Being your own boss offers many rewards but also presents many challenges, and it's easy to overestimate the former and underestimate the latter. Starting a new business is an inherently risky undertaking. While the advantages of having your own business might be fairly obvious, you also have to consider the downside risks before you decide whether the entrepreneurial life is right for you.

• Independence:   Becoming an entrepreneur gives you the opportunity for more independence and control over your work life. Being your own boss allows you to be master of your destiny, act on your own ideas and do your job your way.
  
  
• Job security:  As long as you keep making money, you will have a job, and you'll never be laid off, demoted, or transferred to another location - an appealing proposition in this age of mass layoffs.
  
  
• Unlimited potential:  Theoretically, at least, there is no limit on your income when you work for yourself. You'll never max out your salary range or have to beg for your fair share of the profits.
  
  
• A better balance:  Working for yourself allows you to you to set a more flexible work schedule and spend more time with your kids, spouse or romantic partner, or just take more time for yourself to do what you enjoy most.
  
  
• Reaching your full potential:  Entrepreneurship allows you to use all your talents and abilities - and develop some new ones - in a way that seldom happens in a job setting. You can define your role in whatever way works best for you, and the sky's the limit.
  
  
• Variety:  Running a business means handling many different roles and tasks which change from day to day and even moment to moment. You'll be busy, possibly even overwhelmed at times, but you'll seldom be bored.
  
  
• Challenge:  Entrepreneurs have plenty of challenges. Becoming an entrepreneur is a great way to discover your hidden talents and find out what you're really capable of.
  
  
• Flexibility:  Having your own business gives you considerable flexibility as to how, when and where you work. Setting your own work hours, having the freedom to work at home and taking vacations when you want to are nice options to have.
  
  
• Ownership:  Building a successful business can be a great investment. In addition to the ongoing income potential, you can sell your business, sell stock in your company, or pass the business on to your heirs as part of their inheritance. In other words, you're not just working for wages, you're creating equity.
  
  
• Satisfaction:  Running your own business can give you a sense of satisfaction that no job position can rival. It's a very gratifying experience to take an idea and turn it into a profitable business.

• Isolation:  One of the biggest challenges an entrepreneur faces is social isolation. You no longer have coworkers to brainstorm with you, join you for lunch, offer encouragement or congratulate you on a job well done. Working alone can get pretty lonely.
  
  
• Overwork:  Faced with the demands of a new business, you'll probably drive yourself harder than any employer ever would. Chances are you'll be putting in a lot of late nights and working on weekends, at least in the beginning, and that can take a physical and emotional toil.
  
  
• Lost benefits:  If you're used to being an employee, you might take paid vacation, sick leave, and personal days for granted. When you work for yourself, taking time off means lost earnings. Paying for health, disability, and life insurance becomes your responsibility, and no-one else will be contributing to your pension fund.
  
  
• Risk:  Starting a business is inherently risky. It may take longer than you expected for your business to become profitable, the economy could take a downturn, new competitors can emerge and so on. Even when a business does become profitable, earnings fluctuate. Financial uncertainty is one of the biggest drawbacks to entrepreneurship.
  
  
• Sacrifice:  It's easy to underestimate the amount of time, energy and money required to get a new business off the ground. Diverting those resources to building a business will affect not only you, but also your significant others. They will be making sacrifices, too, and this can cause conflict in your household.
  
  
• Juggling:  Entrepreneurship involves juggling a lot of different responsibilities and constantly shifting priorities. Handling multiple roles within your business while balancing the competing demands of work and family requires a lot of flexibility and patience.
  
  

The entrepreneurial life isn't for everyone, but you might find it to be just right for you. Be honest with yourself about your own capabilities, stamina and level of dedication before you decide to launch a new venture. Ask yourself whether you have realistic expectations and a reasonable chance of success. Have an honest talk with your significant others and make sure they understand the challenges you'll be facing and will give you their full support. If you can commit the time, effort and resources to starting your own business, the rewards can be significant - independence, personal fulfillment and financial success.