Being your own boss sounds like a dream come true, right?

No more running around after someone else. You get to pick the projects you work on and maybe even choose your own hours. Plus, if you’re the boss, you can create the kind of business that you really love working in.

Being self-employed or starting your own business is a wonderful experience for many people. However, it also comes with various challenges to consider.

Let’s face it, not everyone is cut out to be their own boss. Some people struggle with not having a consistent source of income. Others hate having to run around marketing themselves to potential clients.

If you’re planning on going self-employed, it’s time to do some self-discovery.

Are you really prepared to be your own boss?

Ask yourself these questions to find out.

Do You Have a Business-Owner Personality?

Once you embark on your new career as a business owner, you’ll be responsible for everything, especially at first.

There’s no-one else to handle the tough stuff. You’re going to have to find clients. It’s up to you to maintain a consistent income, and you need to be the person who handles the taxes too.

So, are you the kind of person who can handle that kind of responsibility?

To determine if you have a personality that supports your desire to be a business owner, ask yourself these questions:

• Do I need help managing my schedule?
• Do I struggle with things like taxes and finances?
• Do I give up easily if things get difficult?
• Am I hesitant to work on things I don’t enjoy?

If the answer is “yes” or “maybe” to any of those questions, you may want to rethink whether being your own boss is right for you. If the answer is “no,” then great, let’s go to question 2.

Have You Done Enough Research?

How sure are you that you’re getting involved with a good business idea? Are you diving into something that just seems good on the surface?

These days, it’s extremely easyto build a business in the digital world. Around 4.41 million new business applications were submitted in 2020 alone. However, just because you can start a business easily, doesn’t mean you should rush in.

Do your research and ensure that you have a solid plan for making money:

• Do you know if there’s a demand for whatever you’re selling?
• How are you going to find customers?
• What are you going to do if you have a bad month or a rough patch?

Imagine that you were selling this business idea to someone else. How could you convince them that it was a good idea? If you can’t, then you shouldn’t jump in yourself.

Do You Have a Safety Net?

Part of starting your own business is coming to terms with the fact that you’re not always going to make a consistent income. There are going to be rough patches, particularly when you’re first starting out.

With that in mind, how comfortable do you feel in your ability to survive if something goes wrong? Can you fall back on your savings? Can you get a loan?

Speaking of initial finances, how are you going to handle finding the cashto get into business in the first place? Even if you’re running your company online, you’re going to need some money for things like software, perhaps a new computer, and a desk.

With a little luck, you’ll have this money saved up from your previous job. If not, go into this new position with caution.

Avoid spending all your income every month. Put some money aside whenever you make something, just in case.

Are You Ready for the Workload?

Finally, being prepared to be your own boss also means preparing for a boss-level workload.

Eventually,you’re going to be able to hire people who can help you out with all the work you need to do. Just remember that this takes time. At first, you’re going to be doing a lot of stuff on your own. That means some seriously long hours.

Plus, even when you get to the point where you’re confident in taking on employees, that doesn’t mean that you can just sit back and relax. Hopefully, your business will continue to grow. It’s up to you to stay on the move, helping your company to evolve in any way you can.

Ask yourself if you’re willing to push yourself to new levels and keep working until you accomplish your goals. If you are, then you’re definitely going to be a killer boss. If you’re not, then maybe being your own boss isn’t really what you want deep down.

Taking time to ask yourself these questions before you dive into running your own business is important. This process can save you a lot of time, trouble, and money, whether you decide to go ahead with your business idea or not.