Journal on Education

Volume 05, No. 03, Maret-April 2023, pp. 10291-10296

E-ISSN: 2654-5497, P-ISSN: 2655-1365
Website: http://jonedu.org/index.php/joe

Analyzing the Self-Pay Benefits of Starting a Small Business

Sahtoni1, Neng Sandra Fitriani Permata Hati2, Nia Kurniati3, Abu Muna Almaududi Ausat4, Silvy
Sondari Gadzali5
1,2,3,4,5
Universitas Subang, Jl. Raden Ajeng Kartini No.KM. 3, desa nyimplung, Pasirkareumbi, Kec. Subang, Kabupaten
Subang, Jawa Barat 41285
sahtoni220@gmail.com

Abstract
A large number of people in the community are now running small businesses, which are discussed in this
journal. The vast majority of people are self-employed, and small businesses have always been the foundation
upon which larger enterprises have been built. The purpose of this study was to investigate the merits of
working for oneself, specifically through the creation of a small business. Analyzing natural phenomena by
way of qualitative research methods informed by post-positivism was the focus of this investigation. Since we
ourselves are the primary research tool, authors employed a triangulation (combined) data collection method,
drawing in part from interview and observational findings, and relying on inductive (qualitative) analysis to
place more emphasis on specific meaning than broad generalizations. The results of this study show that
although most respondents provided almost the same explanation and assessment of the value of digitization in
the wholesale sector, namely avoiding unemployment, having a steady income, opening up job opportunities,
and helping to increase family income.
Keywords: Self-Pay Benefits, Small Business, Self-Reward

Abstrak
Sejumlah besar orang di masyarakat sekarang menjalankan usaha kecil, yang dibahas dalam jurnal ini.
Sebagian besar orang adalah wiraswasta, dan usaha kecil selalu menjadi fondasi yang menjadi dasar bagi
perusahaan yang lebih besar. Tujuan dari penelitian ini adalah untuk menyelidiki manfaat bekerja untuk diri
sendiri, khususnya melalui penciptaan bisnis kecil. Menganalisis fenomena alam melalui metode penelitian
kualitatif yang diinformasikan oleh post-positivisme adalah fokus dari investigasi ini. Karena penulis adalah
alat penelitian utama, penulis menggunakan metode pengumpulan data triangulasi (gabungan), yang sebagian
berasal dari temuan wawancara dan observasi, dan mengandalkan analisis induktif (kualitatif) untuk lebih
menekankan pada makna yang spesifik daripada generalisasi yang luas. Hasil studi ini menunjukkan bahwa
meskipun sebagian besar responden memberikan penjelasan dan penilaian yang hampir sama mengenai nilai
digitalisasi di sektor grosir yakni menghindari pengangguran, agar dapat penghasilan tetap, membuka
kesempatan kerja, dan membantu meningkatkan pendapatan keluarga.
Kata kunci: Manfaat Menggaji Diri Sendiri; Bisnis Kecil, Penghargaan Pribadi

Copyright (c) 2023 Sahtoni, Neng Sandra Fitriani Permata Hati, Nia Kurniati, Abu Muna Almaududi Ausat,
Silvy Sondari Gadzali
Corresponding author: Sahtoni
Email Address: sahtoni220@gmail.com (Jl. Raden Ajeng Kartini No.KM. 3, desa nyimplung)
Received 15 February 2023, Accepted 22 February 2023, Published 22 February 2023

INTRODUCTION
A large corporation's name or existence may have been common knowledge before reading
this journal, but the majority of its readers likely work at one of the many local small businesses.
Everyone, it seems, runs at least one side business, and there is historical evidence to suggest that
these establishments often serve as the seedlings for much larger enterprises that eventually expand in
a variety of ways (including through increased investment and the hiring of additional workers).
Findings from a study of local businesses show that the area is home to more small enterprises than
large ones. Furthermore, it is obvious that large corporations cannot survive without the support of
small businesses; hence, small businesses play a crucial role in the business world (Ausat & Suherlan,
Analyzing the Self-Pay Benefits of Starting a Small Business, Sahtoni, Neng Sandra Fitriani Permata Hati, Nia Kurniati,
Abu Muna Almaududi Ausat, Silvy Sondari Gadzali 10292

2021).
As the former American president Ronald Reagan once said, "the good health and strength of
America's small businesses are avital key to the health and strength of our economy indeed, small
business is America" (Byrd & Megginson, 2013), we can learn from his words on the importance of
small business. That's why it's clear that local businesses, no matter how big or small, are essential to
the success of the economy in that area.
Since then, there has been a growing interest in small businesses for Byrd's reasons, and in
Indonesia, the majority of people opt to establish a micro, small, or medium enterprise (MSME) due
to the difficulty of finding a job. In addition to contributing to the expansion of the household
economy, starting a business or small business can also lead to the creation of new employment
opportunities (Subagja et al., 2022).
Most people start their own businesses so they can reap the emotional and financial benefits
of being their own boss (Ausat, Suherlan, et al., 2022), free from interference from family and friends,
and the like. Due to their "achievement oriented" goals, the owners of these small businesses are not
restricted from selling or buying whatever they please (Khootimah Az-zaakiyyah et al., 2022). There
is no way around the stigma of failure in the eyes of business owners and operators (Rembulan et al.,
2023). The wholesale sector serves as a representative case study because it encompasses many of the
activities performed by SMEs in the trading sector (Ausat, Widayani, et al., 2022).
Previously, disturbingly in 2018, we found that 99.99% of Indonesia's total number of
business actors were involved in MSMEs (micro, small, and medium-sized enterprises), or 64.2
million small business actors. Ninety-seven percent of the workforce is interested in working for a
micro, small, or medium-sized enterprise (MSME). Meanwhile, there is a huge disparity between the
contributions to GDP made by different types of businesses: MSME actors contribute 61.1%, while
large business actors, who make up only 5,550 (or 0.01% of all businesses), contribute 38.9%. Our
findings corroborate the expansion of the micro, small, and medium enterprise (MSME) sector in
Indonesia. And it originated as a result of the competition for available jobs, which led many people
to prefer starting their own companies. The value of micro, small, and medium-sized enterprises
(MSMEs) to the national economy has been demonstrated (Ausat & Peirisal, 2021).
According to comments made by Indonesia's Minister of Cooperatives and SMEs, Teten
Masduki, at the B20 Indonesia digital economy to support SDGS event, roughly 19.5 million of
Indonesia's 65 million small business actors or MSMEs are connected and on boarding in the digital
field. The most recent data we have suggests that as of June 2022, 19.5 million MSME players, or
30.4% of the total MSMEs, are active on the e-commerce platform. Since micro, small, and medium-
sized enterprises (MSMEs) have been expanding at a rapid rate over the past year, it stands to reason
that many of them are now selling their products by taking advantage of the various forms of
digitalization already in place.
President of Indonesia Joko Widodo has issued directives to speed up the digital
10293 Journal on Education, Volume 05, No. 03, Maret-April 2023, pp. 10291-10296

transformation or change of small and medium-sized enterprises (SMEs) in the country. He hopes that
30 million SMEs will join the digital ecosystem by 2024, but this choice must first encourage the
development of a new economy. The president of Indonesia, Joko Widodo, has issued a directive to
increase the number of small and medium-sized enterprises (SMEs) using the government's
procurement platform (LKPP) from 500,000 to 1,000,000 annually beginning in 2022. This
onboarding system has the backing of Indonesia's president, Joko Widodo, who has set a goal of
doubling the number of Micro, Small, and Medium-Sized Enterprise (MSME) players in Indonesia by
2024 (30 million).
Research Objectives:
1. To find out what the reasons are for most people to open or start a small business venture.
2. To know that there are enormous advantages and disadvantages in small business ventures.
3. To know the process of digitization that occurs between small business actors and consumers

METHOD
The method we use in this research is using qualitative research methods. This method is
often referred to as a naturalistic research method because the research is conducted in natural
conditions (natural settings). Called a qualitative method, because the data collected and analyzed are
more qualitative in nature (Sugiyono, 2012). This research was conducted based on natural objects.
Natural objects are objects that develop as they are not manipulated or not made up by researchers. In
this qualitative research, the instrument is a person or human instrument, namely the researcher
himself. To be able to become an instrument, the researcher must have theoretical provisions and
broad insights, so that he can ask, analyze, photograph and construct or arrange the social situation
being studied to be clearer and more meaningful. The data collection techniques we used were
observation, interviews, and documentation studies. So, it can be concluded that qualitative research
methods are methods based on the philosophy of post-positivism, used to research natural objects.
Where the researcher is the key instrument, data collection techniques are triangulated (combined),
the analysis used is inductive or qualitative and the research results emphasize meaning rather than
generalization.

RESULTS AND DISCUSSION

Based on the results of our research by conducting interviews and observations, we can
describe the results of research related to the self-pay benefits by starting a business or small business.
The case study was conducted at wholesalers in the Cijambe area, precisely in two villages, namely
Cimenteng and Cikadu Villages in Subang regency, Indonesia. In the research we conducted obtained
results regarding the reasons most people open or start small business ventures, the existence of
enormous advantages and disadvantages in small business ventures, and whether or not the
digitalization process occurs between small business actors and consumers.
Analyzing the Self-Pay Benefits of Starting a Small Business, Sahtoni, Neng Sandra Fitriani Permata Hati, Nia Kurniati,
Abu Muna Almaududi Ausat, Silvy Sondari Gadzali 10294

In this case, researchers examined six respondents or wholesale/retail business actors in the
village. Of the six respondents we interviewed, five respondents used the digitization process and one
respondent did not use the digitization process. And for questions regarding the reasons most people
start small businesses and the existence of enormous advantages and disadvantages in this small
business, researchers concluded that the reasons are 99% almost the same, namely to rack their brains
because of the difficulty of employment, to get or generate regular income, to open up jobs. As for the
answers regarding the advantages and disadvantages, one of them is having wide freedom in
determining new ideas (psychological advantage) because there is no pressure from superiors because
they directly lead it themselves and for the weaknesses, namely the lack of management skills.
MC, as the first respondent we interviewed, expressed his opinion about his reasons for
starting this business, its advantages and disadvantages, and whether or not there was a digitization
process in his business. The following is the result of his interview.
"Initially I started this business to get or find a steady income because I work odd jobs so
sometimes there is work sometimes there is no work so I decided to develop or struggle in this
business field, and also to open up jobs, at least it can reduce unemployment and make it
easier for people to find a living or income, because nowadays it is difficult to find a job.
Kalou for the advantages and disadvantages, there are many, one of which is that I get
benefits from turnover, besides that, there is also a psychological benefit because there is no
pressure from superiors because I am the owner and for the weaknesses themselves, they are
still weak in management skills. As for the digitization process, I use it through WhatsApp
then the consumers order through WhatsApp then we prepare it then it is delivered to the
consumer's house."
The opinion conveyed by MC above was emphasized by three respondents including EA, AI,
PI, and RI, who are also wholesale business actors, apparently having the same opinion and the five
respondents told it. The following is the full narrative.
"I also initially opened this business to find a steady income because of uncertain work
sometimes there is sometimes not. To create jobs, it is also the same because I have 1
employee and it is also included in reducing unemployment. For the advantages and
disadvantages, maybe the advantage is that we are free to do what I want or hold at the place
of business, there is no inner pressure or have psychological benefits and for the
disadvantages, maybe lacking or weak management skills. And I also use the process of
digitalization pia WhatsApp."
The statement above has strengthened the answer from the first respondent. We as writers see
a similarity because in the age of technology and the difficulty of employment, now many turn their
brains to enter or enter the business world, even those who have worked have switched to small
businesses or what we know as MSMEs.
Another case with ES, who was the last respondent I interviewed, the owner is a mother, she
10295 Journal on Education, Volume 05, No. 03, Maret-April 2023, pp. 10291-10296

had an opinion about what I asked and she answered as follows.

"I opened or started this business, namely to help income or income in the family because the
husband works odd jobs sometimes available and sometimes not available. As for the
advantages and disadvantages, they are the same, seen from the financial turnover, it's not
bad in terms of mental comfort, there is no pressure, and the disadvantage is the lack of
management skills. And as for the digitalization process, I don't use it in this business so
consumers just come."
The author sees that this wholesale business has many advantages, one of which is seen from
the income or income or a decent turnover, then from a psychological point of view it is good for us
because there is no pressure from superiors unlike an employee. Below is a categorization of the data
from our research results in accordance with the observations and interviews we have conducted.
Table 1. Self-Pay Benefits by Starting a Small Business
No Background Results
1 Reasons for opening a business  Joblessness
 Fixed income
 Open job opportunities
 Help increase husband's income
2 There are huge advantages and  Material and psychological advantages
disadvantages  Weakness, lack of management skills
3 Presence and absence of digitization  WhatsApp
process

CONCLUSION
It follows that, based on the findings of our interviews and observations of small business
actors or MSMEs in the two villages, we can draw conclusions about the reasons for opening the
business, the existence of enormous advantages and disadvantages, and the digitization process
carried out in their business. From that question, it appears that the vast majority of respondents—5
out of 6—share a similar perspective on the benefits and drawbacks of digitization.
The theoretical value of this study is to learn more about the business world through the eyes
of the people who participated in the interviews (six in total), and this study achieved its goal by
providing us with new insights into the business world. There may still be numerous problems with
the sentences, words, and general compactness of this journal. If you're doing research on a similar
topic, we recommend being more concise and deliberate in your word choice and sentence
construction.

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