pull down to refresh
0 sats \ 0 replies \ @TheBTCManual 26 Sep \ on: Profit is better than wages ideasfromtheedge
Wages are kind of a golden handcuff, on one end it gives you predictability and a false sense of safety, you're going short volatility and that's a big bonus for many and the system rewards in a way.
You can see it in how normies shy away from Bitcoin, they can't stomach volatility
Also, You know your tax obligations, you know your free cash flows after your expenses and you likely have company contributions to things like pensions or medical
if you go to the bank to make a loan and you provide regular wages as proof they are more inclined to serve you than someone whose income fluctuates.
It also removes a lot of thinking and worrying
If you opt for profit from your business, you have to deal with the volatility, it can be feast or famine and you have to be smart with managing your business balance sheet as well as your own finding ways to put expenses onto the business, limiting your tax liabilities and you constantly have to sacrifice mental bandwidth to deal with this bs.
Even if you make profit, you still have to pay yourself a wage, unless you already have personal wealth to cover you and you pull dividends and with the tax structures of today, you actually don't want to make a "profit" early on, you want to reinvest until you can scale, that's if your business can scale.
After I left Uni, I only worked for 4 years and up and quit and started a business that was 8 years ago, and I've had my ass handed to me in every way shape and form you can imagine but I am still here, still going so I can attest to the good and the bad!
Being a small business owner, man its not for sissies!