No pyjama game

A new survey commissioned by St George has unearthed some interesting facts about sole traders, not least of which is that 61% start their day in their pyjamas (in the comfort of their own home, we’re presuming).

The survey also showed most sole traders are thrilled that they dumped the corporate rate race and struck out on their own. Around two thirds of sole traders surveyed reported they are much happier being their own boss, while 79% said they now have a healthier work-life balance.

Aside from the apparently big benefit of starting the day in your pyjamas, other big benefits of being a sole trader including not having to commute (68%), switching easily between work and leisure (65%) and the absence of office politics (65%).

Little wonder then that a big number of Australian wages slaves – 43% of workers, or five million people, according to the St George survey – want to become sole traders, mainly to enjoy to take advantage of flexible working arrangements or to be their own boss.

Here’s a tip for these would-be sole traders – don’t follow the lead of the pyjama gang.

In some ways, it’s amazing that St George found any sole traders to survey at all – only 14% felt they put sufficient thought into planning their new venture and just 10% actually bothered to prepare a business plan.

Not surprisingly, 70% said they would have liked a bit more advice before starting out.

The lesson for anyone thinking of starting a business is clear – don’t think that’s it’s going to be easy. Starting work in your pyjamas sounds like great fun, but becoming a successful sole trader requires a professional approach.

Our story from earlier this year, Top 10 Start-Up Vows, should provide some great brain matter to get you thinking.

To quickly summarise, start by thinking about your value propositions – will customers actually pay for your product or service? Research your market thoroughly, prepare thorough budgets and cashflow projection and make sure you’ve got enough capital. Establish your brand (personal and corporate) and be prepared to be stressed, sleepless and exhausted.

And remember, while being your own boss sounds great, it’s going to be hard work – 62% of sole traders and work-from-home business owners claim they work harder than they did as employees.

Starting a business is a wonderful adventure, but remember – always think business suit, not pyjamas.