Monday, 11 June 2018

Contracting - Entrepreneurship

Entrepreneurship - what is it?

Setting aside the obvious quip about how ridiculous this word is to spell... welcome to English (French...).

In my view it's as mentioned in the prior post. Looking at your world in an entirely different way. No longer are you being led but you're leading, no longer do you just have a job, you have a profession, no longer do you just work for The Man and nod your head in all the right places, you have to think.

I was heard a sermon by an American pastor, can't remember who sorry; the idea was to ask not for a miracle but a thought, an idea. That you were just one idea away from changing the world, one thought away from being a millionaire. In my opinion, entrepreneurship is just that. It's the generation and then execution of ideas and thoughts.

As an entrepreneur your job is to *think*, to think about what can make you money, that's thinking about who your customers are, what your customer wants and that you can provide, thinking about how you will provide it, for what price, in what way and of course, when. Then bill them for it.

I said before, opening your own business, seemingly just to go IT contracting at first, will open your mind to the possibility that everything you do is now a possibility to turn a profit. Everything you do is 'business'. It may be for a large profit or a small one, but it's business for a profit.

You HAVE to make a profit
The good thing is (at least in the UK), as a Director of your own business you can direct the business to engage in whatever will turn a profit. Did you know you have a legal responsibility to make a profit? That's right Mr, Mrs, Miss, Miz, He, She, Zee, It Director, you have to keep a grip of your business, think of clever ideas and make sure your new company makes a profit.

You may well start your business with the simple idea of increasing your personal income from that of your normal wage. It's true, that for the majority of people, going contracting will help you realise an increase in the amount of cash you take home. Remembering never to get tempted by any scheme that claims you can take home even more than that of a combined dividend and salary payment. However, I'm sure that once you start delivering your IT work under an independent contract, you'll figure out related ways to make a little extra cash contracting, through diversification.

There's never been a better time to make an independent income. Despite how much HMRC are clamping down on IT contractors, to the point I think they'd like to see the whole model disappear, you can still make a good income. The tricks are as stated in the first post and diversification. No one can tell you what your business can or can't engage in, what is a legitimate area of research, trading or down right experimentation.

Your Business is your Business
If you decide your business not only delivers testing services but also coding, writing technical articles, mentoring, developing video games, researching the latest tech or just blogging crazy IT ideas - then good for you. That's Entrepreneurship with a capital E and what the country needs. Expenses and profits related to these are all legitimate. Claim those R&D Tax Credits too. Fill out your accounts and submit with confidence.

I've seen too many people limit themselves in thinking their business is *just* testing or coding. Yet, then work with other companies who provide a range of services. So can you. Do whatever it takes to make a profit. Be a true entrepreneur, be enterprising, creative and thoughtful. It doesn't cost you any more to think than not think.

Mark

PS... see that Mark J Diez, Hannover Game ad at the top right? That's me, I wrote that.
Click it and buy a copy.





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