6 Misconceptions About Owning a Small Business

Most entrepreneurs agree that starting your own business is well worth the hard work and effort. However, it’s not an easy alternative to the traditional nine-to-five job. Here business owners share the biggest misconceptions about owning a business—and the realities of entrepreneurship. 1. You can set your own hours. Flexibility is one of the benefits most frequently cited by would-be entrepreneurs. But it comes at a cost. “As the saying goes, ‘Entrepreneurs get to choose which 18 hours a day they work,’” says Josh Winzelberg, president and founder of Vodka Mariette in New York. In the early months and years of your business, you will likely find yourself working longer hours. “When you are getting everything going, there is often much less flexibility. Nights and weekends which used to be reserved for family and friends when you had a day job start getting traded for urgent business matters,” says David Waring, editor of FitSmallBusiness.com. 2. You can be your own boss. While it’s nice to imagine not having to answer to anyone, small business owners agree that everyone serves someone. “My clients are my bosses,” says Erica Arrechea, a business consultant and co-founder of the matchmaking service Love Love International in Santa Monica. “It’s as if I have five to 10 bosses at one time.” Winzelberg says small business owners often juggle even more than just clients. “Instead of the boss, you must satisfy investors, partners, suppliers, vendors, customers and many more people,” he says. 3. You can take unlimited vacations. In reality, entrepreneurs often find it harder to take a vacation. “It’s harder to turn it off when you know there is always more to do. It took me years to take a vacation,” says Paige Arnof-Fenn, founder and CEO of Boston-based marketing consulting firm Mavens & Moguls. Even when they do take time off, checking out completely can be difficult for entrepreneurs. “It is much easier to walk out of a job at the end of the day and just turn it off. When your name is on the door, it can be impossible to ever turn it off. You are always on,” Arnof-Fenn says. 4. You can replace your income right away. Even if you start with a great idea or a decent client base, it can take years to build up to your previous salary. “From my experience it generally takes three years or longer before you are making the same amount that you were making when you quit your day job,” Waring says. 5. You don’t have to work with a team. Many aspiring entrepreneurs imagine themselves doing it all without dealing with office politics. Small business owners are quick to caution against this do-it-yourself mentality. “You need counseling and guidance—even an extra set of hands—on specialized areas that you might not have enough knowledge on,” says Los Angeles-based writer Angelique Pivoine. The areas where small business owners are most likely to need help include technology, marketing, accounting, human resources and legal counsel. “The time it takes for you to become an expert in these fields is better spent running your business,” Pivoine says. 6. You get to do what you love. Entrepreneurs are known for being passionate about what they do, but small business owners often find themselves so busy with running the business that there is less time for their trades. “You have to focus on everything, not just the aspects of the business that interest you,” says Todd Horton, founder and CEO of KangoGift in Cambridge, Massachusetts. “Many people embrace entrepreneurship to ‘do what they love,’ or pursue a dream to build something or just be free. While some of that is true, you also must balance the books and pay vendors while delivering great customer service. Business ownership requires a willingness to take it all on.” **Fortunately, the benefits outweigh the challenges for most business owners. “If you like wearing many hats and enjoy being able to bring a vision into a reality, it can be the most rewarding thing you have ever done,” says Wendy Solomon, owner of Flawless Day Spa in Chapel Hill, NC. Source: National Federation of Independent Business (NFIB), 1/16/15.