So you have an amazing business idea, and you’ve decided you’re ready to take the plunge, quit your job, and get your own company up and running.
Great news! There are chances that you’re probably excited and nervous at the same time, and that’s understandable. At this stage, you need to take a step back and remember that you simply can’t walk into work tomorrow with your resignation letter.
To help you, we’ve highlighted 7 tings you should do before quitting your job and starting your company:
The first step is to carry out a background research which includes, but not limited to – learning everything about your product or service, knowing your audience and buyer personas, researching your competitors, finding the right teams and knowing what your most profitable sales and marketing channels will be.
2. Write a business plan
Once you’ve done your research, you need to put it on paper. Laying out a business plan before taking the plunge will be a key success driver. Your business plan will be something you will show to potential investors, partners, and other company stakeholders.
3. Outline your funding options
Before looking at funding for your company, you need to have your own personal finances in check. In addition to planning your personal finances, you will need to have a plan for your startup. You’ll typically have three options: One or multiple investors, your personal savings, a grant or award for your project
Either way, you need to plan in advance because if you can’t get the capital to get started, your business will stagnate and you will be faced with very few options.
4. Create your business structure
You need to have the structure for your startup in place before you can quit your job, specifically, your legal structure. There are various types of businesses entities you could become: a corporation, limited liability company, partnership or sole proprietorship.
5. Leverage your resources
Of course, you do not want to spend money if you can avoid it. You need to look at the resources that are currently available to you. For example, you may have a friend who is a web developer; they might be able to give you special rates and work for you on a need-to-know basis.
You should contact friends who have started their own business and ask them if they know a good accountant, marketing expert, and so on.
6. Leave on a good note
Quitting your job without working your notice period, gossiping across the office, not completing your final assignments, and not training your replacement could be the worst decision of your life.
Of course, you are leaving to start your own venture, but you cannot be sure that it will be a success or that your old company won’t come in handy one day. Leave without burning any bridges and you may be able to cash in a favour one day. Your old employer may even send clients your way knowing that you are a trustworthy businessperson.
7. Work on your resume
Even if you’re moving on from your 9-5 gig, you still need to beef-up and update your resume. Why? Because an in-depth and polished resume can be used to convince your potential clients and investors that you possess the talent, knowledge, and expertise to be successful. Especially when you’re building your personal brand on platforms like LinkedIn.
Quitting your current job before getting your company off the ground may seem like the best option, but trust me, it’s not. The best way for you to get the wheels rolling in a safe and profitable way is to grow your business while you are still employed. This will make your transition from an employee to an entrepreneur a little smoother.
Did you find these tips helpful? Tell us in the comments!