Going it alone in search of brighter future
Being their own boss is the reason more than half the Kiwi business owners in a recent survey left their day jobs.
Small business software firm Xero’s asked more than 340 New Zealand and Australian small business owners about the key motivations for striking out on their own. The survey, which included 102 Kiwis, asked why people started their businesses, what they most valued in their roles, and whether they received financial help at the start.
Of the Kiwis, 62 per cent had been in full employment prior to their big step, and 57 per cent said they had started their own business to be in charge of their own destiny. Nearly half said they generally wanted more freedom and a better lifestyle, and a third said they did it for more money.
Fourteen per cent saw it as an opportunity while raising children, and 6 per cent said they were having difficulty in finding a job due to barriers such as language, age, disability or skills.
That contrasted with Australia where a whopping 38 per cent gave job barriers as their prime motivation. Only 1 per cent of Kiwis said they had started their business because they hated their old boss.
When it came to funding, just over 40 per cent said they saved up to raise the money before starting their new venture, but nearly a third took the plunge on a shoestring. A relatively small 11 per cent had loans from friends or family.
Nearly half were working much harder running their own business.
Xero managing director Anna Curzon said it was great to see the entrepreneurial spirit was alive and well in Kiwis, especially in those trying overcome employment obstacles. ‘‘It’s sad that these factors still exist as barriers to work, but at the same time our research has shown that New Zealanders are resilient to challenges.’’