Starting your own business has never been more popular. Why, despite the obvious risks, are so many people drawn to starting businesses of their own? Their reasons are as varied as the individuals themselves, but the most common include the following.



To make more money

It's a well-known saying, but nonetheless true: nobody ever got rich working for someone else. If you run your own business, the profits will go into your pockets rather than those of someone else (who probably has more than enough already). If your business does well, you can make a lot of money - certainly more than you could ever earn doing a similar job for someone else.

To be independent

In our fast-changing world, few if any jobs now offer long-term security, let alone opportunities for career progression. For many people, one major attraction of starting their own business is to obtain the security now seldom available in paid employment. By starting a successful business they hope to obtain greater independence and financial security for themselves and their loved ones, and perhaps in the long term generate a valuable legacy to pass on to their children.

To gain personal satisfaction and fulfilment

This is a very important reason, especially for people whose current circumstances give them little of either. Being your own boss gives you a measure of freedom and power. You have the chance to exercise and develop your existing skills and learn new ones, and every day to face the excitement of fresh challenges.

To obtain higher status in the eyes of others

Though some may be jealous of their achievements, successful business people are generally held in high esteem by others in the community. By providing goods or services, perhaps employing other people, and paying taxes and duties, they make a real contribution to their community and the quality of life of everyone in it.

To follow through an idea or invention

This is not the most common reason, but many businesses exist because the owner had an idea or spotted a gap in the market, and saw an opportunity to make money from it.

Many people think from time to time about starting a business, but frequently it goes no further than that. Often it takes the spur of a sudden change in circumstances for vague plans to crystallise into something more definite. So perhaps one more reason should be added to this list:

To escape from a sudden, unwelcome change in circumstances

The most common example is unemployment caused by redundancy, but there may also be changes that make your position at work uncomfortable or even untenable. For example, a reorganisation may mean that the nature of your job changes fundamentally, or a new manager may be appointed who decides your face no longer fits in his or her department. Or the change may be nothing to do with your job: perhaps for family reasons it becomes essential for you to spend more time at home (e.g. to care for an elderly relative). Any of these circumstances may provide the incentive for people to seriously consider setting up on their own.