategies to ensure financial stability and sustainability in your self-employment venture. Monitor cash inflows and outflows diligently, forecasting future expenses and revenue to anticipate potential cash flow gaps.

While it seems that using something like Quickbooks can make bookkeeping easy for you, I quickly learned there is a reason I am not an accountant. Consider finding a bookkeeper to help you set up your accounting system, and consult a tax expert to help you make the most of small business deductions and pay taxes. Self-employed people are expected to pay quarterly estimated taxes, and you can be penalized if you don't.

When figuring out a budget, I would recommend doing a budget for the worst-case scenario. Make sure you can survive the worst case. In my experience, a lot of business owners-to-be are overly optimistic.

2. Financial Planning Financial stability is a cornerstone of successful self-employment. Detailed financial planning can help you prepare for this transition: Start-Up Costs: Calculate the initial costs of starting your business, including equipment, licenses, marketing, and other essentials. Living Expenses: Ensure you have enough savings to cover your personal living expenses for at least six months to a year, as it may take time to generate a steady income. Revenue Projections: Create realistic revenue projections based on market research and your business plan. Understand your break-even point and how long it will take to reach it.

Financial planning is a key part of your strategy to become self-employed. As entrepreneurs, we get excited about the next big opportunity quite easily! If your finances aren’t sufficient to start, then take the steps to get them in order. It may require a bit of sacrifice to save up sufficient funds but it will be worth it in the end. There are two parts to making the self-employment decision. First, is it the right opportunity? Second, is it the right time? Sometimes delaying to get your financial affairs in order is a wise decision.

3. Market Research In-depth market research helps you understand the landscape and identify opportunities and challenges: Target Audience: Identify your target audience and understand their needs, preferences, and purchasing behavior. Competitor Analysis: Analyze your competitors, their strengths, weaknesses, and market positioning. Identify gaps in the market that your business can fill. Market Trends: Stay informed about current trends and future projections in your industry. Adapt your business plan to align with these trends. Demand and Supply: Assess the demand for your product or service and the supply dynamics in the market. Ensure there is a viable market for your offerings.

Inadequate market research is the most common mistake I see aspiring entrepreneurs make. Too often, they dive in headfirst without validating whether there's actual demand for their product or service. It's a recipe for disaster. You can have the most innovative idea in the world, but if nobody wants to buy it, your business is doomed. And if you discover there isn't a viable market for your offering, you need a plan B before you quite your day job. Pivot, adapt, or go back to the drawing board until you find a product-market fit that works. Then make the leap.

It's not about the online research only. Have you affluent some time working in a business that does what you are about to do. Reach out to the same type of company you want to create a state or two away and ask to shadow them or get advise.

One of the main things you need to figure out is whether or not you have something people actually want to buy! I work with many small businesses, and many times, what they are trying to sell is not the right thing. Ask people what they want, do the research. You may end up pivoting from your original offer, but be willing to do so. Shifting your offering to get a market match is critical to surviving in business. Waiting too long could cause pain to both you and your customers.

4. Risk Management Managing risks effectively is essential for the sustainability of your business: Identify Risks: Identify potential risks such as financial instability, market fluctuations, competition, and operational challenges. Mitigation Strategies: Develop strategies to mitigate these risks. This could include diversifying your income streams, securing adequate insurance, and creating contingency plans. Legal Considerations: Understand the legal requirements for your business, including permits, licenses, intellectual property rights, and compliance with industry regulations. Financial Cushion: Maintain an emergency fund to cushion against unforeseen expenses or economic downturns.

When it comes to managing risk in self-employment, I always come back to the Stockdale Paradox from Jim Collins' book Good to Great: "you must maintain unwavering faith that you can and will prevail in the end, regardless of the difficulties, and at the same time, have the discipline to confront the most brutal facts of your current reality, whatever they might be." Risk is inevitable in business, but this mindset is key to navigating it effectively.

Self employment isn't for just anyone. To have a goal to help others is a calling, but don't ever forget one must always have the right purpose!.

From my experience and point of view, when you want to start a business you must be an expert on the subject. It is very difficult to start a business in an industry that you do not master just because someone recommended it to you or because you think it will work. Step number 1 should be , be an expert

As entrepreneurs, I believe we should be working to live, not just living to work. It's a trap far too many of us fall into, letting our businesses consume every waking moment. But what's the point of success if we sacrifice our relationships, health, and happiness along the way? Set boundaries, create routines, and fiercely protect your personal time. Your business should be a means to a fulfilling life, not the other way around.

5. Work-Life Balance Balancing personal and professional life is crucial for long-term success and well-being: Set Boundaries: Establish clear boundaries between work and personal time. Allocate specific hours for work and leisure to avoid burnout. Time Management: Use time management tools and techniques to prioritize tasks and manage your workload efficiently. Support System: Seek support from family and friends. Communicate your goals and challenges to build a supportive network. Self-Care: Prioritize self-care activities such as exercise, hobbies, and relaxation to maintain physical and mental health.

It can be very challenging to adapt to working from home if you've spent years in a company office. I strive to start my workday at the same time every day, and consider "9 to 5" the workday, and so I avoid doing household tasks during this time. I also try to remember that every hour I am working for a client, I am not selling my services, and every hour I spend marketing, I am not working for a client. It is a balancing act to determine how much time to spend in each important area.

A vision not written down is just a dream. Don't get me wrong, dreams are important however, how many times have you woken up from a dream just to have the memory of it slip away as you woke back into reality? Years ago I read "Vivid Vision" by Cameron Herold. It was appealing because it was like stepping into a time machine and seeing your company three years down the road if all your wants were met. I wrote our Vivid Vision sitting on a beach in the Caribbean (highly recommend) while putting aside any kind of obstacle that might get in the way. Four years later (yes took an extra year) I feel like that vision is now a reality. Time to get back to the beach and start writing again I suppose. See you in three years....

Your vision for your business not only shapes its trajectory but also your lifestyle. Whether you aim to scale up significantly or maintain a boutique operation, each choice carries implications for resource allocation, hiring, and operational strategies. It's crucial to align these decisions with your personal and professional aspirations. Planning for growth involves not just envisioning the size of your operations but also preparing for the dynamics of expanding, be it through hiring, outsourcing, or streamlining processes. Each step towards growth should reflect your overall business philosophy and life goals.

Understanding what you want your business to be when it grows up is important. -Are you going to be running and operating the business yourself? -Are you growing to sell? -Do you want a lifestyle business? -Do you want someone to run it while you sit back and just guide it? These are just a few of the questions you need to start thinking through as you build the business. Along the way you will need to make strategic decisions about your business and how you run it based on the answers to these questions.

6. Growth Potential Consider the long-term growth potential of your business to ensure it aligns with your personal and financial goals: Scalability: Evaluate the scalability of your business model. Consider how you can expand your offerings, reach new markets, or increase your customer base. Continuous Learning: Stay committed to continuous learning and professional development. Attend workshops, take courses, and stay updated with industry developments. Networking: Build a strong professional network. Connect with mentors, industry experts, and other entrepreneurs to gain insights and opportunities. Innovation: Foster a culture of innovation within your business.

Persevere and start young as time waits for no one mentors and alliance can be vital and choose wisely every day.Execute with no excuses and stay strong mentally

Knowledge & Skills: Technical knowledge and skills are key in Self-employment viability. So also is Business knowledge and skills. Knowledge can be acquired through study, apprenticeship, reading, seminars, conferences, networking etc. Knowledge provides a theoretical basis for self-employment. Example is a lawyer or a plumber, a medical doctor or a furniture-maker, spending years to obtain the necessary knowledge. Skills on the other hand is obtained with practice. Let us explain further that the required knowledge and skills for self-employment liability are broadly categorized in to two: Technical and Business. Technical Knowledge and Technical Skills on the first part, and on the second part is Business Knowledge and skills