What would you do?

[RUNYYFan]

Here are some questions to ask yourself:

1) What is your client pipeline like? That is, how many current clients are a lock to come back to you for new work and how many new clients are you meeting with on a regular basis that end with a signed contract for work?

2) Based upon your current revenue stream, are you able to cover your current costs for the business (including things like your own health insurance, supplies, service support for things like computer maintenance and yearly dues or fees, put aside a percentage toward savings for the business, pay a salary to yourself with enough to put aside some for personal savings?

3) Do you have a business plan that you are already following? If not, would you be able to develop one that will give you a roadmap as to what you need to do to expand your client base?

4) Do you have the self-discipline to keep your nose to the grindstone, as it were, to not just keep the clients you have but to draw in new clients?

If you can answer questions 2-4 for yourself honestly with a "Yes" and question 1 with either robust or consistent, then maybe a sole proprietorship is the way to go.

Personally, I was in the same boat and decided to take the plunge and start my own business. Yes, it can be scary, but it is also very rewarding because it is yours so you will have a vested interest in making it successful as opposed to "just" working for someone else.

My $0.02.