If you’d like to escape the shackles of full-time employment there are a few options for starting a business – here are six…
Hobby/Lifestyle business/Side hustle
I hate the term ‘side hustle’ but apparently, it’s a thing these days, so I’ve included it. The clue is in the title – this is something you run on the side or part-time. It might be as far as you want to go but it’s also a good way of testing out something you might want to develop into a full-time business.
Freelance consulting
If your skills are in demand, you can get regular work with organisations where they don’t have the skills or resources internally. Typically, you are paid by the hour, or the day and the rates can be very good.
It’s easy to get started particularly if you are well respected in your industry, good at networking and using LinkedIn.
Examples include marketing strategy, event management, project management, software testing, coding, course writing, bid writing and graphic design.
Buy an existing business
Buying a ready-made and hopefully already profitable business that you can pick up and then make your own can be a good option.
The challenges are finding one that you might want to buy, having the money to buy it and the skills to run it once you’ve bought it, especially if it’s a new direction for you! Do thorough due diligence – it’s definitely a caveat emptor option.
This site has a good selection.
Buy a franchise
This can be an excellent option if you want to buy an off-the-shelf business. You get to be self-employed and run your own business – but with the support of an organisation and team behind you. You will get fully trained in all aspects of the business including (hopefully) how to set it up and generate leads.
There are franchises for pretty much any type of business. Examples include McDonald’s, Pink Spaghetti (virtual assistants), Molly Maid (cleaning), Sandler Training (sales), Expense Reduction Analysts (cost optimisation specialists), Action Coach (business coaching),and Tax Assist (accountancy).
There are some excellent franchises out there, but you need to do your due diligence and it’s certainly not an easy option as to be successful you still need to get clients and work as hard as if you’ve set up your own business.
Multi-level marketing (MLM)
Also known as network marketing, pyramid selling and referral marketing.
You sell a company’s products/services for them and get commission on the sales. But you only really make money when you build a team of people underneath you who also sell the products and they, in turn, build teams and you get commission from all their sales. The bigger the team underneath you, the more money you can make.
Examples include Amway, Forever Living, Herbalife, doTerra, Avon, Tropic Skincare, and Neals Yard.
I have friends who make a good living out of their chosen MLM business. But they work hard, with integrity and have built engaged teams. Generally, though, most people don’t make money from them, so this one comes with a hefty health warning from me! I recommend you read this article.
Set up your own full-time business
For many, this is the most attractive option, but also arguably the most challenging.
You get to be master of your own destiny, but it really isn’t for the faint-hearted. Make sure you understand how to run a business, have a proper plan, know how to sell and have enough financial reserves to see you through the first 12 months to two years. I’ve written another article on the subject here.
Which of these options feels most attractive to you? Or if you’ve tried one or more, I’d love to hear about your experience.