Good day everyone.
Today is another wonderful day in September. Hahaha. The third day of the week and also three more days to go out of September and saying welcome to October.Lastly, three months out of the year 2021 😊 😃
Many things to be done. I would still have my house chore done no matter how lazy my cycle is these days. I would have to cook for myself, wash the dishes and wash my clothes too. So no matter how free I still get myself engaged in some of these activities once a while.
I was just sitting right in front of our building then I thought about my life and how I would live it. Our convocation ceremony will come up this month. Then I would be out there in search of a means of earning and living. Then I had to think again and ask myself DO YOU WANT TO BE A SALARY EARNER OR A BUSINESS OWNER?
Which would make me discuss my little knowledge on the topic.
Business owner vs salary earner
We can own a business in many ways, either by starting up a new business of our own or buying an existing business. Starting a new business on your own is one way to become a company owner. It would always come with its benefits like getting complete control over the company and creating rules and regulations to be abided, they can also introduce new plans, products and services for the growth of the company.
Buying an existing business also comes with its advantages because it would require less time and also reduce the cost of starting up a new business giving advantage to an already established set of workers and clients.
Types of business
Sole proprietorship is a business owned and controlled by a single person and is the most common among business owners. A sole proprietor own all business assets and profits and they are also responsible for all business debt and liabilities
There are several advantages of forming as sole proprietorship business
It is always easy to form and establish
There is no need setting up a payroll to pay yourself making you have the sole right on your capital
There is no need forLegal formalities
Commencement and closure is at his own will
As we have the advantages so does it come with its disadvantages.
Increased tax rates
The capacity to raise business capital is limited
Retaining employees might be difficult
A partnership business is an arrangement or relationship between two or more people to do trade or business and share the profits and loss.
Some of its advantages are
Combined skills and balance judgements
Sharing of risk together
It increases one's expertise and resources.
Salary is the money that someone gets paid for the job done as an employee at the end of each month by their employer. And is comes as a fixed payment at the end of each month
Salary vs business owner; which do you prefer?
Many times I do sit back and think about what aspect I should dive in for. Should I be a salary earner or a business owner?
The question would always pop several times. One thing I am sure of is the fact that each of these categories come with their challenges. To become a business owner you would have to start up with some amount at hand known as capital. And to maintain such a business breeding it from small scale to large scale and also maintaining it would be something much more priority.
If I am to be a salary earner it would have been much better because I don’t have to stress myself out thinking of any capital to start a business or even the cost of maintenance and all sorts. But to become a salary earner one has to become more dependent on the salary and would have to wait for its arrival at the end of the month. It’s quite okay to wait till the end of the month and then get something in your pocket.
To those who are singles and yet to have a family of their own it would have been much better for them to maintain. But with the inclusion of families, they keep growing day by day. Thereby the amount earned as salary never increased. What do you think of such a family? Probably it would have become so hard on them to have survived on such an amount. The beginning of the month would come in luxury but when it gets to the mid month then things get harder than expected.
Apart from the fact that they would have to rely on their monthly payment for survival, which is making it hard to see some people after getting retired or sacked from their place of work it looks like life has ended for them because all they have relied upon would come no more. So it might be much more difficult than expected. They are not free to move wherever they want whenever they wish to. A permission leave must be sought or permission to be absent from work for a few days. In absence of these then I would rather say they would have to bear the consequences of not doing so.
Compared to business owners who have the freedom to do whatever they like at any time. One thing I would always love about business owners is the fact that they can surely leave such a business to be inherited by their children creating a better future ahead for such children.
Salary earners could also be a business owner if the amount earned is enough to satisfy their needs before they could opt for their wants.
Business owner definitely But not everyone has that business mindset or risk to own a business. But basically some people tend to be salary earner to gain experience before becoming a business owner