“Normal” life may have been disrupted around the globe, but that doesn’t mean now is not a good time to start a new business. The COVID-19 pandemic has created a massive economic crisis, but it has also generated new demand and opportunities for small businesses. To better understand the motivations for starting a business, BizFilings surveyed nearly 600 current and future small business owners across various industries. The freedom to be your own boss was identified as the top motivator (48%), closely followed by the pursuit of a lifelong dream (30%). Just over a quarter (26%) of respondents see business ownership as an opportunity to utilize their education and skills.
Starting a small business is a big step for anyone to take. It may require leaving the comfort and security of a regular job for a more uncertain financial future. For others it can be a way out of unemployment and an alternative way to generate income.
Whatever your starting point, here are seven reasons why now is a good time to start a new business.
1. Freedom to be your own boss
As our survey results show, the freedom to be your own boss is the top motivator for business owners to strike out on their own. In addition to controlling the hours you work, owning a business gives you the freedom to make executive decisions about your company’s future. It also allows you to set the culture and values of your enterprise and steer it in a direction that advances your career and benefits your family and employees.
2. Acting on a lifelong dream
Do you have a passion or hobby that you’d like to turn into a business? Do you have a particular skill that’s in demand, such as cookery, writing, woodworking, or landscaping? Starting a business allows you to make a living while pursuing a vocation that you are personally invested in — which can bring greater fulfillment and enjoyment to your life.
3. Making a career change
There are many motivations for a career change. You might be burned out, missing out on opportunities for advancement, or unhappy with your current working conditions. Starting a business is a great way to move your career forward and explore your full potential.
4. Opportunity to continue learning
Owning a business opens doors to many learning opportunities. Business owners are presented with new challenges each day and must wear many hats. Taking on new projects and seeing the world through a new lens can lead to the acquisition of different skill sets and bring new meaning to the work you do.
5. Contributing to social good
Perhaps you’re motivated by a desire to effect positive change. Starting your own business provides the means to do so. Plus, today’s generations are drawn to companies and brands that take a stand on environmental and social issues. Showing your commitment to a purpose or cause — whether through the goods and services you sell, or your actions in the community — can boost your business reputation and improve your profits.
6. Fulfilling a market need
The current pandemic has shifted how we live and work, creating unique market opportunities. Turning your idea into a business and being the first to meet that need could position you for a profitable future. Once successful, you might consider franchising your business model so that you can expand it into other markets and locations.
7. Starting a business later in life
Self-employment among retirees is a lot more common than you may think. Reports show that 46% of workers age 65 to 69 and 68% of those aged 75 to 79 are self-employed. Those who wish to start a business later in life have the advantages of a wealth of business experience, self-awareness, and an aptitude for what it takes to compete and succeed. Retirees also often have financial security on their side and lower monthly cash needs. This means that starting a business can be less of a financial stress.
Before, during, or after a global crisis, there’s never a perfect time to start a business. What matters is having the passion, determination, and guidance and resources you need to ensure success.
View the BizFilings Small Business Survey 2020
Whether you’ve been in business for years or are just looking to open your doors, learn more from those who have walked in your shoes, and get best practices for addressing your pressing concerns. Download the Free Guide.