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When you own your own business, times can be hard when you first open the doors. This can be because you have yet to build a large customer base or the start up costs have taken their toll. Eventually, with good management, good funding, and a sound business plan, your business will overcome these start up issues and become a profitable organization. However, in the beginning, times can be tough. As such, you may have to refrain from taking a salary in the beginning in order to free up some cash. Even though this may have to occur, you should take comfort in the fact that this is not a permanent situation and thus, you will eventually be able to draw a salary. Additionally, if you have conducted your business correctly, you may be able to draw a large salary as a result of your business's success.

There is not set time line for you to be able to take a salary. For example, there is no guarantee that you can draw a salary after two weeks or even two months. As such, each situation is different. Therefore, if your business is profitable enough for you to draw a salary after two days, then that is great. However, this may not always be the case. Therefore, you should not set a specific date as the day upon which you start to draw a salary.

Instead of choosing a specific date as the time that you begin to draw a salary, you should instead focus on the profitability of your company as the point in which you can start to draw a salary. For example, if you set the "salary point" at the time that you have $10,000 in cash in the business's bank account, and that $10,000 is sufficient profit from which if you drew a salary your business would not be in any danger, then at $10,000 you should draw a salary.

As stated above, each situation is different and therefore, depending on your business growth, your business's profitability, and the amount of salary that you expect to draw, your timeline for drawing the same will vary. As such, do not be concerned if you cannot draw a salary. The viability of your company is the most important thing for the time being.

Learn more about this author, Marco Angioni II.
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