- Your monthly costs are covered by twice as much as your side income.
Entrepreneurship is one of the many methods to leave your 9-5. Many entrepreneurs start with a hobby or side hustle, eventually, that side hustle becomes a business, which at the point you realize you no longer need a time card and finally you can have the freedom you always wanted. But starting a business or getting some profits from your side hustle might not be enough to quit your job at the beginning, especially if you are starting.
You need to make sure your side hustle will cover all your expenses twice just to be on the safe side. If this rule is not met, leaving your job without a steady stream of income might become difficult, not impossible but difficult, especially at first if you are used to getting a paycheck every now and then.
- Your emergency fund should be able to cover at least six months’ worth of costs.
This is very important because you have to keep in mind that you no longer count on a steady income, and just in case there are any emergencies you need to be able to cover those expenses. Having at least 6 months of income saved will give you enough cushion if something happens especially if your side hustle or business is not producing. If you can save even better but 6 months will give you enough time to make your business work or find something else. But the idea is not to go back to the rat race but to become financially free.
- You’re skilled enough to turn your side hustle into a full-time job.
Now it’s time to maintain your side hustle, making it into a business will require some sacrifices and a lot of education, even more than what you already possess. The recommendation is to keep educating yourself and become the master of your own passion. Once you feel like you have enough skill to turn this side hustle into a business and replace your 9-5, then go for it. It will be hard at the beginning, you probably will work more than a regular 8-hour shift and you probably will hate it, but never forget what your passion and your goals are, and remember everything worth it in life requires sacrifice.
- You are committed to working hard in order to achieve your goals.
This is the hardest part of the process, just like the title says, there are no shortcuts no easy way, you just have to work hard every day with discipline. Your commitment must be your number one attribute, you must be committed to doing your best, you will face some challenges that will make you want to quit, but at this moment is when it comes the most, are you going to quit? or are you going to continue? that is the question that will define your future and it will happen many times. But just keep in mind that every time you fall, you will learn more and more and you will become more knowledgeable about your business.
- You are willing to work 12-16 hours each day and make no excuses
Discipline and perseverance are your weapons in your new endeavor, if you want to succeed in your business, you must work a bit more than before (in most cases). Some entrepreneurs have stated that when they first began their business, they worked at least 12-16 hours a day. This will not always be the case, once you achieve some level of success and profits start to come in, you will probably decrease the amount of time you put in, of course, the idea is to grow and not be the employee, remember to hire, and delegate so others can take on the main responsibilities so you can take care of what’s more important (how to make more money).
In conclusion
Starting a business is not easy and having a successful business is more difficult but not impossible. It will require work and sacrifice but in the end, it will pay off.
The only thing that you need to do now is “ACT” start your business, make that side hustle a business, and achieve financial freedom, it is very possible but you need to have the right mindset and most importantly try to follow the steps above before you quit your main job, just in case something goes sideways, you will be covered.