5 Reasons Why You Should Keep Your Job While Growing Your Business
A top reason for starting a business is to live the entrepreneurial lifestyle. The one where the only boss we have to answer to is ourselves, vacation time is not a struggle to schedule, and our working hours are as flexible as we’d like.
For the majority of us, what we’re in business for could be done under someone else as an employee. There are a few entrepreneurs who invented products and services that never existed, and there are certainly those who go into business to make something better, which they cannot do working for someone else. (As always, there are exceptions.)
I could certainly live the rest of my working days doing what I do in business for somebody else as an employee, but I’m one of those individuals who thrives on independence, so self-employment is essential to my happiness!
I’ve been self-employed since I was 21 years-old, three years after starting my business. About a year (and a house purchase!) later, I decided to take a part-time marketing job at the local chamber of commerce for eight hours a week. Having a source of steady income definitely took the pressure off my business and allowed me to make more connections- and gain more clients!
Since then I’ve had part-time jobs on and off for the same reasons.
Serendipitously, I read the most amazing passage in Elizabeth Gilbert’s “Big Magic” that put it all into perspective for me.
Here are five reasons why you should keep your job while growing a business:
Reduces the stress of needing a steady income.
The main objective is to replace your full-time income with self-employment income, which can take awhile. Because on top of your owner’s draw, your business also has to pay hefty taxes, expenses, cost-of-goods sold (if you offer a product), marketing expenses, professional services, etc.
And business income is never guaranteed. There will always be busy months and slow months, and maintaining your job will allow you to weather the slow months until you’re able to stockpile enough in personal and business savings for you to make it through the slow spells during self-employment.
Psst! Here are 7 Things to Do When Business is Slow.
Allows you to be intentional with which projects/clients your business takes on.
When you’re stressing about your business income, you’re likely to take on projects that are outside of your zone of genius or clients that you know will be difficult. Not only does this lead to stress and frustration, you can end up losing passion for your business.
Conversely, if you’re able to make decisions based on your boundaries instead of solely from a financial perspective, you’ll build your business on a stronger foundation. And a more joyful one!
Allows you to invest in your business.
When your business is responsible for its own bills, you are free invest in equipment upgrades, marketing, professional development, etc. But draw a fine line here. I’m still using my college laptop to run my business, and I’ve had it since 2012!
Investing wisely in services or products that directly increase your business income or productivity is key.
Investing in things that aren’t necessary is one of the 5 Reasons Why Your Business Can’t Afford to Pay You.
Builds a nest egg.
While your business is generating income and your job is supporting you financial, you’re able to save your profits instead of earmarking them for owner’s draws (what you pay yourself).
That way when you do go self-employed you’ll have an emergency fund to carry you through and drops in business. Here’s what I recommend having.
Builds your experience, increases connections, and helps you get clients.
As mentioned above, my part-time jobs have benefitted more than the steady paycheck. I made connections via networking at my chamber of commerce job, some of whom became clients. And oftentimes your job will teach you skills that are transferrable to running your business.
So when can you quit your job?
I recommend a gradual shift. Can you go from full-time to part-time? If not, find the most beneficial part-time job to your situation, even if it’s bartending or waitressing. Bonus points if your job is in your field, builds connections, and is super flexible.
Before putting in your notice, make sure you meet these goals.
Lastly, I want to address shame. Whether you feel shame because your business hasn’t taken off yet or because you had to take on a part-time job after years of your business being able to support you, remember: life happens. Business income can never be accurately predicted or even relied upon. Honestly, a job working for another employer can never be totally relied upon either, but you’re guaranteed steady income while you’re there. And experience. And connections. And maybe even clients.
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Just getting started in business and looking for a roadmap? Check out my Begin Your Business online course. We’ll cover everything from pricing to forming an LLC, assembling your team to getting your first clients, and everything in between.
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Hey there! I’m Meg:
LOVER OF CATS, ROLLER SKATING, AND VW BUGS
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