“Be My Own Boss” Continues to Rank as No. 1 Motivation in Small-Business Ownership Survey
The pandemic has not changed the primary drivers of business ownership — independence and controlling your own destiny remain the most powerful motivations for owning a business. In fact, working for oneself is the No. 1 reason cited by entrepreneurs researching ownership across the leading network of online franchise information directory brands.
- “Be my own boss” was the No. 1 reason selected when asked “Why do you want to own your own business?”, with 88.4% of the responses in Q2 2020. That’s down slightly from 86.7% in Q1, but the same response rate as Q4 2019.
- The survey allowed multiple responses, and many entrepreneurs also selected “Income Potential” as an additional reason – it ranked a strong No. 2, with 71% of the responses. Earning more money was down slightly from 71.5% in Q1 and 72.3% in Q4.
- Other motivations spring from a wider range of individual needs and preferences. “Lifestyle Rewards” is the No. 3 motivation with 54.8%, and might include working from home, setting flexible hours or running a seasonal business. Similarly, “Side Business to Supplement Income” was No. 4 with 48.9%, allowing for part-time ownership or a less-risky path to start a new business.
- Finally, “Tired of Climbing the Corporate Ladder” was No. 5 with 36.9% of the responses, affirming that many small-business and franchise owners bring a depth of professional experience to their new operations.
Multiple choices from each respondent were permitted in this survey.
“Controlling my own destiny” was also the top motivation cited in June’s Small Business Startup Sentiment Index™, a monthly survey of individuals who have moved beyond initial research and contacted franchisors to further explore ownership. That survey asked “How does the emergence of Covid-19 affect your interest in business ownership?”, and in June, 38.3% said that it “Boosts my interest in controlling my own destiny through business ownership.”
The Franchise Insights analysis is drawn from FranchiseVentures, the leading demand generation platform for potential franchisees to thousands of growing franchise systems in the United States and Canada. Its franchise lead-generation brands include Franchise.com, Franchise Solutions, Franchise Gator, Franchise Opportunities, Franchise For Sale, and BusinessBroker.net, and together they provide the largest aggregation of prospective franchise buyers in the U.S.
Published on Wednesday, July 22nd, 2020 by Franchise Insights