Going self employed
- Thread starter speccy1
- Start date
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Saluki
World class procrastinator
- Location
- ...Norwich over the water.
I echo the above, only I'm 51 and virtually unemployable by 'proper' companies due to injuries sustained in my working life. My guitar teacher employs me part-time at the moment as he recognises that I have skills and experience that he won't have for another 20+ years.
Partnerships are tricky beasts, at the best of times. You'll need a watertight contract, an accountant/advisor will help you there and I would suggest doing anything self-employed part time first. Suck it and see, sort of thing. When being self employed works, it can work very well and you can do very well for yourself. However, when you start being responsible for other people's incomes, mortgages etc because they work for you, it can cause a loss of sleep and a lot of worry.
Give this some serious thought and don't jump in to anything. It might be worth doing a bit of self employed work, on the side, to see how it goes first. Before you go self employed, try to save up enough money to pay all your household bills for at least 6 months, it'll give you a bit of breathing space. A year would be better, if you can.
When my business was doing well, I was very happy. When Hubster fell ill, I had to take on more work to cover all the mortgage and bills plus give him some money to spend and then more work to sort out some credit cards that I didn't know about. Things change in business and you need to make sure that you save back a cushion of money to take you through the lean times. It can be scary, exciting, sometimes worth it but I am not sure that I would do quite the same, if I had my time again.
nickyboy
Norven Mankey
- Location
- You want hills? We got hills
If you're self employed you can faff around on Cyclechat all day if you want to
However, my slightly more serious comment is that I only recommend going self employed if one of these applies:
1) You have no significant regular outgoings to fund
2) You have built up a large pot of savings
3) You have already scoped out clients that have committed to giving you work from day 1
You've already said that (1) doesn't apply. So unless you have either (2) or (3) ....and ideally both...I'd stick with the job if I were you. Of course, there's nothing to stop you building up some savings and sounding out potential clients while you are still in your job (but be careful that in doing so you do not contravene your contract of employment) so you could make the step at some time in the future
However, my slightly more serious comment is that I only recommend going self employed if one of these applies:
1) You have no significant regular outgoings to fund
2) You have built up a large pot of savings
3) You have already scoped out clients that have committed to giving you work from day 1
You've already said that (1) doesn't apply. So unless you have either (2) or (3) ....and ideally both...I'd stick with the job if I were you. Of course, there's nothing to stop you building up some savings and sounding out potential clients while you are still in your job (but be careful that in doing so you do not contravene your contract of employment) so you could make the step at some time in the future
Smokin Joe
Legendary Member
- Location
- Bare headed cyclist, Smoker
I've been self employed for nearly thirty years, half of them in partnership with Mrs SJ and the rest on my own (Different job) but with Mrs SJ subbing for me part time on a commission basis (Which is how I earn my money).
We do ok, but I wouldn't recommend it. No holiday pay, you're gambling on your health and unless you can earn a very good wage way above the national average you can forget about a pension, you simply can't afford it. We've been lucky in that we've built up a good reputation and mostly been busy, but when you go through bad periods and the money stops coming in the bills don't. The lifestyle suits me because I'm arrogant and conceited enough to think I always know best and hate taking orders from those whose opinions I consider to be inferior to mine (Everyone else in the world), but whatever hours you put in on the job itself add another 20% at least on unpaid admin duties. You're never really off work, you can't ignore the phone just because it's ten o'clock on a Saturday night.
We do ok, but I wouldn't recommend it. No holiday pay, you're gambling on your health and unless you can earn a very good wage way above the national average you can forget about a pension, you simply can't afford it. We've been lucky in that we've built up a good reputation and mostly been busy, but when you go through bad periods and the money stops coming in the bills don't. The lifestyle suits me because I'm arrogant and conceited enough to think I always know best and hate taking orders from those whose opinions I consider to be inferior to mine (Everyone else in the world), but whatever hours you put in on the job itself add another 20% at least on unpaid admin duties. You're never really off work, you can't ignore the phone just because it's ten o'clock on a Saturday night.
It was a leccy/gas business that was proposed. No significant funds are required to set one up.
....apart from those I listed.
mr_cellophane
Legendary Member
- Location
- Essex
Tools, van, registration with a professional body, on going training, advertising.
See if you have any other skills/training which can be used as a second income when times are quiet - Cycle mechanic, bikeability instructor ?
See if you have any other skills/training which can be used as a second income when times are quiet - Cycle mechanic, bikeability instructor ?
To start up, transport is a car, a van hired when needed, similarly with equipment, not much is needed and what is can be hired, a website is peanuts and not much use locally beyond hosting pics and referrals, insurance can be paid monthly, advertising is phone and legwork with 5000 double sided coloured flyers for less than £75. A simple local business like this doesn't need much cash at all, or a partner, to set up.
I've done it, the last business (Rubberfix.co.uk) was set up for about £100, within 3 years it was turning over 250k.
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young Ed
Veteran
both my parents are self employed and i can't see my self spending much time employed properly for someone and as my mum proved very recently going into business with friends is not always a great idea. mum and friend and both garden designers and do a great job of it and are both self employed (mum has been in the trade for donkeys years now but friend has maybe been in it 5 years or so) and they somehow both ended up with a part on the same project and it was mayhem and my mum hated it and it's all fallen to pieces. good as a friend but crap to work with.
just warning you as my mum hadn't seen this coming.
self employed can be great though with more freedom and you get to make the decisions (you might see this as a good or bad thing) and flexible working hours etc.
at the same time work is variable and there's big risks involved and you never know when a client might mess you about and when one might just drop you dead on the spot
one way which is a bit of a mix of both worlds is freelancing/contracting. for example take my dads mate who he has known for 35 years or more and still comes to do a bit of building work and plumbing for us. he is a builder and trained and qualified plumber but has a contract with a chap who buys a plot of land gets his contacts to build a house on it and then sells it off. my dads mates part in it is he gets the contract to plumb each house up but if he doesn't want to do that house he can just say no thanks, at the same time if my dad needs him he can just say i'll do that plumbing next week.
so it might be worth looking into getting a contract with a building firm to do electrics or plumbing etc as a contractor rather than employed for them, so long as you get the job done they pay you but you get to do the job how you like when you with in reason
Cheers Ed
just warning you as my mum hadn't seen this coming.
self employed can be great though with more freedom and you get to make the decisions (you might see this as a good or bad thing) and flexible working hours etc.
at the same time work is variable and there's big risks involved and you never know when a client might mess you about and when one might just drop you dead on the spot
one way which is a bit of a mix of both worlds is freelancing/contracting. for example take my dads mate who he has known for 35 years or more and still comes to do a bit of building work and plumbing for us. he is a builder and trained and qualified plumber but has a contract with a chap who buys a plot of land gets his contacts to build a house on it and then sells it off. my dads mates part in it is he gets the contract to plumb each house up but if he doesn't want to do that house he can just say no thanks, at the same time if my dad needs him he can just say i'll do that plumbing next week.
so it might be worth looking into getting a contract with a building firm to do electrics or plumbing etc as a contractor rather than employed for them, so long as you get the job done they pay you but you get to do the job how you like when you with in reason
Cheers Ed
DCLane
Found in the Yorkshire hills ...
- Location
- Dewsbury, West Yorkshire
SWMBO's gone self-employed after being made redundant from the NHS earlier this year.
Be prepared for a few months with no income; she's doing the set-up stuff but we're living off her redundancy at the moment. Some government handouts are coming in but not much.
Be prepared for a few months with no income; she's doing the set-up stuff but we're living off her redundancy at the moment. Some government handouts are coming in but not much.
My Mrs has just set up her own business in Podiatry, qualified last year after taking redundancy a few years back. Went back to college then Uni and got some experience. Only be running for a month or so now but its slowly picking up. Important things are know you market, do the research and advertise well!! I was crapping it to be honest as we have piled money into it as we needed do buy expensive stuff to start with, so we have plenty debt but hoping that things will eventually pay off. If it does take off and filled her weeks, it will be a good earner, compatible to my income just now. The difference for us i suppose is that I`ve supported the family anyway for years now, so not quite as big a gamble and mortgage should be paid of next year so even less pressure i suppose. It`s difficult choice but in some ways a good push is all you need to make a go of it!
How is she finding the transition from NHS employee to self employment? I have gone the other way and it's great fun.
I know your not asking me but my Mrs was trying to get into the NHS locally in her chosen field, very difficult it was unless willing to move house down south ! Also some of her uni pals who did move down south ( young uns ) have now left the NHS, siting nightmare workloads, so now gone private!
Good luck to your wife, my neighbour runs her own "foot" business and has regular/repeat clients, she really enjoys the work.
