Entrepreneurship / Private Practice vs. Employment – The good, bad and the ugly

Everything in this world comes with both the things – benefits and losses. But that doesn’t mean we should not go for certain things. The one thing that every adult tackles with is the decision of choosing between entrepreneurship and employment. So, for all the confused people out there, I have listed the pros and cons of the employment as well as the entrepreneurship so that you choose the best according to your zone because you cannot hold onto the pros of everything.

PROS:

EMPLOYEMENT:

•      LEAVE BENEFITS

There are some leave benefits to the employees. They have certain number of leaves every year which are beneficial for employees as they can have some time out and then, they can come back with full of energy. Female employees get maternity leaves which they can use for post and pre maternity period whereas there are some paid leaves for certain employees.

•      GUARANTEED INCOME

Every month, employees are going to have a fixed amount deposited to their accounts and there is some financial security for their families unlike entrepreneurs. Employers pay the employees for all the services they provided to the company which includes the allowances, benefits and some contributions towards insurance, provident funds and health plans. The families of the employees also get covered under the health coverage plans.

•      FIXED WORKING HOURS

The fixed time that has been agreed while joining the organization is what the employee has to work for. The employee will have to work for extra hours if there is such need and the company cannot force the employee for the same against his/her will. Plus, they will be paid for those extra hours work too. So, they can do the other tasks except the professional ones, once their office timings are over.

•      WORK-LIFE BALANCE

If compared to entrepreneurs, employees can concentrate on their personal life in a better way. After a fix timing of 8-9 hours of work at office, they are back to their personal life and both the lives are balanced properly. They don’t have to get worried about the office work once they are home. Also, if there is some work for home, that’s okay because they don’t have to do it daily. They balance work and personal life and live up to their responsibilities without any stress.

•      LESS RESPONSIBILITIES AT PROFESSION

They just have to be excellent at the role that they have been assigned. They don’t have to care about what others are doing and how much they are doing. Their growth will depend on the performance that they will give at the assigned task. Their growth will be dependent on appraisal cycle and they will get a fixed increment and whether the task is completed or not, they will still have their salary for the month.

ENTREPRENEURSHIP:

•      CAREER GROWTH

Choosing entrepreneurship is going to help you to drive passion and fulfill the dreams. Everyone wants to have a career of their choice and aspire in it with a good amount of earning. Entrepreneurs can rule the business world as the growth depends on the business that one will choose and as per the market demand for that business. If these are in favor, success is not far away. One can create the world of their choices and be the leader of that kingdom.

•      INDEPENDENCE

Entrepreneurs are not dependent for the decisions because there is no boss who will command them. There will be employees working under the entrepreneur and they will be following the direction he will ask them to. Entrepreneur will take care of the things and assign roles and responsibilities to the employees. The way of doing a business is chosen by an entrepreneur by his/her own will. Nobody is going to force.

•      FLEXIBLE WORKING HOURS

Having more responsibilities on their shoulders, they can work at anytime. Since all the responsibilities and roles will be managed by the employees, they only have to handle and manage the key and major responsibilities. They have their own schedule to work and there is nobody who will ask them to do their work in fixed hours. They can complete their work or personal tasks at any time they like.

•      LIABILITY TO EARN

Entrepreneurship will be providing a chance to grow economically as they can earn as much as they can by having some process changes and strategies for their business growth. As the business growth and strategy will affect the demand for the products and that will lead to increase in the sales, affecting directly on the revenue of the organization. As the person is an entrepreneur, the major shares from the profit will definitely go to him/her. That’s why the financial growth will be much higher for an entrepreneur than an employee.

•      SCOPE TO EXPLORE

Entrepreneurs get to see new every other day as they get a chance to meet successful businessman and they face some really challenging business scenarios. They get the opportunity to understand the responsibilities of the employees and they have a clear vision about where their business will lead and how they will face their new clients and customers and all. They have to lead the whole organization and this experience is totally new from being just an employee. Also, motivating others to work for the common goal is another thing.

CONS:

EMPLOYEMENT:

•      DEPENDENCY

Employees have to follow the orders and instructions that they have been given by the boss and they have no choice to oppose the boss. Sometimes, they have to work against their will and if they try to turn against it, the effect will be directly o their appraisal. There is no freedom to make choices or pitch their voices unless and until the things are approved by the boss. They have to follow the timing rules.

•      LIMITED INCOME

The annual income of the employees is always fixed. There will no exponential growth in it except they get a bonus or increment but these will not be as big as an entrepreneur will have. The income won’t increase based on the level of excellence of the work they have done. They won’t be able to fulfill all their needs of life with such fixed amount and it may be not enough for full time settlement of life.

•      LIMITED SCOPE TO DEVELOP

The scope of developing or exploring is very limited because they don’t have to tackle problems like an entrepreneur. They won’ be meeting some successful businessmen because that is not what they are concerned with. They have fewer choices and the zeal to learn new things is long gone.

•      JOB SECURITY

The world is getting competitive at a fast pace and you always have to prove your worth so that you can’t be replaced with someone better. One has to follow all the rules and regulations of the company so that they have a job security. The organization is going to decide whether the employee will stay or not and they can also choose to stop the growth of the employee.

ENTREPRENEURSHIP:

•      STREESFUL TO HANDLE

The whole business depends on the entrepreneur and the decisions that he will take will have the responsibility of the employees and his own career. Unless and until he/she has a good team, the burden will be more on the entrepreneur. They have to know each and everything of the business they are involved in otherwise they can get stuck in some legal issues too.

•      HUGE INVESTMENT

There is a requirement of investment when going for a business. So you have to explore all the sources for it and you have to capable enough to clear all the debts and generate some profits. You have to be smart enough to generate revenue continuously and anticipate the future demand and invest on those products. If the customers don’t like the product, then there will be a loss which won’t be recovered so easily.

•      LONG WORKING HOURS

Until the success is standing on the door, it’s the responsibility of the entrepreneur to improve the business and they have to work very hard for it. They have to skip their food and sleep so that they don’t miss out on something important. For the work, they might have to forget their personal life for a while because they have to dedicate their time to the business they are into.

•      FINANCIAL INSTABILITY

There is an economic instability because when there is market demand, the entrepreneur will have huge benefits but when there is some fluctuation, they won’t be paid and they have to pay their employees and taxes and other utilities.

30-Jan-2018