When Is It Time to Go Full-Time?

[trendsetter37]

Whenever you feel it is time

[businesgoonline]

I will go full time if my part time business is able to cover my daily expenses and pay my house loan. Also when you are ready to become a boss!

[Toni.Tone]

It's time for our next Entrepreneur Poll here at YoungEntrepreneur.com. This time our question is: What is it time to go full-time?

Most entrepreneurs start up their own business before taking the leap to quitting their jobs. How do you know when it's time to cut ties with a steady salary and rely on your company to make the money you need?

We would love to hear from full-time entrepreneurs who have already made the plunge as well as part-time entrepreneurs who are hoping to go full-time in the near future.

To cast your vote, please reply below.

I'm looking forward to some great feedback!

I think it depends on when you started your biz and what situation you in at the time you start is. Like I'm in school full time online and I do my online biz full time as well. I was ready to jump head first into my biz when I first started and was able to devote all my spare time to it. So it really depends on the person and the situation.

[Jenna343]

When you already got everything under control and stable.

[Huntingtax]

Its time to go full-time when your "on the side" clients are calling you during your full-time job and you can't answer their calls. If you can't help your clients, they'll find someone else who is available! That's when I took the plunge and quit my full-time job. I've got my story posted on my website. Feel free to read it huntingtax.com under blog.

-Huntingtax Accounting Services
"Helping Small Businesses where it COUNTS!"
Bookkeeping in Mesa, AZ

[msufan]

Lots of great responses here... the one thing I'd add is that sometimes you have to jump earlier rather than later because it is only with that added time and energy to devote to your own business that you can get your own business over "the Dip" (thanks Seth). My own business has suffered because I waited too long to keep the "safe" paychecks coming.

[jodamanx]

I don't think you need to necessarily BE at a place where you're making comparable, if not more, money than you used to make with your full-time job. After your business' foundation is established, you can then project your income / expenses based on your historical data. If you see it growing to a point where you know you''ll make a living out of it, then that's time to go full time with the business!

[KohJack]

Personally, I have no wife and no kids. My savings.....well, we won't get into that. I can hardly afford to be a full-time designer after all is said and done. BUT at the end of the day, I have the freedom to work on my own schedule, and to be where I want to be WHEN I want to be there.

I've been "full time" for two years.....it's terrifying and exhilarating all at the same time!!


fD

I think that it depends on who is affected by your decision and ultimately what makes you the happiest. If you have no kids or wife and you don't mind struggling financially for a little while and it will make you happier why not go for it?

[jacarter1005]

When you start making more money than your steady salaried position for 6 months. This applies as long as you love to operate your new business and foresee a secure future with it.

[Xander123]

The smartest way to approach this would be to not cut your current job until your company begins to revenue enough to cover your bills (food etc. too), and you have at least 6-month of money reserved in a savings account.

[Gopal Dev]

Personally it would have to be when I have seen consistently higher returns from my business than salaried job over the last 6 months, and can project that the next 6-12 will be just as good (if not better). I know this sounds really hard to do, but it really isn't as hard as it sounds. If you are earning residual income and your business is fairly steady (and recession-proof) you can then take the calculated risk of dedicating much more of your time to growing your business further. This will then ensure the future well-being of your enterprise and allow exponential growth because you will be nurturing more aspects of your marketing plan during more hours each week. As you also invest more funds into your business you will also be rewarded by an increased number of business-related tax deductions offering you more after tax dollars that you can then re-invest in your business. It takes money to make money so you can feed the machine this way and experience greater results in less time. Cheers!

Gopal (The Musical Mad Scientist and Entrepreneur)
The v-Fusion Group

[TheBigIdea]

when you've got nothing else to lose! i think most ppl have things they can't afford to lose, which makes them hesitant just before taking that giant leap of faith.

[evolvingentrepreneur]

As an entrepreneur of 7+ years now I've been around the block and know from experience that the safest approach is to go full-time when your monthly income from your business is equal than or greater to your minimum monthly living expenses AND you have 9-months of cash for these expenses in a savings or money market account.

Now, if you're really, really conservative then go with 18-months of cash in the bank to cover expenses just in case your business doesn't create additional income for you within the first year.

I wasn't in the Army, but I can now appreciate their philosophy of, "Hope for the best, but plan for the worst." Applying this to business is smart thinking.

[Tombobs]

I have a couple of sites that get an exteme surge in business a couple of times a year (not Christmas). I kill my self for those two months trying to keep up, but the rest of the year its steady and nice outside of regular work stuff.

What do you think?

[dankiel]

i'd say when you're ready!!