"At Gusto, we recently studied nearly 25,000 owner-only businesses. To focus on sustained business activity, we specifically looked at businesses that stayed open for at least five years and paid themselves during 75% of the months or more that they were on Gusto, indicating consistent business engagement. Our research showed that these folks-who I'll refer to as established solopreneurs-were running real, sustainable, and growing businesses across every corner of the economy."
"In their first year, the average business revenue for these established solopreneurs is nearly $300,000. For example, construction solopreneurs-like general contractors and home repair pros-earn above-average revenue, offsetting high expenses with strong income. By year five, that number grows to over $500,000. And while many start by paying themselves via payroll conservatively-about $41,000 in year one-by year five, they're earning 25% more than similarly skilled full-time employees. What might start as a leap of faith with high aspirations becomes a smart financial decision"
Millions of people have left traditional jobs to start owner-only businesses, enabled by technology, flexible work models, policy changes, and cultural shifts toward independence. As of 2023, nearly 30 million solopreneurs or nonemployer businesses operated across healthcare, real estate, tech, and other industries. Analysis of nearly 25,000 owner-only businesses that remained open at least five years and paid themselves during at least 75% of months shows sustained engagement and growth. Established solopreneurs average nearly $300,000 in business revenue in year one and exceed $500,000 by year five, while pay via payroll often starts conservatively and grows to surpass similarly skilled full-time employees.
Read at Fast Company
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