The exodus of millions of workers from standard employment is impressive. I left corporate life many years ago and it was the best decision I made about my career. Being independent allowed me to deliver products and services that I knew I could not create inside corporations.
Making the leap to total independence was a two-year effort. Here are some key points for professionals who are starting their own businesses after years in working in corporations.
- Plan at least six to twelve months before you quit your job
- Test your future business model with some moonlighting before you quit
- Have a financial plan for being successful and backup plan in your case your venture does not work out
- Pay for expert assistance to increase the potential for success of your venture
- Consider buying a business if it is close to your desired business endeavor
Two stories generated the list above.
Two future owners I knew invested time and money to create an employment services business. They did work at it for a number of months. However, they did not get hands on experience in the exact business operations they would be delivering. Within two weeks of opening the business, they knew it was not what they wanted. They closed down the business within two months. It is great to dream, but also get a dose of reality before taking the leap to ownership.
If you are clear about a business line you know you were born to be in, then consider finding a company that fits your goals, work style, and desired business model. Purchasing a business can reduce the risks of going through the startup and launch phases.
There still is risk if you take over a business because you will eventually have to immediately satisfy customers, who expect consistent products and services. One way to reduce the risk of a take over is to retain the owner as a consultant for a specific transition period, frequently one year. Then the customer base will be better retained and the take over of full operations less stressful. Hiring an expert consultant in the business line is also done frequently.
If you feel that starting from scratch is the best route for you then explore the many resources programs and services for startup businesses. Public sector, non-profit and private programs and services are accessible remotely.
- Budget for all the resources and needed
- Plan to create intellectual property or products to distinguish yourself from competition in your field.
- Create a work environment and team that brings out the best in you as owner, decision maker and leader