Self Employed???

[4fortyDemon]

I own my own auto repair shop for 3 yrs now. I started working on cars in 1980 in high school. I went at it a different way, I bought my boss's business. It was already established so I didn't have to worry about bringing the business in...initially. You still have to do a good job and think of creative ways to retain (yes alot of it DOES depend on how much you charge these days) and gain new customers.
If your not sure of what you want to get into- as far as WHAT type of business, think of this scenario. Actually, you just think of economic times like now. What will people NEED even during hard times? Likely not a new restaurant to go eat being they can't afford to go out. Not likely a Hot Rod ONLY shop (unless your THAT good and people are already beating down your door for your quality work), Just think of things like that.
I saw a nice ART store open up last Spring in our town, I even used them to frame a cool A-body print that I bought. They closed last month.
Another pseudo- mechanic shop just closed up 2 weeks ago- they only wanted to do oil changes.

On the other side of the coin, a Pawn shop opened up and they are BOOMING. Just think outside the box. I tried the transition phase- It'll wear you out. I was working for a wrecking yard and trying to start MY OWN mech shop out of my small 1.5 car garage. Imagine you working two separate jobs, well, that exactly what your doing. If your single , that's one thing- but if your married, have a pair of matching kids to go with, your gonna be lacking in one dept. or the other. Either your business is gonna suffer cause your not putting enough time to get it going or your marriage and family are going to get the big empty from you. AMHIK!!!
I could go on.... lastly- get a good bookkeeper!! Forget about doing all your paperwork. You have a job to do, customers to service. Unless you like staying up late doing paperwork and pulling your hair out trying to get figures to jibe. I hope this is some help.
It CAN be one of the most rewarding things that you can ever do in your life OR it can keep up up nights, give you health problems from stress and suck the life from you if you let it. Oh- one more thing. If your not conservative- you WILL BE. You'll have a different look at the gov't when you see how much crap they put you through with red tape and taxes.
I wish you the absolute BEST of luck and please feel free anytime to PM for any questions!!
Mike- 4fortyDemon

 

[kujo]

4) Something I learned recently - if you have a 401K or IRA, you can use that money,
without penalty to finance a business. These accounts currently own business stocks
so you basicly use the money to buy the stock in your own company and your company
becomes your 401K.

I didn't know this. This is the absolute best advice I've read in a long time. Do you have any more information on how to do this? Thank you.

 

[dustermaniac]

I started my own business 3 yrs ago after losing everything I owned in a house fire and then being let go from another job I was working at the time. My line of business is in the same field as which I was employed in (Appliance Installations) I had a shoestring budget $800.00 and already had my tools from my last job. Took some business courses for free at the local community college. Bought a very used 88 Chev Van and started getting my name out there. Actually I was getting my name out there before I started my own gig through Craigslist services posting (It's free) Was fortunate enough to get in contact with a district manager from Sears and set up a meeting. I was working for another of Sears Subcontractors who stiffed me out of $3700.00 in pay for completed work. I saved all the e mails and voice mails I was sending and receiving inquiring as to where my paychecks were, and in this meeting I played this guys excuses for not paying me and showed him the e mails and explained to him this is why the calls were not getting completed because I couldn't afford to run my truck without paychecks. After the district manager saw my evidence and documents, he got me quick approved as a contractor on my own and I have never looked back. it is a LOT of work to make any business run and there will be lean times. I know firsthand of this. I do all of my business functions from scheduling to installing to paperwork. But I wouldn't trade it for going to work for "the man". I do not mind working 16 hr days as long as I am the master of my own destiny. As stated you will defiantly become a conservative in your view of how Government is NOT on the side of small businesses. Good luck and keep us posted.

 

[OneOfMany]

Hard work, long hours, poor income (especially up front), poverty life style, overbearing regulations, never-ending expenses.

Other than that, I would never go back to working for a company again! Just the ability to say "self-employed" while taking out the garbage makes it worth while.

Self-employed = self-empowered.

But then again, I was in my mid-30s, and had the fortune of being single for the first five long years. Now at almost 50, I don't think I would have the energy, motivation, and time to do it again.

Good luck on your decision.

Grant

 

[stumper]

I didn't know this. This is the absolute best advice I've read in a long time. Do you have any more information on how to do this? Thank you.

I didn't know it either but was put in touch with a couple of different consultants who basiclly become the third party administrators for your new 401K program (that's how they make their money). Had a couple of phone conversations with them to get the details. There are fees up front to get it all set up of around $5k. Stipulations of course on how it must be set up and used. You have to set up a "C" corp which can have some downsides vs LLC etc.. You can probably do a search to learn more or if you want I can give you the name of the two companies I talked to. There is a lot more that I need to learn on the process but I am likely going to go this route to get my business set up. I think the bottom line is that you need to believe that you can earn a better return on your 401K in your own business that it gets through it's current management - plus you are paying yourself the interest you would normally pay a bank for financing..

 

[AdamR]

Ive been "self employed" for a year, I use quotes because I have partners. Be very careful with partners. Im very laid and willing to give anything a shot but we still do plenty of bumping heads.