Many a budding entrepreneur is keen to launch into their new venture and to give up the day job to concentrate on the exciting life ahead and the riches that will surely follow! But before launching out, it is good to check that the scary freedom of going it alone is right for you. Ask yourself:
- Do I bring something new and distinctive to my new business? Can that be expressed clearly in a few words?
- What are my values and passion? Can these be used in my business?
- Am I confident that I can be successful with the right help/support?
- Will the inevitable setbacks and failure be too difficult for me?
- Do I see the value of having someone whom I trust with complementary skills with whom to go into business?
- Can I build a network?
- Does my business have some kind of credible financial plan?
If these questions are all seen positively then setting up a business as an entrepreneur may well be right for you but timing is everything. But when is the right time? Only you can decide that but staying in work full-time whilst building your business has some real pluses!
- It provides an income to pay the bills
- It gives ongoing security
- It can offer opportunities for courses and training
- It gives you time to explore the viability of your business by writing a proper business plan (even if only on one page of A4)
- You will have time to find someone with whom to work (if you don’t have someone already). See my blog ‘Going into business with a friend’ http://smestrategies.co.uk/should-i-go-into-business-with-my-friend/
- You can find the right person to be a mentor
- You can research competitors and your pricing
- It can be used to build a network of clients, strategic alliances and other contacts
- It gives time to test various products and tweak them
- You will be able to work on some numbers. What is your projected income and outgoings? Err on the cautious side for income and worst case for expenditure – that way you will stay solvent! How much do you need to survive? Will you make enough?
- You can get some of the admin work up and ready which is not income producing eg creating a website, developing a brand statement, writing a marketing strategy, forming a company, building strategic alliances etc
- Overall it gives time for the business to try out ideas and gain traction
Having resisted the temptation to pack-in the day job early, you have instead used the time wisely to develop the business whilst working full-time. Yes, it is very hard work! After a period (which could be weeks or months – it is your call) you may then feel confident enough to launch out and leave the day job as you will be moving as an entrepreneur into a functioning and profitable business. You will also do so with more money in your bank (or a smaller loan) than otherwise would be the case! When you do leave make sure you leave on good terms with your existing employer.
If you are an entrepreneur and would like some help building your new business give us a call. We are happy to offer a complementary strategy hour http://smestrategies.co.uk/strategy-hour/ to ambitious entrepreneurs.