How Do You Know When It’s Time To Start Your Own Business?

Apr 25, 2021

The idea of starting your own business can be an exciting adventure, but like all adventures, it involves more than a little risk. In the beginning, you’re doing everything out of your own pocket or convincing someone to trust you with a business loan. That’s why entrepreneurs have to spend so much time planning and saving before they can get started. But at some point, you just have to take that leap, even if you don’t know exactly how it will go. So how do you know when it’s time to start your own business? Here are a few clues:

You Have a Nest Egg and a Backup Plan

Before you start your business, you should have at least 3-6 months of projected earnings in savings, to give your business time to get off the ground. This will make sure that you’re still able to pay your bills if things are a bit slow at first. It’s also important to form a backup plan. You’re leaving your day job for this. If the business doesn’t pan out, what is your next plan, whether for your business or yourself. Make sure that you’re financially secure enough to start your business before you get started. 

You Have a Good Support System and Network

Even if you plan to be a sole proprietor, you can’t do it on your own. You need a support system — people who are willing to have your back when times get tough and help your business get off the ground. You also need a network within the industry. It can be hard to find your customer base immediately, and harder if you don’t know the industry. The best way to get your foot in the industry is to surround yourself with people who are already in that industry. Make genuine connections, and collaborate with them if possible. This will all help make it easier for you to start your own business.

You’ve Researched the Economy

Even if you personally are ready to start your own business, that doesn’t mean that it’s the right time to do so. Have you done your homework on the economy and how it affects your industry? Make sure that your business plan takes the current economy into account. Is your idea a little too saturated in your market? Do you have a plan to make it stand out? Do you have a sense of how long it will take to make your business truly take off? Once you know all the ins and outs of the economy, you’re ready to get started.

You’re Craving the Freedom of Being Your Own Boss

As you continue to prepare for your new business, you’ll start to feel more and more constrained by the traditional 9-5 work life. Entrepreneurs crave freedom. They need to take control of their work and their decisions, rather than following orders from their manager. The more ready you become to own your own business, the more you’ll feel that pull towards independence. Embrace it, and start making the moves to set out on your own. 

As we mentioned above, even the most independent, resourceful entrepreneur can’t do it all on their own. That’s where Bottom Line Consulting can help. We have accounting and payroll services, as well as management consulting and even business start-up to help to give you the support you need to keep your business afloat. Interested in working with us? Contact Bottom Line Consulting today to learn more.