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pros and cons of being self employed


mathew

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after working for the same company for the last 11 years its time for a change (a forced change as im being made redundant). ive decided that i really want to have a go of working for myself.

all the guys ive spoken to so far on site about it only seems to list the pros of being self employed (they are all self employed). they also seem to bang on about all the things you can claim back which just seems to good to be true. obviously im going to be doing a lot more research into it all before taking the plunge but wondering if any of you dudes out there can add to it?

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I've gone contracting - not entirely though choice but so far, so good. I set up my own company because (1) I'm a control freak and (2) I didn't want to pay a middle man or umbrella company regardless of what services they might offer.

 

I'm not looking back, I love the freedom, but could always switch back to permie should I find I don't like it in the long term.

 

Get good book - the "Contractors Hadnbook" is a good all-rounder for starters, and read up fully before you take the plunge.

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can be tough but theres nothing like doing a job that someone is willing to pay for and the money goes in your own pocket ;)

 

as long as your good with paperwork and computers it can be pretty easy :)

 

I gave up a very good job 18 months ago and i dont earn anywhere near as much money but i dont regret it......yet LOL

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I've gone contracting - not entirely though choice but so far, so good. I set up my own company because (1) I'm a control freak and (2) I didn't want to pay a middle man or umbrella company regardless of what services they might offer.

 

I'm not looking back, I love the freedom, but could always switch back to permie should I find I don't like it in the long term.

 

Get good book - the "Contractors Hadnbook" is a good all-rounder for starters, and read up fully before you take the plunge.

 

Hope our discussions helped out Steve, contracting is a PITA sometimes but the rewards and financial benefits can be very worthwhile if the contract suits. Been doing it 11 years now and have never looked back.

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What field would you be self employing yourself as?

 

Contracting in IT has gone down hill recently and not much money in it as it was before. Sometimes it is even better doing a perm job with all the company benefits (providing they have any).

 

I guess it is good, though some cons I can think of:

 

* Are you good organising yourself? Late tax returns hold hefty fines.

* Are you a good saver? Incase your contract gets cancelled & no good jobs going.

* Do you have finance commitments? Getting more money can be harder self employed.

 

No need to answer them here but you could question yourself.

I am pretty sure you thought of these and don't think I am trying to teach you how to suck eggs but I thought I'd just mention it :)

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What field would you be self employing yourself as?

 

Contracting in IT has gone down hill recently and not much money in it as it was before. Sometimes it is even better doing a perm job with all the company benefits (providing they have any).

 

I guess it is good, though some cons I can think of:

 

* Are you good organising yourself? Late tax returns hold hefty fines.

* Are you a good saver? Incase your contract gets cancelled & no good jobs going.

* Do you have finance commitments? Getting more money can be harder self employed.

 

No need to answer them here but you could question yourself.

I am pretty sure you thought of these and don't think I am trying to teach you how to suck eggs but I thought I'd just mention it :)

 

its going to be in construction. the original plan is to get in on the tender lists with large companies to take on the brick/blockwork packages. ive managed to build up a vast amount of good contacts over the years so really want to use that to my advantage.

as for your points, those were very simialr to the first questions i asked myself. in regards to the accounts my sister is an accountant and have spoken to her briefly about it and she agreed to help out where and where ever she can. no finance commitments and money behind me to survive if things went pear shaped.

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its going to be in construction. the original plan is to get in on the tender lists with large companies to take on the brick/blockwork packages. ive managed to build up a vast amount of good contacts over the years so really want to use that to my advantage.

as for your points, those were very simialr to the first questions i asked myself. in regards to the accounts my sister is an accountant and have spoken to her briefly about it and she agreed to help out where and where ever she can. no finance commitments and money behind me to survive if things went pear shaped.

Sounds good! Looks like you have all bases covered then, go for it Sir and good luck :thumbs:

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All depends on what work is about. I have been in contracting in the defence aviation sector since I left probably the most secure job you can get (guaranteed 22 year contract). Since I left I have pottered from one lucrative contract to a more lucrative one. It isn't going to last forever but here's the joy. Should I find myself lacking in contract then I can do exactly what the rest of the populace does, apply for a permie job of some sort till another contract turns up.

 

In the building industry contracting is a tad more volatile than my own industry but to be fair if you are good at your job and work hard I will lay odds you'll do well because alot of people these days just want to skive and take money for nothing and really don't think that anyone is actually watching them.

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in regards to the accounts my sister is an accountant and have spoken to her briefly about it and she agreed to help out where and where ever she can.

 

If you employ your sister as an accountant make sure you set out beforehand and agree exactly what you will expect of her. The last thing you want is your relationship to break down because you are calling her at all hours about problems and advice and expecting her to drop everything for you cos you're family. Same if you employ any friends!

 

Other than that the pros are that work tends to be more fulfilling, challenging and enjoyable as a result. The cons are mostly concerned with lack of security.

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Pros, Your own boss, you make your own hours, you dont have to answer to anyone. You will make more money

 

Cons. You are responable for finding work, the buck stops with you. NO PAID SICK OR HOILDAY! Stress, accounts.

 

If you get it right then happy days.

 

Yep, I used contracting to get money behind me to the start my own company. If done right, the rewards for one-man-bands are great.

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