Be happy, sack your boss
Stan Ellerm; Pic by: Mark Calleja
Ever dreamt of telling the boss to shove their job so you can strike out on your own? Research shows you might be happier if you made that dream come true - but only if you start a business for the right reasons.
Murdoch University Business School dean Michael Schaper says the results are rather clear: "If you really want to get a sense of satisfaction and contentment in your work life then you should seriously consider going into business for yourself."
Schaper and academics from Bond and Oregon State universities recently studied national statistics to find out if small business owners were happier than employees and found that they were - on many levels.
"Self-employed business owners report both high levels of overall life satisfaction and job satisfaction," Schaper says.
"More specifically, the self-employed are significantly more satisfied in regards to their life conditions, employment opportunities, their financial situation, their personal safety, in feeling part of the community, their personal health and the neighbourhood in which they reside - all of which are commonly accepted measures of wellbeing."
The Life in Small Business in Australia study discovered being one's own boss is the "second great Australian dream after home ownership".
There are more than 1.8 million small firms operating in Australia and one in 10 Australian adults are involved in running a small business.
Businesses with up to 19 staff make up almost 96 per cent of all firms.
The trio found people start their own businesses for many reasons.
They may want to have independence over their working conditions; financial independence and more power to make money than just drawing a salary; to build a family business; be able to be more creative workwise; or they might want to fit their work around their lifestyle by regulating work hours and conditions.
The results show the motivations for starting a small business do pay off, particularly for people not solely after financial gain.
The trio says "lifestyle owners" are more likely to experience "significantly higher levels of satisfaction" than those chasing the big bucks and women starting a business for lifestyle reasons are even more likely to be happier than a run-of-the-mill employee.
Talking to small business owners about the study's findings is like preaching to the converted.
Stan Ellerm runs Adventure Seekers, a rock climbing and adventure trekking company based in Brisbane. He says running his own business is a dream come true.
"The business was born from an idea about three years ago while climbing Mont Blanc in France," Ellerm says. "I decided that it was playtime and I wanted to get out from behind the desk, turn my hobby into a business, keep fit and challenge myself and my clients. That's the dream
right there."
It is not all smooth sailing. Ellerm says business operators are less happy with the amount of free time they have and how they spend that time.
The path to success also can be uncertain and unpredictable compared to being an employee.
"Setting up the business was a challenge," Ellerm says. "The most difficult part was developing our operations manual, writing risk and emergency management plans and ensuring that we have a safe system of work.
"Being my own boss feels great but along with that comes all the responsibilities of running a business. Of course the main challenge is attracting new clients and making sure existing clients have reason to come back by always offering something new."
Those costs far outweigh the payback, the study found.
"Those considering pursuing a career move into business ownership should be encouraged to know that, although there are well-documented risks and challenges, our results point to rewards in terms of life satisfaction, work satisfaction and health," the report says.
"Those already involved in businesses may also be enlightened to know that although at times the odds do seem impossible, the general perception is that the benefits do outweigh the cost, in wellbeing if not financial terms.
"Small business ownership, it seems, can bring many personal and job-related advantages, compared to conventional employment."
Michelle Fallon and husband Mark Peterswald decided that taking on a franchise was the best way for them to become masters of their
working destiny.
In August of 2006, they signed on to manage the hotel Quest on Story Bridge at Dockside in central Brisbane.
They handle the letting and maintenance of the building for Quest head office, with help from their employees.
"We were both working in a corporate environment. Mark was in accounting and I was in marketing," Fallon says. "We were working very long hours and then a friend of ours had a serious accident at Mooloolaba one day . . . we thought: 'Life is just too short working 20 hours a day for someone else' so we though we would take the plunge and do it for ourselves. We have never looked back."
Fallon says they are financially stronger and can enjoy their free time more by travelling regularly in luxury - but that does not mean it has been an easy ride.
"It's not that much less stressful but it is a different stress," Fallon says. "When we took over, we worked particularly long hours and were
very stressed.
"It was never a financial stress, because we knew we were fairly confident with that side.
"It was just because it was something we had never done before.
"It's quite stressful taking on the responsibility of other people working for you and thinking that, if we don't do the right thing, it will impact on other people besides us.
"It is much more rewarding. When I was working for someone else, it was a stress that I had no control over. Now, I have a choice to take
a break.
"There is never a time when you are not thinking about the business but I guess that's part of my makeup," she says.
Facts:
* There are more than 1.8 million small businesses in Australia
* One in 10 adults are involved in running a small business
* Four to eight per cent of businesses fail each year, mainly small businesses
* Self-employed business owners are more satisfied with their life, job, perceived prosperity, health, personal safety, employment prospects
* Employees are more satisfied with their free time, the hours they work and their leisure activities
* Women small business owners were more likely to be happier than men
The Courier-Mail, Feb 2, 2008
Murdoch University Business School dean Michael Schaper says the results are rather clear: "If you really want to get a sense of satisfaction and contentment in your work life then you should seriously consider going into business for yourself."
Schaper and academics from Bond and Oregon State universities recently studied national statistics to find out if small business owners were happier than employees and found that they were - on many levels.
"Self-employed business owners report both high levels of overall life satisfaction and job satisfaction," Schaper says.
"More specifically, the self-employed are significantly more satisfied in regards to their life conditions, employment opportunities, their financial situation, their personal safety, in feeling part of the community, their personal health and the neighbourhood in which they reside - all of which are commonly accepted measures of wellbeing."
The Life in Small Business in Australia study discovered being one's own boss is the "second great Australian dream after home ownership".
There are more than 1.8 million small firms operating in Australia and one in 10 Australian adults are involved in running a small business.
Businesses with up to 19 staff make up almost 96 per cent of all firms.
The trio found people start their own businesses for many reasons.
They may want to have independence over their working conditions; financial independence and more power to make money than just drawing a salary; to build a family business; be able to be more creative workwise; or they might want to fit their work around their lifestyle by regulating work hours and conditions.
The results show the motivations for starting a small business do pay off, particularly for people not solely after financial gain.
The trio says "lifestyle owners" are more likely to experience "significantly higher levels of satisfaction" than those chasing the big bucks and women starting a business for lifestyle reasons are even more likely to be happier than a run-of-the-mill employee.
Talking to small business owners about the study's findings is like preaching to the converted.
Stan Ellerm runs Adventure Seekers, a rock climbing and adventure trekking company based in Brisbane. He says running his own business is a dream come true.
"The business was born from an idea about three years ago while climbing Mont Blanc in France," Ellerm says. "I decided that it was playtime and I wanted to get out from behind the desk, turn my hobby into a business, keep fit and challenge myself and my clients. That's the dream
right there."
It is not all smooth sailing. Ellerm says business operators are less happy with the amount of free time they have and how they spend that time.
The path to success also can be uncertain and unpredictable compared to being an employee.
"Setting up the business was a challenge," Ellerm says. "The most difficult part was developing our operations manual, writing risk and emergency management plans and ensuring that we have a safe system of work.
"Being my own boss feels great but along with that comes all the responsibilities of running a business. Of course the main challenge is attracting new clients and making sure existing clients have reason to come back by always offering something new."
Those costs far outweigh the payback, the study found.
"Those considering pursuing a career move into business ownership should be encouraged to know that, although there are well-documented risks and challenges, our results point to rewards in terms of life satisfaction, work satisfaction and health," the report says.
"Those already involved in businesses may also be enlightened to know that although at times the odds do seem impossible, the general perception is that the benefits do outweigh the cost, in wellbeing if not financial terms.
"Small business ownership, it seems, can bring many personal and job-related advantages, compared to conventional employment."
Michelle Fallon and husband Mark Peterswald decided that taking on a franchise was the best way for them to become masters of their
working destiny.
In August of 2006, they signed on to manage the hotel Quest on Story Bridge at Dockside in central Brisbane.
They handle the letting and maintenance of the building for Quest head office, with help from their employees.
"We were both working in a corporate environment. Mark was in accounting and I was in marketing," Fallon says. "We were working very long hours and then a friend of ours had a serious accident at Mooloolaba one day . . . we thought: 'Life is just too short working 20 hours a day for someone else' so we though we would take the plunge and do it for ourselves. We have never looked back."
Fallon says they are financially stronger and can enjoy their free time more by travelling regularly in luxury - but that does not mean it has been an easy ride.
"It's not that much less stressful but it is a different stress," Fallon says. "When we took over, we worked particularly long hours and were
very stressed.
"It was never a financial stress, because we knew we were fairly confident with that side.
"It was just because it was something we had never done before.
"It's quite stressful taking on the responsibility of other people working for you and thinking that, if we don't do the right thing, it will impact on other people besides us.
"It is much more rewarding. When I was working for someone else, it was a stress that I had no control over. Now, I have a choice to take
a break.
"There is never a time when you are not thinking about the business but I guess that's part of my makeup," she says.
Facts:
* There are more than 1.8 million small businesses in Australia
* One in 10 adults are involved in running a small business
* Four to eight per cent of businesses fail each year, mainly small businesses
* Self-employed business owners are more satisfied with their life, job, perceived prosperity, health, personal safety, employment prospects
* Employees are more satisfied with their free time, the hours they work and their leisure activities
* Women small business owners were more likely to be happier than men
The Courier-Mail, Feb 2, 2008
