Should I Start My Own Business Instead of Telecommuting?

Over the past few weeks we have talked about the different area’s of Telecommuting. We’ve talked about things like what telecommuting is, how much money you can earn, where to find telecommuting jobs, just to name a few.

This week we are going to talk about the pros and cons of starting your own business instead of working for someone else as a telecommuter. When you create your own business and accept your own jobs from clients you are doing work as a Freelancer.

What is a freelancer exactly? A freelancer is someone that works independently and on temporary contracts rather than for a long-term employer.

Now that we know what a freelancer is let’s talk about the pros and cons of starting your own business, rather than working for someone else.

Let’s begin by talking about the Income Potential. You would probably be able to make the same as a freelancer, as you would as a full time telecommuter (if not more). It really all depends upon your skill level and the company you are working for and/or projects you accept as a freelancer. One good thing about working as a telecommuter is that you are not responsible for handling the accounting. Therefore, your taxes, social security and unemployment are all done for you, where if you where to own your own business as a freelancer you would be responsible for making sure that those things are properly taken care of for your business.

Next let’s talk a bit about Flexibility. As a freelancer you have far more flexibility than working as a telecommuter. In most cases when you are work as a telecommuter you are expected to work certain hours, be available when other team members are available, be available for conference calls, etc. Where a freelancer can set up their own business hours, their own work schedule and work around their lives.

You may not be able to put your work on hold as a telecommuter to attend your child’s school play, where as a freelancer as long as you meet the deadlines of your clients, you will most definitely be able to use more flexibility of working your own hours.

Now let’s talk a little about Tasks. As a telecommuter once you are hired for a position you normally cannot pick and choose which projects you will take and which you will not. Normally as a telecommuter you will take what is handed to you for that job that needs to be completed and complete that project, whether it interests you or not. As a freelancer you can literally choose what type of work you enjoy and then search for clients that have projects that meet that need.

So with freelancing you can literally pick and choose what types of projects you wish to do, but keep in mind you are responsible for finding clients too. So that’s something to also keep in mind. If you enjoy having someone hand you the work and you do it no matter what it is without you having to search for clients then telecommuting might be better suited for you. It all depends on what fits best with your personality.

Let’s move onto Benefits. Sometimes as a telecommuter you may be offered some type of benefit plans. Where as a freelancer, you will literally be running your own business and would have to look into paying your own benefits such as health insurance out of pocket. So this is also something to take into consideration when trying to decide if you should work for someone else as a telecommuter or to start your own business as a freelancer.

These are just a few things to consider when trying to decide whether or not to start your own business or to do some search for a job as a telecommuter. As you can see, as with anything else both situations have their ups and downs, so its truly a matter of what is most important to you and what best fits the needs of your life.

I would suggest that before making a decision on which route to go, to talk to others that have done or are doing both telecommuting and freelance work to get their opinions and ideas. Also as with anything else I would do some research of my own and write a list of the pros and cons for each. You will then begin to see which of these best fit your needs and life.