‘Don’t Go Broke as the Boss’ by Michael Newman
Michael Newman’s latest ‘e-Wealth Daily’ article is titled “Don’t Go Broke as the Boss”. [‘e-Wealth Daily’ Article]
Michael Newman’s latest ‘e-Wealth Daily’ article:
Don’t Go Broke as the Boss
Can you afford to go broke when you’re running a business? Probably not, so it’s interesting that so many entrepreneurs and small business owners insist on doing so.
For some reason, many entrepreneurs feel as though they shouldn’t pay themselves a decent salary as they build their business. They focus too much on paying contractors and employees, paying bills and re-investing into the business that oftentimes they neglect themselves. Instead, they stick to the notion that all their hard work and sacrifice will pay off down the line when they eventually sell.
This shows that the entrepreneurs believe in hard work, and that’s a good thing. At the same time, however, it’s quite important that they pay themselves a decent salary along the way.
Remember, you’re the boss and should be paid like one. If employees or contractors see that you’re paying them more — or at least a comparable wage — it takes a little bit away from your authority. After all, you’re the boss; you should be making the big bucks!
Furthermore, paying yourself a decent salary can keep you motivated to build. By taking 3-4 cents of each dollar of revenue, you can pay yourself like a CEO and watch your bank account grow. Take the rest to cover your costs and you’ll start noticing how rewarding it is to watch both yourself and your company get richer.
The fact is that, if all the money your business makes is going into expenses and operating costs and you’re unable to afford a salary for yourself, it’s not really working. In this case, you’re probably just pumping your time, money and effort into something that likely has a root problem that will make it unlikely to succeed. Tweaking your business plan may be something worth looking into if you can’t pay yourself!
Remember, you should be rewarded for your hard work both now and in the future. After all, you’ve taken the risk and likely started your business with the dream of being successful and living a comfortable life. Pay yourself accordingly and grow along with your business!
e-Wealth Daily
About e-Wealth Daily
The e-Wealth Daily Bulletin brings you daily tips, advice and breaking news related to home businesses, small businesses and internet marketing. Our team of experts gives you the information you need to take your business pursuits to the most profitable level. Founded by Adrian Newman in 2003, the e-Wealth Daily Bulletin and www.ewealthdaily.com are a division of Lombardi Publishing with online newsletters reaching over 100,000 subscribers each month.
* IMNewsWatch would like to thank e-Wealth Daily for granting permission to reprint this article.
Comments are closed.