 |
| This picture is in the public domain. |
Even with all of the risks, the rewards of
owning a small business such as a sign shop or Tee-shirt business often outweighs
the disadvantages. From a financial standpoint, if your current employer pays
you much less than you think you can make on your own, it may be time to start
your own business. In addition to the monetary rewards, opening a new business
can satisfy many of your other needs.
owning a small business such as a sign shop or Tee-shirt business often outweighs
the disadvantages. From a financial standpoint, if your current employer pays
you much less than you think you can make on your own, it may be time to start
your own business. In addition to the monetary rewards, opening a new business
can satisfy many of your other needs.
.
The most obvious advantage is it is great to
be the boss. No one is looking over your shoulder scrutinizing your activities.
You get to make all of the decisions and never need to answer to anyone, other
than your customers, the government and the bank or investors. Small businesses
are also more nimble that large organizations because you are not constrained
by a plodding bureaucracy.
be the boss. No one is looking over your shoulder scrutinizing your activities.
You get to make all of the decisions and never need to answer to anyone, other
than your customers, the government and the bank or investors. Small businesses
are also more nimble that large organizations because you are not constrained
by a plodding bureaucracy.
You have heard the saying that if you do what
you love to do, you will never work a day in your life. If you have a passion
for the sign making business, you are living your dream and getting paid for
it. Designing and manufacturing appealing graphics, gives you a chance to
create something that you can be proud of.
you love to do, you will never work a day in your life. If you have a passion
for the sign making business, you are living your dream and getting paid for
it. Designing and manufacturing appealing graphics, gives you a chance to
create something that you can be proud of.
What’s more, what you create as a visual communications specialist can help other
businesses grow and prosper. The sense of providing a valuable service to your
community should satisfy your self-esteem. As a member of your community, you
also have the opportunity to become involved in local activities and engage in
charity work in your town or city.
businesses grow and prosper. The sense of providing a valuable service to your
community should satisfy your self-esteem. As a member of your community, you
also have the opportunity to become involved in local activities and engage in
charity work in your town or city.
Adding to your job satisfaction, owning your
business requires you to master a variety of skills, including accounting,
sales and marketing as well as the technical aspects of production. What is
especially satisfying is building a new graphics business that fulfills your
dreams and provides your family with their desired lifestyle.
business requires you to master a variety of skills, including accounting,
sales and marketing as well as the technical aspects of production. What is
especially satisfying is building a new graphics business that fulfills your
dreams and provides your family with their desired lifestyle.
As your business grows, you will need to hire
employees, which provides others with a paycheck and hopefully enriches their
lives with rewarding careers. Better yet, as an employer you get to decide who
you want to work with. You get to choose those who share your passion for the
business. You also have the latitude to dismiss those whose negative energy saps
the enthusiasm of your team.
employees, which provides others with a paycheck and hopefully enriches their
lives with rewarding careers. Better yet, as an employer you get to decide who
you want to work with. You get to choose those who share your passion for the
business. You also have the latitude to dismiss those whose negative energy saps
the enthusiasm of your team.
As your own boss, you can make your schedule.
This gives you a chance to take the time off when you need to enjoy your
family. Of course, most successful shop owners devote countless evening hours
and weekends to their businesses.
This gives you a chance to take the time off when you need to enjoy your
family. Of course, most successful shop owners devote countless evening hours
and weekends to their businesses.
Owning your own shop means that you are
assuming a tremendous amount of risk. The good news is if your business is
successful, you have the chance to make more money than working as an employee.
assuming a tremendous amount of risk. The good news is if your business is
successful, you have the chance to make more money than working as an employee.
As a shop owner you can also write off many
expenses that you can’t write off as an employee. These write-offs include entertainment,
vehicle expenses, retirement contributions and travel expenses. Always consult
a tax professional regarding legitimate deductions.
expenses that you can’t write off as an employee. These write-offs include entertainment,
vehicle expenses, retirement contributions and travel expenses. Always consult
a tax professional regarding legitimate deductions.
Disadvantages
With all of the advantages of owning your own
shop, there are some disadvantages. While you can increase your income as a
business owner, the risks are high. According to Bloomberg, 80% of businesses
fail within the first year and a half. This means you could lose your investment.
shop, there are some disadvantages. While you can increase your income as a
business owner, the risks are high. According to Bloomberg, 80% of businesses
fail within the first year and a half. This means you could lose your investment.
The reasons for failure are varied. Many new startups lack sufficient funding
to sustain themselves during the precarious first two years. Other reasons
include a failure to identify an unmet need in the marketplace. New shops also
fail if they don’t differentiate themselves from the competition or because
they do a poor job of communicating a difference.
to sustain themselves during the precarious first two years. Other reasons
include a failure to identify an unmet need in the marketplace. New shops also
fail if they don’t differentiate themselves from the competition or because
they do a poor job of communicating a difference.
As a new business owner, also expect to work
very long hours and experience elevated levels of stress. This added pressure can
be hazardous to your health and can stain your personal relationships.
very long hours and experience elevated levels of stress. This added pressure can
be hazardous to your health and can stain your personal relationships.
What can also challenge a new business owner
is disciplining yourself to set aside enough money to pay your taxes. Owning your
own shop also means that you need to provide for your own medical expenses. The
good news is that you may be able to deduct all or some of these expenses on
your taxes.
is disciplining yourself to set aside enough money to pay your taxes. Owning your
own shop also means that you need to provide for your own medical expenses. The
good news is that you may be able to deduct all or some of these expenses on
your taxes.
Finally, while owning your own shop allows
you the advantage of doing what you love, running a business also involves some
responsibilities that you may not love. I know some talented sign makers who
love designing and manufacturing graphics, but hate either sales or dealing
with the public or they detest the accounting aspects of business.
you the advantage of doing what you love, running a business also involves some
responsibilities that you may not love. I know some talented sign makers who
love designing and manufacturing graphics, but hate either sales or dealing
with the public or they detest the accounting aspects of business.
Do You Have Questions or Comments?
About Jim Hingst: Sign business authority on vehicle wraps, vinyl graphics, screen printing, marketing, sales, gold leaf, woodcarving and painting.
After fourteen years as Business Development Manager at RTape, Jim Hingst retired. He was involved in many facets of the company’s business, including marketing, sales, product development and technical service.
Hingst began his career 42 years ago in the graphic arts field creating and producing advertising and promotional materials for a large test equipment manufacturer. Working for offset printers, large format screen printers, vinyl film manufacturers, and application tape companies, his experience included estimating, production planning, purchasing and production art, as well as sales and marketing. In his capacity as a salesman, Hingst was recognized with numerous sales achievement awards.
Drawing on his experience in production and as graphics installation subcontractor, Hingst provided the industry with practical advice, publishing more than 150 articles for publications, such as Signs Canada, SignCraft, Signs of the Times, Screen Printing, Sign and Digital Graphics and Sign Builder Illustrated. He also posted more than 500 stories on his blog (hingstssignpost.blogspot.com). In 2007 Hingst’s book, Vinyl Sign Techniques, was published. Vinyl Sign Techniques is available at sign supply distributors and at Amazon.
© Jim Hingst 2018
