When should a business owner be entitled to salary?

[Makorlly]

A business owner is entitle to salary immediately he start the business, is like you paying an employee but in this case the business owner is both the employer and the employee. The salary can be paid immediately after the capital of the sales is out and other expenses are subtracted. Salary can be paid but wages is not allowed for a business owner especially if the business is just kicking off

 

[Mary]

A business owner should be able to spend from his or her business or start collecting salary from his or her business capital or money when he or she observes that the business capital is growing at an increasing rate of getting profit.

 

[Yomiside]

As soon as your business start growing, you should be entitle to salary, not paying yourself is a not a good way in business, if you pay your self then you are expected to see reward in your business.. But many people spend all the return in their business which is not a good way to do business

 

[Planet408]

To me, this is not really stealing from the business. It depends on your revenue and expenditures. You don't want the business to crumble,so you don't have to take greater percentage of the earnings for expenditures. What if you've got no other source of income apart from your business? Are you going to die in starvation?

 

[KingAries]

The right time is when the business have gone beyond the breakeven point. The business should be doing well enough for you to become a salary earner under your business. The business must not be feeding you in the early stages as that is what kill a lot of businesses in Africa and other climes too.

 

[Tinaconcept]

The fact is that no serious business person will want to start personal funding from a growing business or one that is just starting because it will definitely affect the business, a business at a starting stage needs enough capital and money for funding in order for it to be stable before unnecessary spending

 

[DEXTERFIDEL]

A business owner should be entitled to salary when his business has been stable, and when he has taken out all his running cost.

 

[sam386150]

Business owner can only earn salary only when the business matures,he need to manage the at the very first time till the business grow. Business need to grow before making use of business finance.

 

[Diamond07]

To me, a business owner taking out of the business earnings for personal projects at an early stage of the business is STEALING FROM THE BUSINESS.

A business owner who wants the business to grow won’t be tempted to use the business earnings for personal projects. The owner should be entitled to salary when the business is having steady cash flow.



Have you been stealing from your business?

You are right. Taking from the profits or your business at an early stage for personal expenses is a bad idea. Rather invest your profit into your business so I can yield more returns. Once you have a steady cash flow, you can estimate your salary

 

[Sariana23]

I would not say that you are stealing, but it is true that you must expect to have some stability to start generating your own salary. The company should try to keep the largest capital in the venture, because it may need money to solve problems, which can arise at any time.

 

[Folaham]

To me, a business owner taking out of the business earnings for personal projects at an early stage of the business is STEALING FROM THE BUSINESS.

A business owner who wants the business to grow won’t be tempted to use the business earnings for personal projects. The owner should be entitled to salary when the business is having steady cash flow.



Have you been stealing from your business?

A business owner should place himself on salary based on the profit reality of his business. Been on profit ratio salary is better to spending without control till the business is ruined.
Waiting till when their is steady cash flow, before then what will the business owner leave on?

 

[Romanmam]

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[Ykddgreat]

As an entrepreneur, the job of controlling and monitoring the well been of the business is number aim, so when ever the owner of a business discover that the business is capable of giving back good return he should simply earn a living from the business but he must do that wisely .

 

[Adeyoola7]

You should only pay yourself out of your profits – not your revenue. When you see money coming into your business, don't assume you can pay yourself a big slice of that. Before you take your cut, you also need to take account of things like taxes, payroll, fixed costs and overheads.

 

[Jimmie150]

I feel a business owner is not expected to take any capital money as salary until the business is very much settled or else he might end up running down the business. But this days most business owner has successfully run down their business by themselves.

 

[Luckboy]

If you are a sole proprietor you are not an employee and you don't take a salary in the form of a regular paycheck. No FICA taxes (Social Security/Medicare) are deducted and no federal or state income tax is withheld. A sole proprietor gets "paid" by drawing money from the business.

 

[Samson19]

The time a business owner be entitled to salary is when the business stands on its own, like in financial aspect the business is very strong. In other words although it's takes time for the owner to be entitled to salary.

 

[Tayfem]

Because you are the owner of the business doesn't mean that you should eat all the money. There should be a specific amount assign for himself to be collecting every month not by just digging his hand into the pulse and take anything he likes. The business will collapse very fast

 

[Yunglegend]

A business owner should be entitled to salary at a certain when the business is balanced and and growing rapidly that will make him do certain things too

 

[Goodday]

As an entrepreneur you don't focus much on when to start receiving salary. You should be concentrating on how to manage revenue and cost and also how the business should be managed to reduce risk associated. With these being controlled, your salary will be coming in the form of success.