Things To Think About Before Quitting Your Job To Start A Business

This post explores the things to think about before quitting your job to start a business

Many of us who are stuck in the corporate grind have THAT dream…

Walking into your boss’ office, tossing your resignation letter on the desk and grabbing you stuff and heading to the pub at 9.30am while all your work colleagues cheer you on….

But before you go and grab that box out of the recycling to gather all of your items, there are a few things that you need to consider before quitting your job to start a business.

 

What do I need to think about before quitting my job?

 

1 – Cost of Living

 

You have to remember that money doesn’t grow on trees and life isn’t free.

How are you going to keep the lights and electricity on?

Pay for food and bills?

Find money for the rent or mortgage?

You need to ensure that you have sufficient savings in the bank (or stuffed under the mattress) before you take the leap and quit your job.

I would recommend 3-6 months worth of livings expenses (at least) as well as a sum of money put aside to start and invest in your business so that it will grow and make money.

Many people who want to leave their jobs to start a business, begin their business before they leave their job.

When their business is bringing in enough money, they then bite the bullet and give up their “day job”.

Alternatively, you can earn some extra money on the side to help tide you over.

 

2 – Mindset

 

You need to ensure that you have the right mindset to go into business.

One of the challenges of being a new business owner, is that there is no regular wage or salary coming in the door.

This can be a huge mind shift from what you may be used to if you have worked for an employer for most of your working life.

Being resilient and confident are important to ensure that you stay on track and don’t give up.

 

3 – Experience + Skills

 

Do you have the experience and skills that you need to run a business?

What can you learn and gain experience in – before you leave your regular job?

Conducting a skills audit is important so that you understand what your strengths and opportunities are.

 

4 – Ready For A Change

 

Are you really ready for a change?

The dream of running a business versus the actual reality are two very different things.

Are you ready for the responsibility?

Potentially irregular income?

Managing external factors such as economic conditions, changing trends and competition.

 

5 – Knowing Your Gaps

 

Refer to point 3.

Know what your gaps are.

Put a plan in place to manage your gaps.

Either hire people to help you who are experts in areas that you are not.

Or teach yourself what you need to know and keep up-to-date on changes and new ideas.

 

There are heaps of things to think about before quitting your job.

Do these, and you can begin to think about making that dream a reality.