One common concern which many people have is how to know the appropriate time to go into business full-time. Making this decision about going full-time with your side business – especially if you have a day job – is not an easy one because, if done without a wholistic consideration of various factors, there might be future regrets.
In this article I will assume that you are currently employed and have a part-time business, which you are considering going into full-time or you just want to start a full-time business.
There are no hard and fast rules about determining the most suitable time to go into your side business full-time. However, here are a few tips and considerations to help you make the right decision with regards to becoming a full-time entrepreneur:
1. Are you mentally prepared to gointo the business full–time? Are you passionate about the business you want to go into full-time? Are you mentally prepared to go full-time into the business without expecting any salary at the end of the month? Are you ready for the unexpected? Are you ready to handle such a risk? Entrepreneurship is not very easy. There are several challenges you might face in the journey and if you are not determined and passionate you will give up. Some times there might be fluctuations in your income due to several factors.
2. Is the business you wish to go into full-time growing and progressing? From the business trend and progress so far, can you say that if given full time attention that it would grow and expand even more? If your side business is still struggling to gain its feet, then don’t you think it is better to allow it more time to progress while keeping your day job?
3. Is the business yielding enough income? Is your part-time business currently yield enough income capable of paying your bills if you focus on it full time without mounting undue pressure on the business?
Remember, for a single person, this is quite an easier decision to make because you don’t have much financial responsibilities or dependants but, for a married person, you need to think through everything to avoid putting your family in financial stress.
4. Have you got enough business and managerial experience to run a business? Do you know how to handle business finances? Do you know how to handle employees?Do you know have to attract and keep customers? Are you good in marketing? What do you know about business administration? These are vital keys of business success that you shouldn’t take lightly. Many start-up businesses fail due to deficiency in the above factors.
If you are lacking in the above aspects, perhaps you need to learn more about them before thinking about going full-time into your side hustle.
5. Is your spouse in full support of this step? This might sound trivial. However, if you are married, seeking the consent of your spouse is vital in making such a decision as quitting your day job which yields a steady monthly income and going full-time into your side business.
The reason you need to seek your spouse’s view and backing is to have an unbiased assessment of the decision too. Also, you would need his/her moral support to overcome the initial hurdles that you might face if you go full-time with your business. If you are not married you might want to seek the opinion of your family about this too.
6. Do you have back-up funds? Backup fund is emergency funds that you can fall back on in a situation that the business doesn’t progress as you expected or in case the business fails? The world of business can be unpredictable sometimes. Therefore, it is advisable to have enough backup funds to cushion the effect of things especially if they don’t go as planned.
7. Is your day job yielding same or lower income as your side business? With a few exceptions, ( which might include other factors like lack of love for your day job and any other major risk or health and safety concerns with your day job ) it is mostly not advisable to quit your day job if it yields far higher income than your side hustle.
8. Is your day job interfering with and limiting the progress of your side business? If your day job is less demanding and you don’t encounter any burnout keeping both your day job or your side hustle, then fine. However, if your day job and your side business keep interfering with each other and thereby reducing your effectiveness on both, then you might want to sit down and make a decision. Perhaps to quit your day job if it’s yielding same or more than your side business or to get a capable hand that will help you run your side business.
9. Do you have good and reliable customer base? Customers are the major part of the success of any business. The more customers you have or the more number of clients that your business is servicing consistently, the more likely your business will excel.
Therefore, if your side business do not have a fairly large customer base that can sustain your business, then you might want to build your customer base first before launching full-time into the business.
10. Do you haveany serious issues with your day job? If there is poor safety standards, high risk of injury, illness or death from your job, then even if your side hustle is yielding lower income, you might want to consider facing your side business fully or getting another job all together.
These are a few questions that you should ask yourself and get unbiased answers to while planning to take the giant leap into full-time entrepreneurship.
If your answers to the questions are in the affirmative, then don’t be afraid to take the bold step. This might just be the best decision of your life when you look back in years to come.
Moreover, it is not a must that you have to go into business full-time in order to be financially successful. You can be financially successful while working for someone else if you know how to invest your income into other paper assets or investments. If you are happy with your day job, you can continue with it, but ensure that you have part of your income invested from time to time into good and reliable investment schemes that would also be yielding you good income through asset growth.
The goal is not escape from work or employment, but enduring financial success, personal happiness and fulfilment. If you have the time and passion for both your day job and your side hustle and you are not stressed combining both, then who says you can’t keep both. There is absolutely nothing bad about this!
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