Financial Barriers to Entrepreneurship: Abandoning Your Career
Before making the decision to become a business founder, there are many concerns you may have. One of the most prominent roadblocks is the financial burden that comes with entrepreneurship.
At Pocketed, we recognize that starting a business requires a certain level of privilege and financial stability, and we strive to help break through this wall.
To help you navigate the world of becoming a business owner, this blog serves as part one of an ongoing series detailing some of the biggest barriers to achieving entrepreneurial success and how Pocketed can help you!
One of the first barriers you’ll face on your entrepreneurial journey is abandoning your career. This barrier isn’t always talked about because it happens before you actually jump into the world of entrepreneurship.
Where are you today? Likely in a stable career with steady income. Where will you be if you leave that role? That’s a daunting proposition.
Usually, if you’re prepping to start a business, there comes a point where you have to leave your current job and the income that comes with it. This is not always feasible, especially when you need funds to get your business off the ground (life expenses aside).
Here are some of our best tips that might help make abandoning your career a little bit easier.
Just because you’re ready to start your dream business, doesn’t mean you have to give up your current job. That would mean abandoning your income which just isn’t always possible. A good tip is to talk to your management team about scaling back on hours.
Although scaling back your hours still means less income, you might have enough in savings or be financially well-off enough to make this option work.
Some workplaces won’t be okay with you wanting to take on fewer hours, but some will be very accommodating in your shift to part-time work.
If you do choose this option, make sure to take advantage of the time you’d normally be putting into your original career, and put those hours back into your new business.
This is another option that allows you to continue working your steady job while you get your business off the ground.
You can work your regular job during your normal hours and use your time off to develop your own business. This usually means working extended days. So, while you retain your salary, you will likely lose personal time and rest.
This option takes a lot of drive and stamina, so it’s not for everyone. For those with chronic illnesses or people that experience lots of fatigue, working non-stop is simply not feasible.
If you go down this path, make sure to take time for yourself as well. Take time to eat well, sleep, and check-in with yourself mentally and physically.
Pre-plan Before Quitting
There’s also the option of doing as much pre-planning for your business as you can before quitting your job.
If you think you can’t manage your current job and business venture at the same time, make sure to get as much planning done as possible before leaving a steady income behind.
Have everything ready for your business’ launch set to go so the transition to being a full-time business owner can be done seamlessly.
Apply to Grants
This might seem obvious since we’re a grant platform, but grants can help you overcome financial challenges, especially if you’re out a steady income.
First things first, get your new business incorporated. Did you know that you can start applying to so many grants as soon as you have an incorporation number?
Once your business is officially registered, you have a great chance at securing some non-dilutive funding to get your business off the ground with a positive profit!
Interested in taking advantage of the grant world to break some of those financial barriers to entrepreneurship? Create your free Pocketed account today!