Factors b4 u quit ur Day Job
fm Huff Post.com 07 Jan 16 enhanced by Peter/CXO Wiz4biz
You have an idea you’re itching to get off the ground. Your family & friends tell you to keep your Day Job. It is the responsible thing to do, after all. It also provides a certain level of security you wouldn’t have otherwise, especially considering many new businesses don’t turn a profit for many months, if not years. But you worry your Day Job will take away the precious time needed to be successful. What should you do? Below, 8 Entrepreneurs from the Founder Society give their advice.
1. Focus on Growing your own Business. I was in the very same situation. I was keeping my Day Job to pay the bills. If you are serious about growing your business, the Day Job will put a halt on that. You can’t grow a sustainable business, while working in someone else’s business. Not only that, the employer will eventually catch on and probably end up firing you, which is just what happened to me. But I turned success from my firing. – Cory Poccia, Mainstream Entertainment
2. Only Quit when it becomes “absolutely” Necessary. There’s a lot that goes into starting a business and that sometimes takes a lot of time, especially if you still have a Day Job. Keep your Day Job until it is absolutely necessary to put all of your energy & time into your business. But waiting too long to quit your Day Job can stunt possibilities and cause lost opportunities. Entrepreneurship takes good timing, commitment & taking that chance – to make it work. – Jack Glasser, Glasser Images
3. Prepare to burn $$ fast & for Larger Expenditures. The jump point varies depending on circumstances. If you’re quitting, you better have at least year’s worth of savings to burn through, have some sort of good revenue flow or be funded. Just about where ever your live, expenses are high, and the benefit of having a job, health insurance is a big advantage. I was ready for the slow drain, but larger expenditures and family health issues strained it. – Ben Gamble, Quincus
4. Keep your Day Job as long as you can. Startups require a lot of work, and it can be tempting to jump ship immediately. However, burning the midnight oil has its benefits. Growing your business after work, helps keep you dedicated without the added stress of trying to pay the bills or feed your family. While your Day Job may not be where your passion is, treat it like a business Loan – helping you transition to a self-supporting business. – Jaime Derringer, Design Milk
5. Prove your Concept First, before you throw in all your $$ & everyone else’s. When a company is in its infancy, it’s a lot to ask that it support both itself & you. I still worked full-time for the first three years that I had my company. This added to my experience, eliminated personal financial stress & even put me in a position to inject some capital into the company from my own Cash Flow when things got tight. Most of all, I proved my concept with little risk. – Alexandra Fergus Clark, Inc
6. When you feel it’s right, “Go All In” & go for it !!! The answer for this is circumstantial and dependent on factors such as risk tolerance, finances & your ability to manage stress. Some argue that you should reduce your risk by juggling a career before going all in. However, the reality is that your business will never reach its full potential when your time, resources & energy are spread too thin. Go all in, have no regrets and give it >100 %. – Damon Nam, Verse
7. Consider how long a Runway you need to “take off”. Estimate, then write down, the number of months it will take until your startup can pay you in Column 1. Now double it because it almost always takes 2x as long as you expect. Then write down how much money you spend per month in Column 2. Divide your personal Burn Rate by the amount in your Fund to get your personal Runway for take-off (in months). Only quit your Day Job if the number in Column 1 is significantly bigger than Column 2. – Lisa Curtis, KulikiliFoods
8. Don’t treat your Startup like a Lottery Ticket. It would be nice to be an over-night success story, but I’m pretty sure we all know that the majority of startups don’t work that way. It can take years to become profitable or secure enough to pay salaries (or just pay your rent!). If you work a Day Job, start working on your startup during your off hours. Building a successful company takes time — not luck. – Antoio Calabrese, Boonle
Comments: Are there any other Factors you consider are important to starting a business?