Quote:
Originally Posted by iggy_oi
Many make less than their employees? How many? In the case of small businesses that only pay their staff minimum wage I have a hard time believing that the business owner would put in the work running a business only to make less than $7.25/hour.
What was the incentive for the half of the business owners you know to start their own company rather than to keep working as an employee if the money wasn’t it?
The debt argument would be a little stronger if low income workers weren’t carrying any debt.
To be honest you went so over the top with trying to paint owning a business as a hardship that it’s hard to take this sentence seriously.
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When you consider how many expenses they have, it makes sense. Many businesses start off leasing or renting equipment until they can invest enough into the business to actually start making money. Not to mention rent and loan payments.
Most businesses take 7-10 years before the owners actually start making money after paying down debt.
https://www.freshbooks.com/hub/start...-be-successful
You might be wondering, how much does the average business owner make? According to PayScale’s 2017 data, the average small business owner income is $73,000 per year. But, total earnings can range from $30,000 – $182,000 per year.
PayScale’s average varies greatly from a slightly older median reported by the Small Business Administration (2015). According to the SBA, the median income for self-employed individuals at an incorporated business was $49,804 and $22,424 for unincorporated firms.
Looking at a nationwide average can be misleading since each state (and even city) has a different cost of living. For clarification, the SBA also breaks down the average income of a business owner by state. For example, their data shows that California small business owners (incorporated) earned $56,142 while Vermont small business owners (incorporated) earned $45,828. For a full list of Small Business Profiles by state, check out the SBA’s website.
https://www.patriotsoftware.com/blog...verage-income/