Are you tired of the daily grind at work and seeing nothing but a dead end career? If you have been in the workforce for a while, it’s not easy to change your line of work . And changing job may help for a while, but you’ll still be doing the same dreadful thing. If you are in this position, becoming a part-time entrepreneur might be just the thing for you. A new self-started enterprise could rejuvenate you and give you an eventual opportunity to leave your job with minimal risks.
Photo by MattB via Flickr
Advantages Of Part-Time Entrepreneurship
By not leaving your job right away and start your side business on a part-time basis, you’ll be able enjoy several advantages:
Steady Income And Benefits
Perhaps the most attractive part of a regular job is the steady income and the benefits — i.e., insurances, vacation days, 401k (and/or pension), tuition reimbursement, professional training, etc. You do not have to give up any of these as a part-time entrepreneur.
More Room To Make Mistakes Or Take More Risks
Since you are not solely dependent on your business income. You can afford to make a few mistakes without worrying about your cash flow too much. You could try different things, or push your ideas to the limit, knowing that your regular income will be there in case things don’t work out according to plan.
Go At Your Own Pace
Again, having a steady income from your job allows you to go as fast or as slowly as you want. You do not have the pressure of “I’ve got to make it” on your shoulders.
Disadvantages Of Part-Time Entrepreneurship
Not Getting Its Fair Share Of Attention
Because the pressure is not there, your new enterprise may never get the attention it deserved. Part-time businesses often fall victim to other priorities, such as the job that pays the bills, and family matters.
Negatively Impact Your Job And Family Life
Even the simplest endeavor takes a lot of time and resources. You could be stretched even thinner than you already are, and other aspects of you life may suffer.
Never Grow Out Of The Part-Time Status
Your part-time business could turn into a nice source of extra income, but never fully replace your job. This could leave you with an unsatisfactory career and a side business that never takes off.
How To Become A Part-Time Entrepreneur
- Start with ideas related to things that you enjoy doing. After all you want to get away from the stuff that you do not like. And you’ll be spending a lot of time getting your business going so you might as well do something you like.
- Create proper business plan. Even if you have a very simple business, you want to do your research and start with a good plan. Small Business Administration (SBA) has some of the best resources on the web to get you started. At the least, you want to make sure your business is viable.
- Implement and execute. The best plan and idea don’t mean a thing unless you can turn it into reality. This is the part where it takes some courage and a lot of willpower to make things happen.
- Learn and improve. Even if your business fails, it’s a success if you can learn something from it. Very few people are successful on their first attempt, so don’t give up. Your task is to learn from past failures and turn that cumulative experience into an eventual success.
A great collection on articles about entrepreneurship:
If you are looking for more information, I highly recommend my Extra Income Guide. Moreover, here are great articles from the group writing project that inspires this article.
- 5 Tips for Starting a Small Business at Get Rich Slowly
- Are You Thinking of Quitting the Nine to Five? at Mighty Bargain Hunter
- My Best Advice for New Entrepreneurs at Free Money Finance
- Advice for Entrepreneurs at Five Cent Nickel
- Can You Be an Entrepreneur In Your Spare Time? at Consumerism Commentary
- My Best Thoughts for the New Entrepreneur at No Credit Needed
- How to Encourage Your Budding Entrepreneur at All Financial Matters
- Create a Business Plan by Answering 4 Simple Questions at Wise Bread
- Basic Business Advice From an Accidental Entrepreneur at The Digerati Life
- Of Exit Strategies and Small Businesses at Blunt Money
- My Advice for New Entrepreneurs at No Debt Plan
- So You Think You Can Sell Banana Peelers? at Personal Finance Analyst
- 6 Key Tips for Starting a Part-Time Business at Think Your Way to Wealth
Pinyo Bhulipongsanon is the owner of Moolanomy Personal Finance and a Realtor® licensed in Virginia and Maryland. Over the past 20 years, Pinyo has enjoyed a diverse career as an investor, entrepreneur, business executive, educator, financial literacy author, and Realtor®.
Pinyo-Great post. I agree that a side business is a good way to increase your income and phase yourself out of the workforce into entrepreneurship. Since it is part time it also poses minimal risk. You are right that a business plan is important but I wouldn’t go to the SBA for this. They will point you towards a multipage document that will just collect dust. What is really needed is a one page document that focuses you on marketing to your customer. It should precisely define your target market niche. It should discuss what they find important, their wants,… Read more »
Nice post. Thanks for sharing great articles about entrepreneurship. But I have a question for you, would you rather have a job and a part-time business….or stick with your job for a while, then develop your part-time biz, once successful, resign and develop full time your “part-time” biz?
Good tips Pinyo. I’m glad to see I’m doing some things right even though it sometimes seems things may not ever work out.
@B Smith — Thank you. You’re right that a full fledge business plan is not always needed, but it’s worthwhile scanning through several sample plans so that you can see all the things you need to consider. @Sam — It’s all depend on the potential of the job versus my own business. If the business is stable enough and has the potential to outperform the job + part-time combination, I’d definitely consider it. That said, I have been in the corporate world long enough to be considered “trained” on getting my paychecks twice a month, so it may take something… Read more »
Pinyo, I haven’t visited in a while, but this is a great article … the sort of article that people interested in getting ahead of the pack financially need to read because saving and paying down debt can only get you sooo far, and then what …. ?
By that way: probably the BEST resource on this subject is Guy Kawaski’s own book “The Art of the Start” … certainly for ‘online’ businesses.
For ‘bricks and mortar’ businesses, the BEST book is EASILY: Michael Gerber’s “The E-Myth Revisited” (or the various other books in the series).
I completely agree with putting everything into a Business Plan – even as minute as it may be. It forces you to really sort out your ideas and plan for the future. I’m not sure where you’re located, but in NYC the Science and Business Library https://www.nypl.org/locations/sibl ) has some really great resources – as well as SCORE (www.score.org) who places you with a mentor to help you sort out and build a Business Plan.
You should outsource your extra work to those who are best doing this kind of work. Hiring a virtual assistance would be the best.
Nice set of links. I’m doing my best to be a part-time entrepreneur at the moment – with varying success!
Good points Pinyo- there are definitely advantages and disadvantages to starting your own part-time business. Thanks for including my article in the list!
@AJC — Thank you, and thank you for the book recommendations. Glad to see you back here again. 🙂
@Lauren — Those are excellent resources. SCORE is definitely a good place to start. I think they even provide free seminars and books.
@Sachin — Outsourcing is appropriate for some business, but certainly not all. That said, hiring other people to do your work so that you are free to do something else is an important part of growing your business.
@RC — No problem.
Hi, I found this article very helpful. I want to start something of my own, but I am running short of ideas. I have a full time job, thus dont have much time during the week. But I can surely spare some time in the weekends. I am tired of my current 9 to 6 job due to its monotony, but cant leave it as it pays off my bills..
Can you suggest me some ideas that I can pick up to research futher and start something on my own.
Priyanka, I suspect there are a few ideas in this extra income ideas list that you can use.