Get A Quote

Going It Solo: Weighing Up The Pros & Cons Of Being A Self-Employed Tradesman

Home » Tradesman Insights » Going It Solo: Weighing Up The Pros & Cons Of Being A Self-Employed Tradesman

Being a tradesman is a rewarding job, but when it comes to establishing yourself as a business, you may have a lot of questions about whether is it worth it to go self-employed or simply find a job as a contractor with a firm.

Many tradesmen in the UK choose the self-employed route because they want to be their own boss and work flexible hours, but the reality is that you need to deal with lots of issues, such as taxes and insurance, when you’re working for yourself. In this article, we discuss the pros and cons of being a self-employed tradesman.

tradesman saver

Peter is self-employed and seems to be in one piece.

What do I need to go self-employed?

There are multiple questions you need an answer to before going down on the route of self-employment in the UK. First, think about whether you can obtain clients on your own. You need a business plan and you also have to figure out how you can expand your client base in case work dries up on some months.

Trusted for over 35 years

Providing insurance and services to businesses since 1984

Next, you need to have some money aside to set yourself up. This doesn’t mean money to start the business, as it costs next to nothing to set up as self-employed in the UK, but instead money that allows you to cope with periods with little or no income.

You also need to consider whether you have a space well you can work, as well as any equipment you might need. If you don’t have it yet, consider whether you have the budget to purchase it. Finally, you need to think about the impact of losing any employee benefits if you are employed now, for example, your employer pension contributions, sick pay, and holiday pay.

Pros of being self-employed

Listed below are the advantages of being self-employed, which, thankfully, are many:

  • You can work for different clients and the current projects at one time, so your work will be varied
  • You have complete flexibility and control all through your work, which means that you can fit in other responsibilities and commitments you may have, such as childcare
  • You can deduct certain costs from your taxes, which may include some utility bills, the costs, and travel bills, provided you incurred those costs to complete your job
  • Because you are likely to work from your own business premises, or even from home, you may be able to ditch your commute, and save money and time in the long run
  • You can build your own business and grow it every year by taking on more talks and employing contractors to help you
Self employed Tradesman is it good

Adam is employed by a business. He’s happy with the job security but doesn’t like the outrageous pranks.

Cons of being self-employed

There are, of course, cons of being self-employed as well, so it’s important to take into account these disadvantages before setting up your business.

  • You may need some money to get you started, especially if you have to buy any kind of equipment
  • You are the sole responsible person for the failure or success of your business
  • You will not get paid for any holiday, or when you cannot work because you are unwell
  • Self-employed persons may find it more difficult to get approved for renting a property, getting a loan, or taking out a mortgage
  • You need to deal with the taxes and administration of your business, which means that you need to be well-informed when it comes to keeping and complying with any regulations in your field.
  • Finally, working on your own a lot means that being a self-employed trader can become a bit isolating

See our self employed public liability insurance policy to keep you covered.

Leave a comment

VanSaver - Van insurance from leading insurers - Compare Quotes. £50 from me to you. Refer a friend.
*This indicative price is for £1m public and products liability, £250,000 legal expenses, £10,000 financial loss and £10,000 accidental death insurance cover for a sole trader. The price includes insurance premium tax but excludes our admin charge. 19% of new customers paid less than £59 between 1st January 2021 and 28th February 2021. The actual price you pay will depend upon your specific business requirements and will be affected by your trade, your claims history and the optional covers you select which are all priced separately during the quote process. This website is intended for customers based in the UK and is therefore subject to the UK regulatory regime(s) © Copyright 2022 Tradesman Saver | Tradesman Saver and Henry Seymour & Co. are trading names of Barkdene Limited which is authorised and regulated by the Financial Conduct Authority (FRN 303965) for our insurance distribution and credit broking activities. Barkdene Limited is a credit broker not a lender. You can check this on the Financial Services register.
Registered in England No 1842617. Registered Office – Chancery House, St Nicholas Way, Sutton, Surrey, SM1 1JB. All rights reserved.
You need to be logged in to Your Account to make a payment. Redirecting you to Account Login.