This article is for
those of you who are going to make a switch from a secured job to a self-owned
business. I have prepared a list of things you should know and consider before
quitting. There is also a small check-list which would check your business –
readiness.
First let me list out
the questions you need to answer to yourself before quitting:
Are you quitting because you have
figured out what you want to do or you are quitting just because you are not
satisfied (or frustrated) with your current job. à If it’s the former
reason, then well and good. But if it’s the latter, then you may want to
reconsider quitting. I am not at all in the favor of quitting without having a
positive and clear outlook about your future prospective. I faced this problem
myself & believe me, it’s not a good idea to quit without having a clear
plan. It’s not right to quit just because you don’t want to do your current
job. It’s like sailing a ship without a compass. You may never reach your
destination and may end up on a deserted island. Don’t take such a stupid and
immature risk. Take some time out of your job to ponder over the objective of
your life. Once you have your objective, think about the means to achieve it. Only
if you have a clear cut plan, think about quitting. Quitting without a clear
plan would lead you nowhere.
Some
people may fool themselves into believing that they have all figured it out.
But in actuality they are just frustrated with their jobs. So, they make up
stuff to convince themselves that they have a plan. I am not ashamed to mention
that I was one of these people. I quit because I could take it no more. I knew
the place I was working in was not the right place for me. But at the end of
the day, I at least figured out one thing: I figured out what I don’t have to
do in my life. Though I was far away from knowing what I want to do.
Do you have sufficient resources à
Before you quit your job to start a business, you should have in cash to pay
for at least 6 months of expenses to sustain your family. Apart from the money
you are going to invest into your business, you should have enough money to
meet 6 months of your expenses. I believe that once you start a business, you
won’t make any money for the first few months. The only money you are going to
survive on is your savings. Only if you have sufficient savings to run your
business, meet its operating cost & your personal expenses for at least 6
months, you should consider quitting. Otherwise, its too dangerous to quit.
Do you have a business plan in place à
IF you have figured it all out and you also have sufficient funds to start over
with, then you are ready to consider this third step. It’s checking how
business ready are you. Have you got a business plan in place? Have your
thought about your business and revenue model? Have you done comprehensive and
extensive research about marketing, production, competition, market etc? Have
you already started working on the legal aspects of starting the business? If
not, then you may postpone quitting for a little longer and first complete this
homework. All this work, the research and other paper work, can be done along
with your regular job. So why reject taking few months of salary while
preparing for the business. Just do your research and start marketing while you
are still earning the salary. Once you quit, your salary will be all you would
have.
Are you strong enough to take the
decision and not turn back later and regret à After going
through the first three steps, this is the final and the most crucial step. It’s
like taking the final call. Things may turn out very differently than planned.
You should take your final decision considering the worst case scenarios,
because once you take the decision, there is no turning back. You’ll have to
live with it all your life. So, just sit back, relax and think about all the
possibilities. Then decide. Have confidence in your capabilities.
Here is your check list
before you quit:
1) I know what I want to do!
2) I have my finances in order (6 months
personal expense + Business Investment)
3) I have prepared a business Plan
4) I have done my research on:
a. Market and Competition
b. Marketing and Sales
c. Pricing
d. Production and Services
e. Financial Management and Funds
f. Human resources
g. Timeline
5) I have confidence in myself. I am going
to win.
