Five Tips on Making the Leap from a 9-5 to Entrepreneur
When I was ready to strike out on my own from the corporate environment to entrepreneurship, I knew I had to have a plan. The income wouldn’t be steady, my network would have to be expanded, and I would have to have the necessary equipment to run an office. There are several resources the 9 – 5′ver takes for granted on a day to day basis, and I learned quickly that it is a totally different world when you’re running the show on your own. Here are a few tips, I’ve learned along the way that I hope will make your transition into entrepreneurship a bit easier.
1. CUT BACK- Start decreasing your expenses, and begin looking closely at personal wants vs needs. By disciplining yourself before you leave your full time job, you will develop the habit of putting the needs of the business first and you can contribute toward Step 2.
2. SAVE, SAVE, SAVE- Have money set aside. Ideally, have 12 months of savings to cover your expenses, and at a minimum, at least six (6) months is required. Most entrepreneurs make the mistake of making the leap without their own financial net while relying on the business they have coming in to pay for their basic needs. Don’t put yourself in a situation where one missed or delayed payment could put you or your company in jeopardy.
3. MAKE A PLAN – Have your business plan in place before you quit your job. As the saying goes “when you fail to plan, you plan to fail”. By creating a detailed business plan which includes marketing, financial projections and a basic strategy on how you will obtain, execute and retain business, you will have a blueprint to keep yourself on track. There is plenty of information online on how to create a plan that fits your business.
4. BUILD A TEAM - I’m not talking about an office staff per se. Create a network of clients, contacts and friends that can either provide business or access to business opportunities and leads. It is especially important if you are moving from one industry to a new one. You don’t want to make the leap and no one knows who you are. Plus people tend to do business with those they know or who were referred by a reliable source.
5. HAVE OFFICE SPACE – Whether it’s a designated room or area in your home or an actual office space, it is imperative you have an area where you can conduct & run your business on a daily basis with as few distractions as possible. It’s easy to get comfortable when you are not in the same structured 9 to 5 work environment.
I hope these tips help you on you journey! If you have your own business what additional tips would you add to the list?
9 Comments
Wonderful, very constructive tips! As an aspiring business owner, I applaud your efforts to assist others who are attempting to make the leap. I do have a question. I believe you are absolutely right concerning each point, but how can a person who is working paycheck to paycheck in this economy save in order to have at least six months savings to fall back on? I understand that I have to cut expenses, but doing so will defer my dream longer than I can forsee. Suggestions?
Thanks
Yvette- Thanks for the response. Do what I did. Work full time & start your business “part-time” annd save as you go until you have 6 months of your full-time salary saved. There are 24 hours in every day. You may sleep less, but you will live your dream and find true happiness sooner.
Good luck! I’m praying for you.
Hi Keisha,
As a fellow Rattler, I have watched you successfully build your “brand” and therefore taking these tips from you is the right thing to do. I am currently working full time and have been building a consulting practice for the last five years. My partner and I have grown slowly so that we can use our steady income to live out our passion until the right time comes when we can be full-time consultants and have more discretionary time. We are also working with a master consultant who is mentoring us in an effort to polish our brand, build a strong team of resources and develop a talent pool to work on our behalf so we can spend time developing more business.
I am very proud of you and the integrity you continually display in your marketing business. I look forward to hearing more tips as you make them available.
To our continued success….be blessed!
Tammi Hill
This is a great post Keshia. You stated real, practical facts to get someone started on the transition from employee to entrepreneur. The only other element I would add, if it applies, is to get your household on board. By household I mean your spouse or significant other and children if they are old enough. Having a supportive household will certainly help you when self-doubt wants creep into your thoughts. And it’s critical to have your spouse on board when it comes time to cut back and save.
Love this! Several years ago I was thinking… time to go! I always love refreshing my mind on the tips!!! I can never read them enough!
Great post fellow Rattler. It reminds me of one of my recent blog posts “20 Questions to Ask Yourself Before Starting a Business” http://pearlbellapr.wordpress.com/2012/04/12/20-questions-to-ask-yourself-before-starting-a-business/
Keep up the great work!
Keisha,
this was awesome advice and you have encouraged me to pick things back up with more clarity.
Cynthia- Fantastic!
Please keep me posted on your progress.