It’s the ideal situation: keep your current job while you start a business on the side, commonly known as an absentee business. Lots of people look for this scenario but don’t realize what this actually entails until they start looking for this type of business. Before you get started, here are four upfront lessons you’ll quickly learn as you search for that perfect absentee opportunity:
1. You will have to learn how to really “let go” and trust others.
Absentee businesses require employees. If you’re working at your job, who’s running the shop? There has to be at least a few trusted workers on site to operate the business, and it can be a challenge to find them. As a new business owner, you’ll learn quickly the importance of acquiring the face of your business – your employees.
2. “Location, location, location” will become your mantra.
In general, you can’t run an absentee business from your home office. You need to have a place where customers and clients go so they can purchase your product or service. As an absentee business owner, finding the right location to do business will be one of the most important aspects of your business.
3. You will come to understand the true meaning of multi-tasking.
The term “absentee business” sounds like you’d never had to be there, right? Well maybe not after the business is up and running. But at first, it may feel like you’re working two jobs for a little while. You will discover that this is a lot to bite off, but the plan is to get through that phase as soon as you can to a smoothly operating business that doesn’t require as much time and attention.
4. You will come to learn more than you ever wanted to about acquiring funding for your business.
By nature, absentee businesses cost more to set up and run. Employees and location contribute to the higher cost. However, in the case of absentee owner businesses, a working owner has a better opportunity to get funding when they need it than someone who isn’t working. A lender has more confidence in awarding funds when you are cash flowing on your personal side, even if your new business isn’t cash flowing yet. You’ll learn that a good relationship with a good lender can really help you when you’re building your business, and is one of the most important relationships to nurture and maintain during your time as a business owner.
If you are looking for ideas for a solid absentee business opportunity, your local FranNet consultant would be happy to explore this option with you.