Looking for change? Does your work environment feel like a prison? Thinking that going into business for your self might be the right thing to do? It’s well known that going into a business and sacrificing a stable job is a very risky undertaking. It isn’t a decision that should be taken lightly. One should think about the consequences, and if possible, make gradual transitions rather than blindly taking a leap of faith.
Are you feeling lucky?
My friend’s dad worked as a manager for a major bank most of his life. Before he started with a business of his own, he reviewed the risks involved, and made every precaution to avoid failure. He was well aware that most businesses fail in less than 10 years. And so with a large war chest of funds from retirement, he made sure he’d last quite a bit longer than that. He did however make one big mistake, he quit his job. It was an economic downturn for the country in the 1990’s. There were scheduled power outages for regions of the country, and without power, he didn’t have production. Workers’ wages were delayed. Explaining economics to his employees was like talking to a brick wall. They simply didn’t have ears for it. The workers went on strike, and the factory closed shop soon after. So, before taking the plunge, ask yourself, is being your own boss worth the risk? How much are you willing gamble? And are you prepared to lose it all?
Know your work
Most people will gamble with their life savings when starting out. Think about your money. If this was someone else’s company, would you have considered investing in it? Study everything about the business you want to start. Take precautions, be prepared for failure. Read statistics and the latest related current event or breakthroughs. Whenever possible, don’t quit your job, or anything that’s providing your current stable income. Starting a business is like jumping off a cliff. Make sure you have a means to climb back up in case the bungee cord breaks.
Learn from others
Read about successful entrepreneurs. Nothing teaches better than experience. Tips from people who’ve been through where you’re about to thread can be invaluable. Working for yourself can be very rewarding, but with freedom comes great responsibility.
Remember, being your own boss doesn’t mean you do less work. It’s usually the other way around.
Originally posted on December 18, 2007 @ 12:00 am