Major choice. (1 Viewer)

[Phyuk_Yiu]

Ok, say i do a business/commerce degree and i want to run my own business in the future. What would be the best major?
Right now im thinking of management but am not sure if it is directly related to running your own business. Would it be better for example, to choose marketing or accounting for the skills i'll get from them.

 

[seremify007]

I'm probably a bit biased but I'd say Accounting might be the best option as it'll teach you the basics of book keeping (which you'll need), organisational structure, managing inventory procedures (and methods like Just in Time), understanding how financing your business will work, etc...

I'm not sure what they teach you in management exactly, but I'm inclined to think it'll be more airy fairy or higher-up stuff which might not be that relevant if you want to run your own business.

 

[turtleface]

I personally think that if you want to start a business, just go for it. Screw Uni.

A Commerce degree may give you some grounding in basic business principles and processes like capital structure, how interest rates work etc., what Seremify said etc. This may give you a better heads up, and make you more prepared for busienss but I seriously doubt anything you learn at Uni can be applied successfully for your business. A commerce degree isn't designed for entrepreneurs (I can never spell that word)

Just because you learn some bookkeeping in Acc 1A won't mean you can successfully meet recording requirements for your business, you'd require experienced bookkeepers for that. Just because you learnt some marketing in Marketing 101 doesn't mean you'd be any good at it, you'd still rely on external consultants. Just because you learn some CGT and FBT in Tax law won't change the fact that you will require a tax accountant for your ATO filings. Just because you learn what a Cash flow hedge does not mean you will probably need to hire a Finance Manager/managerial accountant to manage all these relationships with the bank.

(i'm not saying you are thinking along these lines) but I think thinking of the Commerce degree as the path to becoming good entrepeneur is not incorrect.

I remember I had friends in high school who wanted to do Pharmacy/Commerce because "so they could open their own Pharmacy" lol. When you think about it, its ridiculous. As if a Pharmacy grad should waste 2 extra years on a commerce degree "so they can" open their own pharmacy.

 

[Omnidragon]

Go for management and marketing if you must. I think Richard Pratt studied management. You should complement this with Mandarin. Other majors (such as finance) only help you get an office job.

Did you know that our most well paid executive isn't even in Australia's 400 rich list? Look at all those overseas students covered in LV and Cartiers whose parents either manufacture watches, cardboard boxes, clothes, microwaves or develop apartments. I wholeheartedly agree with turtleface. To quote the late Kerry Packer, "Why would [James] want to go [to University]. To go learn to smoke marijuana?" If you have the business concept already, forget 3 years in uni.

Ultimately, the quickest way to financial freedom is to have rich parents. If you inherit or are given estate over $10million worth of commercial properties (which isn't even that much), you're already ahead of those who earn a whopping $1m.

The rich boy will have a passive income, all the time in the world to put his entrepreneurial visions into practice, and $10m worth of collateral. The potential is very high. The guy earning $1m gets taxed at roughly 45%. More importantly, he doesn't have your time because his life is his job. I doubt he even has the collateral, as the money probably went to a high-maintenance car, house and wife.

 

[seremify007]

Just because you learn some bookkeeping in Acc 1A won't mean you can successfully meet recording requirements for your business, you'd require experienced bookkeepers for that. Just because you learnt some marketing in Marketing 101 doesn't mean you'd be any good at it, you'd still rely on external consultants. Just because you learn some CGT and FBT in Tax law won't change the fact that you will require a tax accountant for your ATO filings. Just because you learn what a Cash flow hedge does not mean you will probably need to hire a Finance Manager/managerial accountant to manage all these relationships with the bank.

(i'm not saying you are thinking along these lines) but I think thinking of the Commerce degree as the path to becoming good entrepeneur is not incorrect.

Do you really think that someone who is young and wanting to start their own business- is really going to be doing much marketing, FBT, etc..? I doubt it.

I'm saying that Accounting will come in handy because he/she is likely to end up using MYOB or Quicken (or something like that) to help manage the accounting side of things, and it sure will help if one understands the basics behind what's going on. The other things you learn in Accounting, whilst not directly used, can influence you in your thinking as to how you prepare/do business; and will also help you in the future with understanding what's going on or the advice being given to you by external consultants.

But what you said also holds true, the stuff you learn in Accounting isn't really going to be THE best way to learn about starting a business. I'm working with someone atm who started her own business back when she was in high school and went on to do management of other businesses- but as she put it, one day, you're going to want (or need) to move from the unstructured business realm into the structured.

 

[blackfriday]

yeh i also agree, screw a degree. i come from indonesia, a place where if you dont run a business, you should expect to never own a house with a proper door and walls made from plaster. these people didnt complete year 7 and still run successful businesses.

my boss (an indonesian) did a econ/finance double major like 10-15 years ago, but he doesnt use one ounce of that knowledge to run his business. well besides making small talk with the bankers that buy newspapers from us.

 

[Phyuk_Yiu]

Thanks for the reply's.
I have been thinking about the negatives of university for quite some time and realise that it won't really give me the proper education for the things i want.
They're only in it for the money.
But my main problem is that i can't raise the finance for starting a business without some sort of loan or investment. To get a large enough loan i have to prove to the investor that i can make my business succeed as well as providing a suitable exit-strategy/security ( ie paying off the loan if business does not succeed). The main factor in this is my abilities in management etc...
Right now i don't have any credibility and won't be able to get a job that's good enough to provide the investor security.So basicly i think i will at least need some sort of business degree to show i have the nessacery skills.

 

[Raginsheep]

To be honest, either you're going to raise that capital to start the business yourself or have some amazingly good idea for some venture capitalist. Giving us a rough idea of what type of business you intend on starting would help I guess.

 

[cl3nta]

I think accounting because just like you said, if you fail you need an exit strat. an accounting degree will land you an office job somewhere. but hope ur business kicks ass

 

[huangker]

No university degree will teach you how to become a successful businessman. From what I have read, the strongest factor in determining if someone will be an entrepreneur is if their parents owned a business. If you look at some of the greatest entrepreneurs of our time, a lot them never even finished a uni degree.

But having said all that, I'd agree seremify007 in that accounting will give you insight on how a business runs etc.

 

[velox]

The key is drive and determination. Not academics.

 

[lizbon]

You gotta have a good idea, maybe some sort of niche product.

most small businesses fail in the first few years, the concept has to be sound to be successful. There's also nothing wrong about getting tertiary education, it can only help.

People like Kerry Packer and Donald Trump are successful due in large part to their inheritance of the wealthy family business. Not everyone on the street becomes a millionaire even if they do work hard.

 

[velox]

Small business fail as they dont have a proper business plan. You need to spend a while with a CA and get stuff straight. They also often have cash flow problems, as they have such a large capital outlay.

 

[stazi]

I certainly think some basic accounting is important. Next, entrepreneurship-related subjects, as well as marketing would be ideal. However, street-smarts are more important than book-smarts when running a business

 

[Omnidragon]

People like Kerry Packer and Donald Trump are successful due in large part to their inheritance of the wealthy family business. Not everyone on the street becomes a millionaire even if they do work hard.

Agreed. A lot of our billionaires get some sort of inheritance.

Our most famous no.1s:
1. Rupert Murdoch (inheritance).
2. Kerry Packer (inheritance).
3. James Packer (inheritance).

To complement such a list:
- Richard Pratt (inheritance)
- John Gandel (inheritance)
- Chandlers (inheritance)
- Gina Rineheart (inheritance)

These people got massive inheritances (hundreds of millions). And there're heaps who just inherit $10m, like I said.

 

[seremify007]

As everyone else has put it... university won't guarantee you success nor is it a necessity- but if you aren't sure on what you want to do with your small business, it doesn't hurt to get some background knowledge on how to do business/fundamentals.

If you already have a kickass idea and a plan, and you're pretty sure it'll do well, screw uni. I believe TAFE also offers a pretty good accounting course suitable for people who don't plan to move into the profession, but only want to know how things work for running a business and basic book keeping skills/MYOB skills.

 

[jpr333]

Agreed. A lot of our billionaires get some sort of inheritance.

Our most famous no.1s:
1. Rupert Murdoch (inheritance).
2. Kerry Packer (inheritance).
3. James Packer (inheritance).

To complement such a list:
- Richard Pratt (inheritance)
- John Gandel (inheritance)
- Chandlers (inheritance)
- Gina Rineheart (inheritance)

These people got massive inheritances (hundreds of millions). And there're heaps who just inherit $10m, like I said.

Well im glad we cleared this up!

 

[Conspirocy]

nooooooo typed a response and it stuffed up

short version

accounting - beacuse u learn basic management skills; you learn legal skills for compulsorary law subjects

re ceo's - they obviously have no imagination or unique idea because if they did, they have the contacts to get the money they need to start a business

re rich people - clearly they have people approaching them with ideas; also parallel to managers because they are given a business sometimes - further, its easier to improve something that already exists, than to start from scratch otherwise there would be a million coke's and mcdonalds and nike's ---being established gives u a business edge by itself, rich people who run them arent that great

random idea for guy who posted - start a business now that is small because it will get a credit history - hence if u use those 3 years now working 1. u get money; 2. u get credit history --> hence loan

random idea for business -- actually my only one, take away food shop - chicken shop especially, but dude u have to have burgers as well - and like rice pudding in the fridge to show that ur massively wog ---> best place is to have it near construction area, school kids, or council workers --->goldmine ---> again i say it, chicken shop

finally, man go to uni, unless u have some bloody brilliant idea - even if its uni part time - go to uni, gives you more credibility/people wont stuff around with if they know u have a degree -- well they will stuff around with u less

EDIT: ALSO - go to an accountant dude if u have a business you want to start

1. they will start u up
2. they can probably help get u a loan

 

[ND]

re ceo's - they obviously have no imagination or unique idea because if they did, they have the contacts to get the money they need to start a business

That's definately the stupidest thing you've said in a while.

 

[Conspirocy]

Well I disagree.

First of all, let me clarify, obviously they have vision as such, but in a limited context in relation to the business they are running.

I doubt many of them are suddenly going to create some new wonder drug, or cure cancer. But if their business did, I'm sure they could make a fortune off it.

Secondly, I think i've made heaps of stupid comments, that are much worse than this one. Also they are not too far away from the comment in question.

So overall, its not the stupidest thing I have posted in a while.

Thanks for your well founded feedback and criticism. At least I share a point of view and explain it. If i were to criticise what someone had said, I'd have a reason to support it (I'm sure you can find one) not just shoot it down without a reason. Your above post is an example of my criticism of you today.

See, that wasn't hard at all.

Also im sure if u can be bothered to reply to this you could 'own' me and point out all the way's ceo's are creative. But I'd still disagree and I wouldn't think its stupid comment in the right context.