Seems to me Blair that you have more than enough knowledge in your field to be able to make a living. You have a choice here... stick it out with your job knowing that they eventually want to be rid of you... OR.. take a package and take control of the situation. From what im reading, your job is already on the line.
Running a business doesn't have to be hard.. its what you make it to be. If you do nothing but chase dollars then youll fall over eventually.. enjoy what you do, let it ooze from your skin and the customers will come to you.
I started out on my own some 9 years ago and the business has developed over those years, ive never dictated its direction, just gone with the flow. In that time ive looked at shutting it down on 2 occasions as it just got too tough, but a change in direction saw benefits each time.
I run a small shop with zero staff... kept it simple and small. I answer my own phone, do my own artwork, do my own GST etc... I wouldn't have it any other way. In the last year ive had 4 close associate businesses go bust due to large overheads and I have another closing shop in June as they have been in business 45 years and don't want to ride out this tough time, so will close up while the money still exists... its not easy out there, Australia has been in a strangle hold recession for the last 3+ years.
But.. keep it small, keep it simple and let it grow gradually and youll be OK... now is not the time to make large decisions regarding a business.
Would you be able to sub contract to your old employer? Often its the Super... Holiday pay.. medical etc that make employing people unjustified. you may find a similar level of work but at a better pay and with some amount of freedom.
I disagree with some of the comments.. you are better making $5 than $0.. they all add up to bigger $$,s. If you are busy, then the money will look after itself.. if you are quiet but chasing the big jobs, watch the money piss away fast... you need " bread and butter" work... it pays your overheads and is mostly guaranteed.. this is the back bone of your business.. everything else is cream on the cake.
I pay $900 a year for $20million public liability.. I really only need 10 mil which is about $750, but Westfield shopping insists on $20 mil so I make sure I have it. Its not a huge outlay... you don't need to be paying Super till you are in a position to do so and all the other trappings that suck $$ out of your business... its all crap, even the bank will charge you more because its a business when there clearly is no need to.
When you have established yourself and been trading a few years, set up a family trust, it will minimise your tax.
Most importantly though, ask around for a GOOD accountant... one that works for you not the tax department... is a little creative without being bent etc.
You'll be OK mate... go do it
