Why You Shouldn’t Start A Business Without Steady Income
Updated: Mar 19, 2020
The following is an article “Why You Shouldn’t Start A Business Without Steady Income” by Marc Primo.
At some point, all employees working the 9 to 5 have dreamt about it. It’s the holy grail of one’s professional life, when you no longer have to be nice to a boss you don’t even like while making that shift to becoming your own boss, running your own business, on your own terms.
But before you make that quantum leap, hold that thought and pause for a moment. No matter how strong your urge is to hightail your way out of the corporate grind forever, the smart decision is to wait until your new baby is up and running by itself before doing anything rash like kissing your monthly pay check goodbye.
The following are valid reasons why it is a huge gamble to start your own business without steady income at your disposal. Consider these fully before continuing with that leap:
Wait for an income stream — When setting up your own business, funds are being spent with nothing coming in. Granted that you allotted sufficient budget for your capex, it will still take months, even years, until you breakeven. Without a alternate source of income, your business will basically be bleeding with nothing to stem the flow. Play your cards right and hold on to the stability and security a full-time job offers because it is during times like these that you will need it the most.
State of mind — Thinking like an entrepreneur after having been an employee for years does not happen overnight. You have been wired to take orders from superiors for so many years that it has become a primal instinct to you. By launching your start-up while you are still working as an employee, you will be able to make the transition from somebody who is told what to do to the man at the top who calls the shots like it’s nobody’s business but his… because that is exactly what it is.
Best of both worlds — Think of your day job as a safety net while you moonlight during your free time to set-up your business and see it through its growing pains. Just as valuable and important as the steady income it will provide is the peace of mind you will enjoy in the event that things do not go as planned at first. But should it eventually take off, then you will have the benefit of dual income until you are absolutely certain that it is time to spread your wings and soar to new heights as a budding entrepreneur.