How to quit your day job: 5 steps
The old saying tells us “don’t quit your day job”, but most business success stories involved taking the plunge from employee to entrepreneur. Despite the slogan ‘Just do it’, even Nike founder Phil Knight spent 5 years selling his shoes before leaving his full-time accounting job. But nobody said it would be easy – one in five businesses fail in their first year in New Zealand. Here are 5 tips to successfully quit your day job.
Plan, plan, plan
Starting a business is no small feat – it takes plenty of planning (and then action). Think in small steps to build momentum, and create a timeline. Even if your business is still just a twinkle in your eye, consider all the things that will help get you there. Conduct research, talk about your idea with anyone that will listen, and set aside some capital.
Side hustle first
Before taking the plunge, having your business running alongside your day job means you can get started while enjoying security. A side hustle is a good chance to gauge the market, get a taste for entrepreneurship and start building some funds. Even the most successful start ups take some time before actually earning an income. In fact, a recent study showed those entrepreneurs who kept their day jobs were 33 percent less likely to fail in their new venture.
Quit the excuses
In business, a touch of caution in can go a long way. But excuses will most definitely get in your way of success (or even starting in the first place). If you have any doubts, it’s best to address them and find solutions rather than let them hold you back.
Keep it simple
As a new business owner, try to start small and narrow your focus. By overcomplicating things you can end up with unnecessary expenses; or an elaborate product or service that never finds its niche market.
Do the numbers
It’s all well and good having a great idea, but it’s crucial to know a business is going to be financially feasible. You will need to calculate every expected cost of launching and operating. But you’ll also need to be prepared for unexpected costs! You’ll also need to look at your personal budget, understanding exactly how much you’ll need to live. Chances are, you’ll need to be prepared to have zero income for some time.
Got the million dollar business idea but need some capital to make dreams a reality? A personal loan from Lending People can help get you there. With super-fast, super easy online loans, you’ll be saying goodbye to your day job in no time!