An excellent way to minimize the risks of starting a new business is to begin work on building your brand while you're still employed. That full-time job ensures that you are paid a regular salary and benefits regardless of how bumpy or smooth the start of your startup is. Retaining your day job allows you to have the best of both worlds. A dependable source of income that provides you with more confidence in trying a new business that, based on realities, has a high likelihood of failure in the first year.
Beyond the fear of failure, the fear of being overwhelmed is another challenge faced by entrepreneurs who are thinking about pursuing a side hustle. The most successful secondary efforts add to your life, not burden it and yet this is a difficult balance to find and maintain. This is why it’s important to understand your own levels of persistence, motivation, and self-discipline before jumping into your own business.
As you start to develop your plans, you’ll need to reprioritize your life to make the time your side hustle needs to grow. This might mean removing some activities or hobbies. Set aside regular time every day to work on your side hustle. Whether it is late evenings or early mornings, be purposeful in dedicating the time. Once you set a work schedule, stick to it. Routine is key. You will achieve more consistency if you involve yourself for smaller periods of time every day versus an eight-hour block on Sunday. Learn how to say, “No.” Consider how any new endeavors, at home or at work, will impact the time and energy you need to pursue your side hustle.
If you are thinking, “I can do that,” here are some other simple guidelines to help you walk the fine line between maintaining your full-time job and pursuing your own business.
Understand your employment contract and abide by it. Especially if you are employed in a position that involves inventions or intellectual property that you develop as part of your job. Most contracts state that anything developed on company time and using company property belongs to the company. Even if you do not have an employment contract, you may still be bound to a similar clause. Look through your company's Employee Manual for any references to ownership of inventions and intellectual property or contact your Human Resources manager to explain the policy.
Be as candid with your employer as possible. If your side hustle is not competitive with your day job, consider if you might be able to turn them into a collaboration partner, customer or client. Your employer might even be willing to invest in your startup or allow you to hold equity in a joint venture. We’d recommend that you consult an attorney to get trusted advice on the most prudent way to proceed if you think you might go the route of asking your employer to be a customer, investor or partner,
Prioritize your time. If you're going to keep your day job and work on growing your part-time business at the same time, that doesn't leave much time for non-essential activities. As we mentioned above, you’ll need to decide what is really important. Consult with the other stakeholders in your life and create a target list of any responsibilities and activities you'll be reducing or eliminating to make time for your business. And be extremely judicious about adding anything new to your plate.
Use only your personal computers and email accounts to send any emails related to your side business. Something as simple as logging into your webmail account to send an email can create a problem. You should not use your company’s property to further the goals of your own business. This could present a legal challenge later further down the road. Not to mention, many companies now have the right to view screenshots of your computer throughout your workday and can read every keystroke you've entered, even if your emails were not sent via the company's email system.
Do your research and choose the right business. A business that requires full-time involvement isn’t the best choice if you can only do it part-time to start. Do your homework and understand the niche you are entering. Is it oversaturated? How are you going to separate yourself from the competition? Identify your target audience. Who will want what you have to offer? What value propositions are you bringing the table? Price your services or products strategically.
While it is important to know what your competitors are charging, the value you provide should guide what you charge. Are you a salesperson? At the very least, you need to be able to sell yourself although it is better to learn how to sell not only yourself but also your services or products. Figure out how to eloquently communicate the value you provide.
Minimize any debt you take on to establish your side hustle. If an expense does not unequivocally benefit your business, the money probably should not be spent. Establish that a need truly exists for your services or products before looking to borrow any funds to help your efforts. Few businesses take off overnight. Persistence and patience will help you work through the time it takes to grow your side hustle to a point that it can become your full-time job. Spend wisely and never assume you’ll see an immediate return on the money you invest in your new business.
Save your side income. Resist the urge to celebrate revenue from your side hustle by spending it. Put into place clear budgetary guidelines for your business to make sure you're not spending beyond your means. Set aside cash reserves from the income your startup creates. This will help sustain you when and if you decide to leave your full-time job. Saving or investing all or most of the profits from your side business will help you build a safety net for once you no longer have your day job.
Jump into full-time entrepreneurship with both feet…when the time is right. Running a business part-time can be partly successful, but your business will only grow to a certain point without your full-time commitment. Once you've identified a clear demand for your solution and you have a sustainable level of income from your growing customer base, it's safe to start considering leaping to self-employment. Remember there will be ups and downs as you continue to grow your business. It’s better to endure the double life a bit longer if it means a more solid foundation for your jumping-off point.
CONCLUSION
Build a comprehensive timeline that outlines your side hustle journey from the first thought, to launch, to year three. You don’t need a formal business plan unless you are looking for outside funding but you should have a fluid plan that adapts to your needs as you go. Change can be a good thing. It’s not terribly practical to think you can predict how your entrepreneurial journey will go before you start down that path.
Establishing a balance between your primary means of income and your side hustle may prove to be more difficult than you anticipate. Your physical and mental health is vital to the success of your new business. Learn as you go to understand what will damper your motivation and energy and what will grow it. With proper planning and a determination to succeed, you will eventually create your dream business and make it your full-time gig.
The professionals at Strategy Driven Marketing want to help you make your dream a reality. Wherever you are in your startup journey, the experts at Strategy Driven Marketing have been there! We’ve been directly involved with the process of launching and growing businesses in a variety of industries for over a decade and we’d love to help you take your next steps. We are here to help you with your website and whatever other marketing needs you have. Contact us today.