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What You Need To Know Before Starting Your Own Business

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How you can start your own business while keeping your regular job

If you have ever dreamed of working for yourself it takes a lot of hard work and a lot of time to get your own business set up and running.  After your business is running it could take another year for you to have enough money to survive on from the income generated from your business.  This is why most entrepreneurs keep their day jobs for years after they launch their own company.  Before quitting your job to venture out on our own make sure you know what you are getting into.

Learn these 4 tips before quitting your day job.

Many would-be entrepreneurs fantasize about telling their bosses to shove it, but small business owners don’t always quit their day job right away. Research by Gallup in 2014 found that among startups under a year old that have fewer than five employees, only 38% of founders live on what they earn from the business. Fifty-four percent support themselves with another job during the first year. The picture changes later, when they are two to five years old. By that time, 51% make enough money in their business to rely on it as their main income and 44% are still relying on a day job.

 

The best tip before quitting your day job is to make sure that you have enough money to survive because your business may not generate some income for quite some time.  One way to keep a steady income coming in is to become a consultant in your industry by either using your relationships with your current company or knowing other companies that might need your help.  As a consultant you can work whatever hours you need to get the job done and spend the rest of your time getting your own business up and running.

See how to turn your company into a client and 3 other great tips.

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About Shaun Archer Tatum Shaun works in corporate finance in New York City. He has done financial consulting for several start-ups and has worked at several Fortune 500 companies. He has contributed several finance/investing articles on Seeking Alpha which have been published on Yahoo! Finance.

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