Are you sick of all your hard work benefiting someone else’s business? Are you ready to set out as a solopreneur? You might be a little afraid or unsure how to begin and to be honest, setbacks will likely occur. On the positive side, setbacks are an opportunity for growth. Here are ways to handle five common concerns that will help you on your way to becoming a successful solopreneur!
So what is a solopreneur? A solopreneur shares some similarities with an entrepreneur. Both are business owners but a solopreneur runs a business completely on their own. They are a one-person team, in charge of every aspect of a business. Many solopreneurs become entrepreneurs the moment they hire another person.
1. The Isolation Can Get Rough
Many people love solopreneur careers because they can work from home without worrying about the politics of working with others. However,extended isolation can become upsetting to even the deepest introvert. Spending days at home can become very dull and lead to a staid work environment. As a result, you should work up some options: Work at a coffeehouse occasionally, consider renting an office, or join a co-working space to help you get out of the house periodically.
When working outside your home, you can interact with others to meet your socialization needs. One benefit of co-working spaces is that they offer the chance to make new business connections, which you can utilize to enhance your solopreneur opportunities. And don’t forget to take breaks to see friends regularly.
When all else fails, you can attend a gym to work out and be around other people. You never know, you can meet potential business partners anywhere. Stay active, keep circulating to reduce isolation before it becomes a problem.
2. Health Insurance Is Your Problem
As a solopreneur, one of the biggest challenges is finding high-quality health insurance. Say you’re making a livable wage (or more)in this profession but suffer from a sudden health issue that threatens your well-being or temporarily affects your ability to work. Without insurance, you will end up suffering from potential financial loss.
In many cases, that kind of financial loss could set you and your business back while you recover. Thankfully, many types of insurance options are available for solopreneurs.
For example, group health insurance is possible for a solopreneur, though this may not always be the best option. A group health insurance plan is a discounted health insurance plan available only to people in a certain group or company. Many large companies offer these plans to their employees as a benefit. Freelancers or solopreneur have options like these as well that are offered through professional or industry organizations. Some plans are offered A private health insurance option could be the best choice, though these may be too expensive for some. A tax-free health savings account is often popular because you can add as much money as you want and draw on it when you need it.
3. Taxes Can Get Tricky
Being a solopreneur is an exciting adventure for many people but can quickly become a nightmare if you don’tadequately prepare your taxes. Making errors while calculating your business taxes can complicate your return — and even a few hundred dollars can become an issue if they’re contained in a mistake you make repeatedly.
In light of the potential consequences, you should consider hiring a professional accountant or tax preparer. These experts skillfully gauge how much money you owe and find a way to minimize your payments. (And yes, you’re going to pay almost every time as a solopreneur, unless you end up taking losses.)
Before you visit a tax professional, though, you may want an idea of where you stand first. Consider estimating your potential tax payments with aself-employment tax calculator. If you find that your tax prep expert’s final number is wildly different, you can consider other options for next year.
4. Branding May Be Complex