Having thought of quitting your job in order to venture into business is exciting. Many people have done so. Some have succeeded others have failed. Like other fields, businesses are faced with many challenges making the venture risky. It is could be riskier leaving your regular pay to engage in business that doesn’t have guaranteed return. However, with courage, determination, research and guidance you are able to weigh the pros and cons.
If you have that one idea burning within you and the spirit to start, then you are reading the right article.
Wait a minute! If you intend to drop everything in this process, including your pay in order to pursue your dream, then there are some things you need to understand. Transition from Daily pay to a full-time entrepreneurship should be done in the right way.
This article will explore how you can easily transit in order to avoid disappointment.
How To Quit Your Job For Business
1. Plan before you drop your job
A successful business starts with a plan. Start by laying a plan of what you may want to achieve by the end of the day. Entrepreneurship is successful and memorable if preparation and planning is done appropriately. Ensure you lay appropriate structure and systems before you leave your job.
2. Start a side hustle first
Most people who quit their jobs start by side hustles. Start working on your business idea while you still have a job. If you don’t take the time during the evening and on weekends to work on your side hustle, then you probably don’t feel strongly enough about it. If you find yourself doing well in your side hustle then you got confidence to do well even after quitting your job. You can take time managing your paying job with a side hustle as you gauge the possibility of success. You will be able to define the initial business model to your venture.
3. Have A Clear Vision And Mission For Your Venture
A clear vision and mission will always keep you focused. During time of difficulty, you will be strong enough to pursue your vision. This will assist you in developing your game plan as well as determining the audience you wish to attract. You will have the strong foundation to launch your success.
4. Check your finances
It can be disappointing to run out of money while in business having quit your job. That’s why you need a financial plan and enough savings and startup funding to support your endeavor and cover overhead costs before making any rash decisions. Ensure you are financially ready before leaving your job. Lack of finances may ruin your ability for success.
5. Network with people in your industry
In the business world, it’s all about who you know. It doesn’t matter how talented or passionate you are; if you aren’t willing to connect with people in your industry, including customers and other business owners, you won’t have nearly as much success.
Pros and Cons of quitting your job for Business
1. Greater personal investment
It’s immensely satisfying to have a sense of ownership in what you’ve created. You’re finally working for yourself rather than someone else. It’s also nice to have only yourself to answer to rather than some micromanaging boss.
You also have a heightened sense of accountability — there’s no passing the buck when you’re in charge and possibly the only employee at this early stage. You can enact your vision exactly as you see it, and you have control over the outcome.
2. Enjoy the Profits
As the sole owner of your business, you get all of the profits. Once you break through the gravitational pull and your business has reached a certain level of revenue, the sky’s the limit in terms of how much you can earn.
There’s a greater relationship between effort and money made — unlike a salaried job, where working much harder may eventually get you a modest pay bump but not much else. There’s no limit on your expansion as a company except your imagination.
Quit Your Job Start A Business
3. You are Your own Boss
When you’re in charge, there are no rules except for those you set. You have full control over your schedule. Also, you can choose where to work from, whether it’s a rented office space or your dining room table. Most importantly, you have full control over the company’s vision. If things aren’t working, you can shift the plan as you see fit, making adjustments with full autonomy.
Cons of Quitting Job for Business
1. Much Time invested
Being the owner, you need to spend mush time in your business. You cannot run a business the same hours you used while you were employed. Likely, you will be working two to three times harder. Sometimes staying up late at night or working through the weekend.
It’s exhausting, and you risk burnout early on. If you’re holding down a day job at the same time, the feeling may be exponentially worse.
2. You are in charge
When things go wrong, there’s nowhere to hide because you’re the problem. The buck stops with you, and failure is a tough thing to experience. You can’t blame your customers or an employee. You have to take responsibility and figure out what’s going wrong. That means tough decisions and self-reckoning.
3. Inadequate finance
If you’ve quit your job and have no savings to fall back on, things could get real ugly real fast. You may face eviction. Creditors may seize your assets. Debt from unpaid taxes to the Internal Revenue Service may quickly pile up, leading to wage garnishment of any employment you do hold. Your parents’ couch is suddenly in your near future.
Bankruptcy becomes a last-ditch effort to get back on your feet, obliterating for many years your chances of getting a loan or buying a house.