You may feel like you have a great idea for a business, but you’re still nervous about putting 100% of your effort into that company. After all, it is just an idea, and the job you have at another company is what’s paying your bills. How do you know if it’s time to quit that job and start working on your own business?
The answer here is obviously going to be different for everyone depending on their financial situation, their obligations and what they plan to accomplish. But there are a few things that you can consider to determine if it’s time for you.
How well have you planned the new business?
The first thing to do is consider your planning and determine if you really have a business idea that you can work with immediately. Some people simply get excited about a concept or a vague idea, but that may not be enough for you to go in 100%. You need to refine your business plan and decide exactly how you want to start.
Have you tested it?
Many people will test their new business on the side before they start full time. This is impossible in some cases, of course, but it can be a good idea if you’re looking to start the type of company that you can just scale up. Testing it out on the weekends or in your spare time can show you what works and what doesn’t so that you know if it can be a full-time job.
How will you find it?
Perhaps the biggest question is going to be how you’re going to fund the business. Do you already have the money? Do you have investors? Is it the type of business that is going to generate instant revenue? At the very least, have you saved money to continue paying your bills while the business grows?
Once you decide that it is the right time to start your company, take a moment to look into the legal steps that you need to take.