The Husband and Wife Small Business
Did you know that the average lifespan of a small business operated by a husband and wife team is 24 years? Part of that reason is that spouses are able to compromise more and work more consistently as a team when compared to other business partnerships. Many of these companies are able to survive two, three, and even four generations from their founding. Add in the fact that since 2007, spouse partnerships are treated as a sole proprietorship for tax purposes and there’s even an advantage when in comes to yearly tax liabilities. The bottom line? If you’ve got a spouse and a good idea, it might be smart to go into business together.
It Still Takes Plenty of Hard Work
The primary issue that spouse partnerships face is separating their business life from their personal life. It can be very easy to put in a 10 hour work day, come home, eat dinner, and then work together some more on the business without even thinking about it. The most successful partnerships are able to structure specific times where work is off limits… and then stick to them. Though decisions in a spouse partnership can often be difficult, the trade if that you get to spend much more time with your family than others are able to do.
Having Time For Yourself Is Important Too
One of the nice things about going to a job by yourself is that you get to be by yourself. Sure – you’ve got meetings, clients, and co-workers that you see every day, but it is without the confines of the family environment. That’s not something that spouse business partnerships get because you are each other’s co-workers. Scheduling time to make sure you do get some time by yourself, even if it’s just for an hour or so, is important so that you can work on decompressing from the stresses that running a business can bring.
Make Sure You’ve Got a Good Plan
With a spouse partnership running a business, having a plan regarding what you’ll do in certain business situations and what you’ll do with your money will help you survive difficult challenges. When circumstances don’t go as you’ve anticipated, with the right level of planning, you can at least have an idea as to which direction you and your spouse would need to go. This preplanning stage really is critical to a successful process – surprises can be deadly to a new small business.
Remember That a Spouse Partnership Isn’t For Everyone
Some people just don’t work well together in the business world. Personality conflicts, different visions, and even different work ethics can cause a lot of stress in a marriage. Though there are many benefits to running a business with a spouse, it isn’t for every set of spouses out there in the world today. If you’re thinking about starting a business with your spouse, talk about your mutual vision, the expectations each one has for the other, and come together with a good plan to handle your money. If you can do that, then you have a good chance at having a successful business.