Self-Employment as an alternative

Self-employment is a very interesting way to join the labor market at all times, and especially in times of crisis such as the one we are experiencing, in which employment for others scarce.

Self-employment can be defined as a professional or business activity generated by a person who exercises it directly. Self-employment has the added advantage that it does not only affect  the entrepreneur himself who creates his employment, but also influences the generation of the business factory, in the economy (generating profits, paying taxes, contributing to Social Security) and in creating new jobs.

For this to occur, it is necessary to promote entrepreneurship which we can define as a set of qualities, skills and knowledge necessary that individuals have, to be able to manage their own project, professional itinerary or create their own business as an alternative to working for others.


Where to start?

In the first place, self-reflection is necessary: it is necessary to honestly consider whether you have an entrepreneur and a realistic project in terms of viability and profitability. 

If the answer is positive, it will help you to follow these steps:


Analyse the viability of the business project:

1. Development of the profile of the business to be undertaken.

     – What type of activity will be developed?

     – What facilities and technical means will be needed?

2. Market research.

     – The real or potential demand for the intended product or service must be known, the market and the existing offer thereof.

3. Financial economic study.

     – There must be an initial budget of expenses and a forecast of income for the first exercises.

4. Study of the geographical location of the company. For this it is necessary to take into account factors as:

     – The number of potential clients that an area assures you.

     – The proximity of the place to those customers.

     – Having good access.


The business plan

A good business plan will give credibility when looking for partners and financing for your draft. It should include, among others, the following sections:

     – Definition of the general characteristics of the project.

     – Description of the activity of the company.

     – Definition of the market to which the product or service is directed.

     – Definition of the marketing plan.

     – Production plan, if applicable.

     – Necessary human resources.

     – Economic-financial study indicating the planned investments, the financing plan, a profit and loss budget, etc.


Financing

It will be necessary to define what are the economic needs for the production of the product or service, for which we will have to find a way to finance it:

     – Well through own resources.

     – Well through external resources.


Legal and administrative procedures, among others, the following:

1. Register the name of the company in the Mercantile Registry.

2. Formalize the public deed of incorporation before a notary.

3. Settle certain taxes.

4. Register the company with the Treasury, Social Security, permits at the town hall …

Activity

  1. Who do I want to become?”: Participants are led through a short visualization about the type of professional they want to become, and the type of possible business they want to have.
  2. The CANVAS business model: individually each participant fills up an empty CANVAS business template

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