Jaime HayBusiness licenses are required for new businesses. Having one is a strategic move because there are many benefits to having a business license. Some may find it troublesome to procure, but it is a crucial part of legitimizing your business.
Business owners are unlikely to be found operating license-less. It is crucial to meet the requirements, too, especially before the business opens its operations. They help magnify the credibility of a business. Moreover, they also allow the entrepreneur to get citywide funding.
The pros and cons of the business permit are the following:
Pros
Legal Protection
Before receiving the license, the business has to meet the city’s requirements. The business permit is a document that certifies the business has the interests of the city in mind. The business infrastructure, plans, and policies conform with city regulations.
Moreover, a license can be a safety net and protection. With this, the owner’s business cannot be shut down easily as it is a legal one. Mayor’s permit requirements are also something the owner has to deal with.
Credibility
Customers are often skeptical about new businesses. Before they obtain goods or services, customers want to verify whether it is legitimate. It is also a reminder to them that the business is credible and not a scammer.
Funding
Many cities offer finance to new businesses, particularly start-ups. Some businesses are interested in start-up funding. However, to get that, they need a business license.
Flexibility In Work
For those who work in business permits and licenses, there is a huge perk in it. For one, it is a job that is flexible. You can work your hours. You can also decide when to work. There is no need to wake up early and commute a great distance. You can even run it from home. It is a dream – the entrepreneurial dream.
Cons
Crowded Industry
Unfortunately, competition can be tough regarding your business license and permit services. You might have to go the extra mile. You have to invest yourself and your time in improving. Due to the number of competitors, you must keep on top of the business.
Remember to spend a good amount of time analyzing the market! You will also have to understand where the industry’s demand lies -and offer something valuable to your clients.
Inconsistent Work
There is another pitfall to the business permit. More specifically, this can apply to those working in the business permit and licensing industry. The work can be inconsistent, too. The lay of work you get in this industry can be inconsistent. As a result, it can impact your income negatively. The income thus is less stable. However, it is still workable – you must set boundaries and budget.
Learning Curve
Lastly, the last con is that there is a curve to things. Upper management cannot give you a playbook on how you can assume your roles and responsibilities. It can take a while to adjust. However, every decision has to come down to you.
From this point on, you have to familiarize yourself with every nook and cranny of the business. Being self-employed is fun, but some things will take time before you get the hang of it.
Hugh Hay
Patrick Soft
