WhatTodo list before quitting your job prior to turning as entrepreneur

Introduction :

The prospect of quitting your job and becoming your boss is both liberating and scary as hell. But, instead of being impulsive, it’s best to take a deep breath and weigh all of the pros and cons so that you’re 100 percent sure that you’re ready (or at least willing) to take this leap of faith.

I didn’t prepare myself when I quit my first job. I walked into my boss’s office and quit. No two weeks notice, I was just gone. What an idiot! I was unprepared both financially and mentally to leave that job. Just three weeks later I was left with little to no options. Don’t you make the same mistake.

Entrepreneurship is a journey with lot of uncertainty. It is like bull riding. You need to get the bull into your control to ride. In the process of taking into your hands the bull will kick you down, grab you, take hold of you. Be brave and get into battle, brave heart’s only can win the battle and take the bull into hand. Imagine the confidence when you control and start riding the bull, it can never match with any other happiness. However, here is a to-do list before quitting your job to turn as entrepreneur.

You could be sitting on the fence with an idea or a desire to start your own business. Inspiration comes through many different sources and not all reasons are valid enough to pursue a business.

For instance, getting fed up of being answerable to someone all the time isn’t the right reason to start your own company. Because when you do, you are then answerable to your employees, customers, investors, etc.

So, before you do take those first steps, you must know the landscape where your feet will land on. Being aware is the first step towards taking the right decision.

Solve a Problem

Whatever you decide to do as a business, always start with a problem that a specific category of people have or one that you have encountered yourself. Do not start up because market research states great potential for your industry.

Go the extra mile in finding out what challenges people are facing, and then build your product or service to address that. Nearly every successful company built to last solved a problem for a defined group of people.

For example, Dropbox solved the problem of syncing files across multiple devices. WhatsApp solved the problem of messaging (without incurring messaging costs) across multiple phone manufacturers.

Procrastination is a Startup Killer

The first step of starting a venture is to start one. If you want to start your business, shut up and start up. If you don’t act on your idea today, someone else is bound to stumble up on it and take it to market before you can.

No idea is unique until it is executed, for the difference lies in the execution than the idea. Google wasn’t the first search engine when it was launched. There were many others. But what differentiated Google was its execution (algorithm) of the existing idea.

The day you decide to startup, is the day you should take the plunge. There is no right time or moment to start your business and you will never be able to imagine all the possible things that can go wrong even before taking your first step. Cross that bridge when you get to it.

Failure is Imminent

If you are going to startup, you are bound to fail. For in failure are life’s little secrets. For in failure is where you will discover a pivot that can make your product or service successful. Angry Birds was the 52nd attempt that finally made it for Rovio. PayPal was Max Levchin’s fifth attempt at entrepreneurship that finally won him the things he deserved. So embrace failure.

  • You cannot learn to ride a bike by reading how to ride one. You’ve got to hop onto one, fall a few times, but then you get up and hop on again. And only then will you gain the confidence and the balance to ride free. This is exactly how it works in startups too.

Capital is a Bane

This holds true for mainly tech ventures. The more money startups have had in their initial days, the more mistakes they have made. So it’s a good thing that you do not have capital to startup as you wouldn’t foolishly hire professionals more than you need or rent a fancy office space, which is irrelevant on day one.

If you want to start a product company, bootstrap. Pool in your resources from savings or borrow from friends or family. There are many more ways of raising money to build your product. But importantly, get a proof of concept done (outsource if you must) and get some traction before you take it to investors.

If you plan to start a services business, then get your first client, and then hire a team to work on it or simply outsource. Deliver a fantastic service and then work your way into setting up your own team.

So, here we are having established the ground for taking your first steps as an entrepreneur. This was the easy part. The hard part is to quit your job and take the first step. And the day you break free, that is the day your fears will be laid to rest. Because, that’s the day you’ve just learnt to take your first step and there’s no stopping henceforth.

To help you get started, here are the most important things that you need to accomplish before quitting your job and launching your startup.

Have people build smarter things,” is one of the underlying messages in Andrew Yang’s new book titled Smart People Should Build Things (Harper Business, 2014). Yang, the founder of Venture for America, shares his opinion on how our country can rectify current economic problems—by having smarter people build things. The following is a compilation of edited excerpts where Yang explains why entrepreneurs spend so much time in creativity and not enough time in organizing and implementing a strategy to achieve their dreams.

People focus on inspiration but tend to steam when it comes to follow though and taking action. Having an idea is great, but a step further yields to accomplishment and could take years to implement. This could include developing and writing a business plan, finding the right people for your team, raising money, and leveraging resources.

While you’re still at your full-time job, let your mind wander on the side and explore ideas for a great new business. The following is a list of ways to help you get started:

  • Research your idea (identify your market, talk to potential customers, and learn about your competitors)
  • Undertake legal incorporation and trademark protection
  • Purchase a URL, build a website and get company email accounts set up
  • If you can, secure a business bank account and credit card (for your personal financial planning, start cutting back on expenses and budgeting for startup costs)
  • Start building a presence on social media in appropriate platforms, such as a Facebook page, a blog and/or Twitter account
  • Develop branding
  • Connect with your network and find interested co-founders, staff, investors and advisors
  • If necessary, build financial projections and draft a business plan
  • Start drafting a business plan and financial projections
  • Create a mock prototype and/or presentation for potential investors and customers

Implementing the above ideas for your startup, in addition to a full-time job, is a very significant time commitment. When you decide to launch, it may become more difficult as you go on to next steps, but preparing up front is a great start.

How to become an entrepreneur:

Before knowing how to become an entrepreneur we need to understand to do list to quit the job. Entrepreneurship is a journey with lot of uncertainty it is like bull riding Consequently we need to be prepared enough.Here is the to do list before quitting job.

You need to get the bull into your control to ride. In the process of taking into your hands the bull will kick you down, grab you, take hold of you. Be brave and get into battle, brave heart’s only can win the battle and take the bull into hand. Imagine the confidence when you control and start riding the bull, it can never match with any other happiness. However, here is a to do list before quitting job to turn as entrepreneur.

Keep your lifestyle reasonable:

Generally, majority of people are spending more than 90% of their salary and 10% for savings. To my knowledge, if you get 100 bucks per month I would advise you to spend 60 bucks and save rest of 40. I know how difficult it is. However, if you implement it from the day one of your career, it creates good fund. Apparently, I don’t ask you to suppress your happiness, treat the 60 bucks is your capability, if you want to buy something beyond that capability then you need to earn more. If not, you may have to work until the last breath, Let me tell you my concept

Below theory really helps How to become an entrepreneur.

Every person is a frog in their pond and every frog compare with other frogs in that pond. Essentially, it applies from world’s rich person to poor person. If we minimize this comparison I believe you can avoid buying unnecessary things and it saves you a lot.This is the first thing in to do list before quitting job.

Sometimes the frog may get into another richer pond (which is little rich society) eventually, habits mindset and lifestyle would change based on the new frogs.

Frog: You or me.

Pond: Society (it changes based on your earning).

Apply the frog story in our life however, don’t forget 60:40 ratio about financials.

Make a financial plan for next 24 months:

how to become an entrepreneur

To my knowledge a plan with lot of uncertainty, unpredictability and assumptions is financial plan 🙂 it applies from an individual’s to a country’s budget. Consequently, realize that a plan which helps to replan the plan is a financial plan 🙂 If you see any typical financial report which contains below columns.

Projected, Allocated, Planned, Actual, Planned vs actual etc…Depends on width of the paper 🙂 so if we can predict very much accurate why do we need these many columns in the report? Honestly speaking many things are not in our control, we usually work hard to make the plan workable.

As entrepreneurship is with lot uncertainty please plan your financials for next 24 months to lead minimum sustainable life with 30% of buffer.

Avoid long term commitments:

What is long term commitment? I would say more than 5 years of financial commitment is long term commitment. EMI (Easy monthly installment) is another big addiction which would leads you to degrow. I would suggest avoid EMIs or finish before turning into an entrepreneur or freelancer.

Taking an EMI is not wrong as long as it don’t rule your life. I would suggest don’t go for long term commitments as it ruin your financial freedom. However, keep your option open for housing loan rather than any other loans. As home is an asset which is worth to dare for a limited period. One more must follow action item to do list before quitting job.

If you buy things you don’t need, soon you will have to sell thing you need

Warren Buffet.

Own minimum amenities to survive:

If possible plan to own minimum amenities with no loans. Home, Car, bike, home appliances etc. If you don’t own them you may end up paying rent as these things can’t be avoided to live. If you really want to know How to become an entrepreneur, you should know how to lead life with minimum amenities.

Start avoiding Credit cards:

Pretty common psychology of many people is: Paying with credit card is something which is not from my pocket now, may be some time later. However, we don’t realize that it is not so far, just matter of next pay cheque. Consequently, careful while using credit card when your next pay cheque is uncertain. Credit card is a beautiful weapon as long as you know how to use it wisely otherwise it can be your first financial enemy.

Obtain good health insurance:

Being an employee you may not realize the value of health insurance. It protects you and your family a lot without getting ruin of your wealth. Life is not predictable so I would advise you get a right insurance plan it is the most important one in to do list before quitting job.

How to become an entrepreneur and to do list before quitting job.

Remember. Starting a business is a marathon. Not a sprint.

VidyaSunil & Associates is into practice of Tax Complaince, Audit, Accounts , Corporate / Business Finance & Outsourced CFO Services.

Advise for contacting VidyaSunil & Associates;

E Mail ID : vidyasunilassociates@gmail.com

Cell No. : +91 9739834819

Advertisements