When should you quit your day-job?
So you want to quit your day job! Unfortunately there are only
a few lucky ones out there who are happy with their jobs and
don't want to quit them! I am really happy for them. It is not
my case, though, and, since you are reading this, most likely
not yours either. But when SHOULD you quit your job? Right when
you start (so you can have enough time to spend at building your
online business)? After you have cashed out your first check?
After you have made your first profit (two different things)?
OR, should you wait a little bit? Not sure? Keep reading.
Why would anybody want to work for themselves, in general, and
work online, in particular? Some of the reasons that come to my
mind right now are: they don't like their job or boss - well go
find another one that you would like; they are not too fond of
the commuting - move closer to your job or find one closer to
your house; they want to have more time for themselves while
still having enough financial resources to live at least a
decent life - touchee! By the way, working online, if done the
proper way, can get you much further than living a decent life.
That was just for exemplification purposes.
So you want to become financially independent! It can happen for
you as it happened for so many other people, only, depending on
the time, dedication, seriousness and money you invest in your
online business, it may take a little while. A month, two,
three, half a year... You don't know. I don't either! That is
why you should be prepared for the future.
Let's face it! As much as attractive it can become for you to
quit your job tomorrow, at the end of the month your mail box
will fill up with bills. Do you have money to pay them? And this
is where I wanted to get! I have always advised people to make
sure they have enough financial resources to cover their minimal
expenses (bills, food, gas, unexpected expenses plus the monthly
ones involved with their new business).
The first thing you should consider is your savings. Do you have
enough money in your savings account to cover at least such
expenses for a period of at least three months? If not, I
recommend you wake up in the morning and keep going to that job
you hate for a little while longer.
O.K. You do have enough savings! It's still not a good idea to
say good bye to your job just yet. What if, for some reasons,
something happens, and your business doesn't go accordingly to
your projections? You spend all your savings and eventually will
have to find a job again. Chances of your former boss taking you
back are pretty slim. Your savings are gone, you have to start
at a brand new job (with a small paycheck at the end of the
week), you won't have the same time available to work your
business, which will make it even harder (not impossible, just
harder) to grow and bring you the income you have been hoping
for. And it all comes down to you exposing yourself to a lot of
frustration. My point is that even if you have the amount of
savings I have told you before, I still don't think you should
be quitting your job yet.
"Don't put all your eggs in one basket" Heard this before? I
hope so! This is probably one of the most important financial
advice one could get. There is an incredible number of people
who lost everything because they invested all their money in one
place or relied on one stream of income. Don't make the same
mistake. Make sure you have at least two streams of income
before you tell your boss to take his job and do you know what
with it.
As a matter of fact, no matter what your financial situation is,
no matter how many streams of income you have, you should wait
before taking such an important step. Wait even after you see
your first check! Wait even after you see your first profit (no
matter how big it is)! Wait until your business is on autopilot;
until you have enough customers and the kind of customers who
have shown reliable, repetitive buying habits; until you have
enough serious affiliates of your own to help you build and
develop your business. To give you an exact point of reference,
you should wait until you see that your profits at least equal
your present paycheck for a given period of time either at a
relatively constant level from one month to another or on a
steady trend of growth.
Why have I given you such advice when you see so many people
promote businesses using slogans like "Join today, quit your day
job tomorrow!". That is, actually, the reason. There are too
many of them. And the number is increasing. But if you check
carefully, you will see that no serious business encourages you
to do so. On the contrary, most of them have positions similar
to mine when it comes to this subject. More than that, some of
the most successful people who run their own business - on or
off line - would, most likely, give you the same advice.
On the other hand, it is true that you can never have the
certainty that unpleasant, unpredictable surprises will not show
up at any time. That is one of the risks you have to take when
having your own business. Let me rephrase that: You can have
part of such surprises whether you work for yourself or stay an
employee. Everyone's job is at risk, especially with all the
downsizes going on today. So, please don't take this article as
an attempt to discourage you to start your own business (that
would be just plain stupid from and for me and my own business)
but rather as a friendly advice. No matter how insecure jobs are
today (and they are very much so), do not leave yours until you
have at least the same level of security from your business as
the one from your job.
You like to take risks? Very well! The world would be boring,
and definitely not where it is today, without people who like to
take risks. But if you are more like me - if you like a certain
level of financial security - you should think about all I said
before you storm into your boss' office and say "I quit!"