So, you want Independence: What is your Exit Plan?
The time has come where you have decided to enter into entrepreneurship. Have you determined how much you currently need to work in order to support yourself and your family, and, based on that, you’ve also planned how much time you have left over to dedicate to this new business? Based on those two figures, you should also have an idea of how long you need to continue in your current job before you can totally transition out.
Many people find the most challenging part of the transition to be the risk of complacency. Whenever you have one foot in and one foot out of something, there is a risk of inaction. In the transitional phase, you still have the relative comfort of the steady paycheck, and you feel like you’re working on your business, but because you have that safety net, there is little compelling force motivating you to continue pulling away from that net. The final step of leaving your job for good is going to be a leap. That’s why you need to set a date. It’s like ripping off a Band-Aid. It’s so much easier to just leave it on and let it fall off on its own, but that’s not how things happen. You have to take the action!
This human tendency toward complacency is the same reason why, sometimes, people take that sudden leap, even when they’re not ready…because it lights some proverbial fire beneath them and will motivate them by sheer panic. There’s some credence to this tactic, and I’d say it depends a great deal on your circumstances. If, for example, you don’t have many assets or a family, and you have a hefty savings account, then maybe this tactic would work for you. But if the weight of your life and responsibilities require tending, then you’ll need your current income, or a portion of it, to assist in your transition.
Generally, though, the best technique is to set an imaginary fire beneath you. Keep your job, but set in your mind a firm date of exit. Make the date non-negotiable. In your head, you can tell yourself that your job is gone as of this date. There is no turning back. Either you have your own business up and running…or that’s it. You’re done. Automate a predetermined allocation of money to go into a savings account, so that you’re not relying on yourself to put away the money that you need. Take that responsibility off your shoulders. And, force yourself to work on the business. If you have a half hour a day, or four hours on the weekend, or if you have to get up an hour earlier every day, carve out the time. Your business isn’t going to materialize because you envisioned it. You can trust it will look like what you envision if you take the time to work on it, but that won’t happen without your attention and legwork.
How Much Can You Stand to Lose? Risk
Something that’s not often talked about, but that is a valuable limit to know, is how much you can stand to lose. Not every business is a success. Not every idea a business tries is a success. Not every successful business is successful right away. So, it’s important to know where you stand with risk.
Start doing your research now and perform a feasibility study to take a closer look at your business plan? Write down your vision because it’s important to internalize. Get it out of your head and focus on success.
If your business is in need of a boost, or start-up success please contact Michelle at Michelle@MichelleRhodesOnline.com