The dawn of social media and information technology has made it easier for us to get inspired by the life of successful entrepreneurs.
From Jeff Bezos’ iconic first image of Amazon’s single room office to Bill Gates creating Microsoft in his garage to Zuckerberg starting Facebook in his dorm, all of it aspire us.
However, behind all the glitz, glamour, million-dollar mansions and supercars lie a different story. It is a story of people fighting adversity, hardships, rejections, and countless second-guesses. Everyone looks at the finishing point, but no one wants to endure the hard bit.
In this article, we are going to help individuals who are thinking about resigning from their jobs and starting a new business. Or in other words, becoming an entrepreneur.
Are you financially ready to take the plunge?
One of the first things you need to start yourself is your financial status. You might be earning a decent salary, which is allowing you to pay off the bills, lead a decent lifestyle, and save some. However, running a business is radically different from getting a salary.
You will need a lot of capital. Whether you are going to use your savings, or take self employed loans or ask your friends and family members is something up to you. Many wantrepreneurs to jump at the idea of starting a new business without taking into account the financial plan.
Unless you have figured out the following for a period of at least the first six months, you are not ready to take the plunge-
- Raising initial capital
- Product Development Costs
- Salaries of Employees
- Marketing Costs
Can a Hybrid Approach to Entrepreneurship work for you?
Leading business experts state that completely letting go of your job and starting a business might be too risky. They state that the initial pushbacks from the new business might be enough to scare people into abandoning their dreams a bit prematurely.
This is why many advocate a Hybrid Model of Entrepreneurship. In this model, entrepreneurs start working on their new business without resigning from their normal jobs. This has a number of advantages.
- For starters, you can always feel secure in the belief that you have something to fall back upon.
- Secondly, you can use the existing finances coming in to fund some small sections of the business.
- Thirdly, getting skills at your normal job will allow you to use the same ones in your new business.
- Lastly, you will be able to bear the initial losses, and not give up on your dreams of being an entrepreneur.
On the flip side, it might mean that you are working extra long hours every single day. Many people who adopted this model stated that they had to work on the weekends as well and had to sacrifice on a lot of important events.
Why it is important to be your own Boss?
Starting a business is difficult but not impossible. The real challenge lies in converting a new business into a successful and revenue-generating one. One important change, which has taken place in the last few years is that a job can no longer give you financial security.
With rising bills, cost of living, and increased responsibilities, a monthly salary will never be enough for a modest to a decent living standard. The need of the hour is to become financially secure and independent. By carefully evaluating all the risks, preparing your business plans, and checking off all the best practices, your new business stands a greater chance of being successful.
The Final Word
Salaried professionals who have made up their minds of starting a new business or are in the process should focus all their energies on the planning stage. Preparing your business plan, going into intricate details about your model, and looking for all the unforeseen challenges can help you be better prepared for a new business. We all want to be entrepreneurs, but are we ready to work towards it is the question!