Feeling like quitting your job to launch straight into a self employed job full time? Think very carefully before you make that decision. Going self employed full time is something most people should only do once they have tested their venture part time to ensure that their self employed venture is viable. Here are 3 good reasons why you would not want to immediately quit your full time employed job to jump straight into a new business venture.
- Loss of Income
Unless your self employed venture is successful from the get-go, you will not earn any money, you may end up running at a significant loss or into debt, and you may not know how long it will take to earn money. And if you are able to earn money, will it be enough? If not, when will it be? How confident are you that things will improve? The bottom line is can you afford to start a self employed business while having no secure income, incurring expenses, and lacking proof that your self employed venture will be a success?
- Poor Time Management / Poor Productivity
While you may complain of too little time if you try to work on a self employed job while working on a full time employed job, a lot of people find that they are actually less organised or outright wasteful of their time when they simply move to going full time employed to full time self employed without any kind of transition period from their full time employed job.
Suddenly having all the time to do whatever you want does not necessarily equate to running a business full time, which means you may fail at your business simply because you never dedicated yourself enough by putting in the same time and effort that was expected of you in your full time job. Yes, eventually you may be able to work less hours, but in the beginning, time and effort is required, you have to start off your business working full time, not fool time.
Ironically, if you can discipline to put in the extra hours part time around a full time employed job, then you will be ready to make the transition after you have significantly built up your part time self employment.
- Risk of Losing Employability Status
Should your business not take off, not only may your bank account be a lot lighter, it may also be harder for you to get back into employment. The longer you are out of work, the less attractive you appear to potential employers. Especially if you specialised in a constantly evolving area such as a number of technology based roles. Even worse if you have to go through an agency in a competitive market – they will simply ignore you unless they need to “scrape the bottom of the barrel.”
At least if you stay in a job that you do not like very much you could move. And do not forget looking for part time work as an alternative. You would still be earning and you will still be seen as employable by being employed. If you really must quit your job to launch into a self employed venture, then you might want to set a specific deadline after which if your self employment income has failed to grow to a desired level, then you will start looking to work for an employer again.