Back in 2008 I quit my day job and started an Art Consulting Firm without knowing anything about running a business. I wasn’t happy with my job anymore. There was no spark but most of all I didn’t go to bed at night looking forward to the next day. I felt lost. Everyday, I felt like I had stepped out of myself and watching somebody else go about her normal life, day in, day out. No passion, no drive and I knew I had to get out before I drown. But I made one big mistake- I did not plan! I had no goals or even a business plan and I went from up and whoosh- 12 months time, flat on my face, with a dead business and in debt (another story for another day). I found this great tips I wish someone one had told me before I made my decision to quit my job.
How To Quit Your Day Job Without Being Reckless
Like most movers and shakers, you’re likely plagued by the desire to do more and contribute more, with the view to build up enough credibility and cash to start your own venture. Life on your own terms, eh?
Now there’s a worthy goal!
The problem is, making that transition can be one of the toughest things in the world. After all, if you had endless amounts of capital, and time, you’d have your own business rocking in no time.
The problem is you likely have bills to pay, a lifestyle to run and people who depend on you to provide a certain level of income. This being the case, most would-be entrepreneurs find themselves *trapped* working for someone else, feeling frustrated and stifled, dreaming only of the day they can tell their inept boss to stick it.
I know how you feel.
I’ve been there myself back in the day, and I get emails from talented but frustrated individuals about this all the time. I’ve even coached a number of people out of a job and into their own profitable business.
I know it can be hard.
There are mine-fields and pit falls galore, and it’s all a game of careful balance… Giving enough time, energy and focus to your day job, whilst ensuring your own stuff has enough momentum to get it off the deck….
It tough – but if it were easy, everyone would be an entrepreneur.
“The reality is, being a renegade means stepping out, stepping up and doing the things that most people can’t be bothered to do.” ReTweet This.
That’s what sets you apart from everyone else.
And that’s what is going to lead to your efforts paying off.
But, there are some very important things you need to take into account to make this transition not end in a train wreck.
How to Avoid Your New Business Being A Financial Train Wreck
The thing is, like most budding entrepreneurs, you probably tend to have your enthusiasm dialled right up, which means that your sense of what is finically sound is somewhat suppressed.
Heck, this is part of the reason you’re ready to pack in the safety of having a job.
It’s also the attitude that is going to keep you persisting long after any normal person will have given up… which is part of what will result in your ultimate success.
However, in the attempt to save you getting washed up on the rocks of financial ruin in the process of reaching your dreams, let me give you a process to ensure you have enough finance behind you as you make this transition to making your dreams HAPPEN!
3 Steps To Quitting Your Day Job… Safely
Follow these three steps to the letter, to make sure your efforts aren’t in vain. There is nothing worse than being almost there in terms of development, delivery and mindset, only to find you’re having to go back to the J.O.B. because your electricity is going to be turned off…
So here’s the “Gold-Nugget-How-To-Avoid-The-Train-Wreck” solution.
Start creating an income on the side.
Start with small goals, £300 per month, then £500, then £1k… Build up slowly and reliably. Just because your venture produced a good income one month, doesn’t mean that it has the ability to do it every month consistently.
Estimate how long it’s going to take you to replace your day job income, then double it. Make sure you have the means of supporting yourself for this length of time, whether it be through cash reserves OR maintaining the day job for this duration. The last situation you want to be in is where you’re mentally exhausted and ready to quit the job, but you still haven’t built up the replacement income. This is the road to hurt and frustration.
Even when you have a game plan, the length of time it takes to ramp up sales always takes much longer in the beginning phases – even if you’ve been doing something similar for a while.
Build up a cash reserve for when you make the leap. A good number to have in mind is 6 months worth of your monthly expenses. Odds are there will come a time when you need to rely on this cash reserve to get you through a sticky patch or unexpected expenses. Don’t spend this reserve on a holiday, or a new TV. This is your safety net. You’ll make much better decisions if you have the confidence of this safety net in your bank account – and will be able to negotiate better too!
It’s surprising how balanced you become when you know you don’t NEED the money!
Now The Exciting Part: Over To You
Now you know what you need to do. You know how to create an income goal, and you know how to estimate how long a lead in time until you can replace your income. You also know what your monthly expenses are – or you can work them our pretty easily. All you need to do now is get these numbers in writing where you can refer to them easily.
This is the exciting bit, because all of a sudden your dream of running your own business, or working for yourself is not longer a nebulous “some day”.
No. Now it becomes real and concrete. You have conservative goals, and a structure to work to.
This takes all the uncertainly and anxiety out of making decisions about when to sack your boss.
Get these numbers down quickly. The sooner you do this, the sooner you will be on your way to making serious progress towards your dream!
Leave me a comment and let me know what your numbers are… and of course, reach out if you need any clarification. I’m here to help!
To Your Inevitable Success,
Laura Leigh Clarke
a.k.a. the Whole Heart, Whole Brain Business Mentor
Wire Yourself for Wealth