Advantages of Starting Up a Business
* Being your own Boss - you can make your own decisions, keep your own time and not have to answer to "The Boss" * Hard Work & Know How - If you are a hard worker and / or have immense industry know how, you may want to benefit from the long hours you do or the knowledge that you have acquired over time. * Financial Independence - One day, you may realise your dream of financial independence * Creative Freedom - no more restrictions, you can do what you like and have the freedom to work, design, create, build what you think is best - your way! * Goodwill - you don 't have to pay for it (as if your would if you were buying a business) - you get to build it * Location, Premises, Building Fitout - you get to choose it all * Staff - your not lumped with staff you don 't want. You hire and train from scratch - your way * No Bad Name - a fresh business, a fresh start. Your name has no bad history with suppliers or customers. If you buy a business, you may find some people just won 't deal with the business because of past dealings * Business Image - you create the business image you want. Your way.
Disadvantages of starting your own small or medium business can include:
* Cash Flow - your business may not have a positive cash flow for two years - how are you going to cover that? * Competitors - you may invest all this time, money and effort into your business and a large competitor targets your customers and offers them a similar product / service at below your cost - until your business has failed. While this may be anti - competitive and contravene sections of The Trade Practices Act 1974, it may be too late for your business * Homework - have you done it? You may do it all and then find when you are all set up, that something from left field becomes apparent and significantly alters the outlook of your business * History - If you buy a business, you are buying