Starting a business presents both boundless opportunities and numerous challenges. The decision to launch a startup hinges on emotional tugs as well as a practical vision. Your love for your craft melds with a keen business sense that compels you to become your own boss. Aside from gut instinct, when will you really know it is time to pursue your dream? Often, several factors come together to push you from employee to prospective employer. As these triggers arise, the time to capitalize on years of workplace experience draws near. If you’re seriously considering starting a business, look for the following signs to take that first step.
You Love What You Do
Passion frequently breeds success. Most thriving entrepreneurs develop an inseparable bond between their lives and their life’s work. A 2016 study by Startup Canada and sponsored by American Express Canada revealed that 74% of millennials possess a marital relationship with their business. Nearly one-third of those business owners cite a strong emotional connection with work as the driving force to go it alone. A love for the business even seems to supersede the desire for financial success. By contrast, the study also showed that only 17% of those youthful entrepreneurs tabbed money as the primary motivating factor behind their startups. Deep personal connections with your trade indicate a readiness to do your own thing.
You’re Ready for a Change
You have no problem going to work each day, but there’s something missing. You may desire to work at home and spend more time with family. Despite your commitment, there may be philosophical differences between you and management, or you may be tired of managing. Whatever the issue, you have a compelling desire to move on. The path you take in becoming your own boss doesn’t necessarily need to be all-encompassing. Many new business owners scale back full-time positions to part-time hours at their old job until the new business can provide enough income to support their lifestyles. And the first venture may not succeed, but you assumed the risk and gained valuable experience for the next round. The courage to deviate from the norm is another sign you should consider starting a business.
You Have the Capital
The sentimental drive toward the pursuit of your passion must intersect with the practical. As such, you must evaluate whether you can afford the move. A sound financial strategy holds the key to weathering peaks and troughs in the revenue stream. If you have the willpower to make lifestyle sacrifices while your company gains traction, that tolerance will bode well in the first year of operation. If you’ve spent frugally and saved regularly throughout you career, the transition to business owner instantly becomes less intimidating. Squirreling away funds for that cherished opportunity makes you the type of person who just may survive the lean times. If your mind is focused and your heart is committed, it’s time to take a leap of faith.
References & Resources
Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.