For Some Entrepreneurs It's a One Person Show

February 08, 2013

The number of one-person businesses grew by 415,000, or nearly 2%, in 2010, according to the latest figures from the U.S. Census Bureau.

More and more Americans are choosing to become their own bosses, according to government data. There are now over 22 million of these one person companies in this country and they are becoming a force to be reckoned with in the US economy, earning $950 billion. These figures show that the entrepreneurial spirit is still alive and well in this country, despite the tough economy. Or perhaps because of it. People who have lost their jobs, but who are willing to grab the opportunity to shape their own destiny, are setting up many of those small firms. It doesn’t take much time to start your own business and with minimal overhead you can quickly start to make money with the right business. From setting up a photography studio or becoming a personal trainer, to being an IT consultant or an accountant, there are plenty of niches in which a one-person business can earn a decent living.

Starting your own business is a great way to guarantee your financial independence and to enjoy the freedom of being your own boss. But you shouldn’t think that just because your company is tiny that it doesn’t have risks. Accidents will always happen to businesses of all sizes, big and small, and a legal wrangle with an unhappy customer could sink your little firm. Your homeowner’s policy may not cover your small business, even if it’s based at home. So you need small business insurance. The time and effort you take to find a policy that fits the needs of your small firm will be amply repaid if you ever need to make a claim. This is when your insurer is there for you. It’s always a good idea to buy a general liability insurance if you visit your clients’ premises, or if they visit your office. If you’re a business consultant and a client trips over your briefcase, there’s the potential for a lawsuit. It’s also wrong to think that small business insurance is likely to be too expensive for your tiny firm. The cost of a tailored insurance policy can be less than $25 a month. The cost of not having insurance when you need it could be much more than that. Starting up your own business takes courage and hard work, but once they make the leap, most people never look back. It offers you the freedom and flexibility to pick and choose how long you work and who for, and self-employed people love the challenge of using their skills and experience to find work. Don’t be put off by the uncertain economic outlook: there’s never a bad time to start your own business if you’re enthusiastic and willing to work hard. Just be sure to protect your new firm against unforeseen events that could stop you before you have a chance to achieve your goals.