Facing a career setback is tough, to say the least. However, it does not need to signal the end of your professional aspirations. The lessons learned from a job loss can be used to explore better opportunities for the future. One such opportunity is starting your own business. Being an entrepreneur will provide you with the freedom to pursue projects in line with your passion and work towards becoming financially independent. This article explores the benefits of making a career change and how to set up a business from the ground up.  

Benefits of a Career Change

First, let’s look at the best reasons why making a career change is the right decision:

• Taking Control of Your Career: Instead of working towards helping others fulfill their vision as an employee, being an entrepreneur allows you to pursue your own goals. Whether you want to sell products or personalized services or start a non-profit, as an entrepreneur, you’re free to pursue career opportunities that pique your interest. 

• Following Your Passion: As reported by Dr. Alison Brock, one of the best ways to overcome low self-esteem after losing a job is to follow your passion. This is because dedicating time to a career you cherish will significantly reduce stress, improve your self-image and help lead a healthier lifestyle.

Types of Businesses to Consider Pursuing 

For those trying their hand at entrepreneurship for the first time, here are three of the best options to consider:

• Freelance Writer: With an increasing number of businesses moving operations online since the start of the pandemic, the demand for freelance writers has been growing. From blog posts and social media content to website copy, writers are hired for a range of projects. Don’t fret if you have limited writing experience, as some employers on freelancing platforms are open to hiring inexperienced writers as well.

• Consulting Service: Being a consultant allows you to utilize the skills and experience developed throughout your career to help clients solve business problems. Depending on your area of expertise, you can work as a consultant in project management, strategy development, financial planning, or any other business area.

• Dropshipping: As a dropshipper, you’ll be tasked with selling goods through an online store. The benefit of dropshipping is that you’ll delegate the tasks for manufacturing, packaging, and product fulfillment to a supplier. While the supplier will be paid a commission based on sales, your investment in the business will be limited to marketing expenses, as reported by Spotify. 

Taking the Right Foundational Steps

A business with strong foundations has a higher chance of being successful compared to competitors who don’t. Here are the steps you’ll need to take:

• Create a Business Plan: A business plan serves as the founding document for your business as it lays out information regarding funding, product offerings, market analysis, competitors, and target customers. Additionally, a business plan will also play a pivotal role in securing funding from banks or venture capitalists if required in the future. 

• Establish an LLC: Running a business as a sole proprietor leaves you open to the risk of unlimited liability. Hence, the better option is to establish your business as an LLC, or limited liability company, as it provides your personal assets and financial protection from business-related liabilities.

• Hire Freelancers and Use Technology Solutions: Instead of making the common entrepreneurial mistake of taking on more than you can chew, select projects to be delegated to freelancers at an affordable cost. For instance, hire graphic designers who can create promotional materials for all marketing activities. Additionally, use tech solutions such as a PDF editor to create a concise project brief that can be amended easily as and when needed. 

Taking the Right Foundational Steps

Making a career switch to entrepreneur can be a rewarding experience for those who have recently suffered job loss. This is because turning one’s passion into a profitable business is bound to have a positive impact on their mental health in the long term. When creating your business, remember to establish an LLC and use technological solutions (PDF editor) to keep risks in check while streamlining business operations.

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