Up until this point, I’ve been covering many of the fundamentals and principles of success that will help you create a solid foundation for your business.
In the next lesson, we’ll move out of this phase, and begin to put together the pieces of a new business, but first I need to answer an important question that many people have asked me…
(Watch this video…)
Main points:
1) Is your job hurting you? (If yes, it may be time to quit)
2) Do you have a vision and a solid plan for your business? (If no, you’re not ready)
3) Do you already have a written goal for quitting your job? (Could be helpful)
4) Are you committed to the business? (Required)
5) What do you have to lose? (If you have little or nothing to lose, it’s a good time to quit)
6) How long will your savings last? (If you have enough money saved, it may be beneficial to risk some of your savings)
7) How much income is your business bringing in?
*Quit your job and go full time at the point where your business is bringing in the minimum that you need to make ends meet.
8] What are you willing to sacrifice?
9) Do you trust your gut? (And is it usually right?)
10) Will you dare to do what others only dream of?
Action steps:
1) Decide whether you should quit your job.
2) Decide what criteria you need to fulfill in order to quit your job, and then stick to it. (Don’t chicken out when the time comes)
It is very possible that your job is holding you back from building the kind of business you’re dreaming of, so the sooner you can quit your job, the better. Just be wise about it!
As always, you are welcome to post your questions and comments below. Feel free to let me know if you’ve made any decisions about quitting your job.
Have a great day!
Hi Eric,
I’ve already quit my job since about 1 month ago.
Been wanting to start my own Internet Business for a long time and finally I decide to do it.
What do I have to lose?
Well I’m 24 years old, and I think that if i fail now I still can catch up in my later years to come.
While I was on my previous job, it was pretty hard to focus at all on my own business. All my energy is being given out to my day job and by the time I want to do something at night on my own business I’m dried out already. Feels so much better now to be able to focus more onto my own business. 🙂
Your Free Digital Resource Center
http://www.dbookworm.com
Ahhh…to be 20 once again with less obligations and more time on my side…WOW…how do I make this vision happen Eric? LOL 😉 Dream on right?
At least for me I don’t see quiting just yet but I do see quiting fulltime and overtime hours. My vision includes working about 20 hrs a week at the hospital with paid health benefits(instead of 40-60 hours a week). I still desire communicating and helping patients directly(and I enjoy my co-workers) ***BUT*** my desire to be independent and develop a web business is just as strong when I’m not at the hospital(sometimes even at the hospital..lol. Looking forward to applying all the hard work and making this happen. However I need to feel confident in my web business before quitting my day job…as I have a mortgage…:( Thanks again for the great insight Eric!
🙂
We Give 120 Instant Turnkey Websites with Your Paypal ID on Each
http://Instant-Paysites.com
Hi Eric,
I appreciate all you have presented so far.
I have never worked for someone else in my life so the the thought of this online adventure sounds great. Even though I have never had much online experience I hope with your expertise I can pull it off.
Physically I am having to realize as I get older I will not be able to continue what I do, even thought it is what I love to do and have been doing it for 28 years.
I hope to be able to apply my work and personal experiences in a format that I can apply to an online business.
Hey Eric,
Right on time…this is our burning question right now. In fact for the last few weeks our church has been praying for wisdom and clarity about this very issue for us.
Five years ago I quit my day job to go online. This was a great move for our family and for the ministry; but it took three years before my online income exceeded what I made in corporate America. I still say it was well worth it.
Flash forward to today. Now we’re considering whether it’s time for Big Dan to do the same. And that’s the leap of faith…two adults, with a mortgage, five children in private schools, (two of whom need braces) -all supported by THE INTERNET???
The numbers work out. And we’ve already seen that when he’s home, at the very least, my own productivity and resulting revenue soars (if for no other reason than the fact I am more efficient at work when he’s helping care for the kids & the household.)
Nevertheless, wondering about health insurance, and all the benefits at stake to lose seems to be the gigantic roadblock…it’s a big wall of fear to walk through…
Would you mind if I asked the Ericstips readers to help pray us through it?
In His Service,
Sabrina
Hi! Eric,
I was thinking in 17th, what can be one single subject we still have to find out about? And 18th is like you are reading my mind.
I congratulate you for choosing this topic, and I think your advice is considering, and logic.
My position is different then others, I already quit my job 2 years ago. Not because I was fantasizing about a “big business” without a good foundation, because some family situation made me do it. When I stayed at home taking care of a family terminal ill member, I started to do eBay, Internet Marketing in my spare time. I made some money just to add to my current income, not a lot, but it was a useful learning curve.
Now the bad times are behind me. And I decided to go on full with Internet Marketing, transforming all I did in a long term good business.
I know that there is a lot of work to do, (sometime having a job will make you go very slow and you can lose your focus and get discouraged), I know what sacrifices mean (because I already made so many) and I know me very well. Sometime if you don’t get in hard times is not easy to discover your full potential.
At this point I am leaving on a limited budget, it is OK, the single problem is I cannot invest a lot, I have to build step by step this business, taking reasonable steps in term of investments and probably working twice as hard to accomplish my milestones from my business plan. I am committed to my goals and to my long term vision!
I a nut shell, I am ready to start; I trust your experience, and I respect your willingness to share.
Keep the fingers cross for me.
Regards
Michaela
Hi Eric, It’s a difficult one – on the one hand, the chances are most people will have to take a risk at some point. I know I probably quit my job too early but if I hadn’t I would never have seen any project to conclusion. My day job was holding me back but lack of a reliable income can be just as damaging.
I think you’re advice is probably the best anyone could expect to work through this dilemma…maybe a bit of faith and courage required too
Cheers 🙂
Glen Crosier
Brighton
UK
I believe when you leave your job to start a business you must do so with 1 – a plan as to when you intend to quit and how you will recognize when that is and 2)a savings buffer so that you can ensure you are able to meet your commitments pending when your business takes off. So you have to run the numbers and they have to work – taking into consideration that in the early years of a business, it won’t make much money. That’s in addition to your business plan I wouldn’t discount my gut feeling – it’s usually spot on, but it won’t pay the bills so I need to have a practical plan.
Having said that I made my own exit plan with a date and milestones about 5 months ago. it could happen sooner, but the point is I have a plan I’m working towards.
I have to say that having a source of income while you build the initial stages of your business is a very good idea. It gives me a chance to test the waters and it also gives me the opportunity to pick my projects, rather than have to grab any old thing. But it is a trade-off for now, because my productivity will soar once I’m able to either run my business full time or cut back my day job hours to make more time for working on my business so that I don’t feel like I’m working 2 jobs… which I am really. The fact that I have an exit plan gives me a deadline.
These are excellent tips on WHEN to quit your job. Thank you Eric.
1 thing to remember for all is tax liabilities.
If you can survive on the 3k you are earning online,
remeber you are responsible for those earnings!
What you may want to do is set a base line of what
you can suvive on and add X dollars/mth before quiting
in order to cover your tax obligations.
Myself, I earn about 12k/yr online which is way less
than I need since I have a family to take care of.
Loss of health insurance plus the bills would make it
impossible for me at this point in time. But, that is just me!
You all have your own choice as to the timing.
I agree with everything you have said Eric and appreciate your views on it.
Too many quit their JOB before they know they are able to survive.
My best wishes to all in your endeavors. You can do it!
God Bless
Walter Gavurnik
Hi Eric,
Nice lesson.
I will continue to work till i have enough other sources of income to take care of bills and day to day needs.Then i will dive into my business fulltime.
Once my income sources are ready and my business starts bringing revenue,I will go back to india from US and set up my office in my hometown.I will happily work in my business and help others to succeed.
Hope my vision comes true.
Thanks for sharing your ideas.
Best Wishes,
Kannan Viswagandhi
http://www.growing-self.blogspot.com
Eric, you hit on a very sore subject for most of the wannabies out there. The most important question should have been more toward “when” rather than should we. The business plan determines where in the process can you safely make that decision, however, your explaination of what have you got to loose, makes absolutely the most sense.
Thanks, see you on the next one.
I am not at the point yet! I aim to be soon! I may be in it sooner than I am ready, my curent job is ending soon. (Ah, the advantages of working construction)
Sabrina, I’ll keep you in my prayers.
Meanwhile, Eric, thanks for all your help in pointing me in the right direction.
You need to have successful business plan and “execute” your plan before quit your job. You need to have proper plans and never “procrastinate”. Just Do It Now!
Never quit your day job if you have heavy commitiment.Especially you’re “breadwinner” You need to have “financial” backup for at least 3 month and above for you to survive.
To Your Success
Bryan Hee
Thanks again for the lessons, Eric. Unfortunately the decision has already been made for me. I just had to close my “brick and mortar” business 2 weeks ago (and I’m not 24!. That thing was a money drain for the last couple years so I have not much in the way of savings left. So I am trying to get this business started quickly and generate some revenue (while still looking for a job). At least now I have the time to focus on this to get it off the ground. Thanks for all your help!
Rob
Hi Sabrina,
My wife and I will pray for Gods guidance for you to make the right decision. Health insurance and benefits are something that should take prayer and carefull consideration.
Ron & Rogena
Hi Eric,
I already quite my job 11 months ago due to the fact that I had back surgery 1 month ago. Do I really have to go to work? Work! What is it for? You’re broke when you work and you’re broke when you don’t. LOL
Six days shall ye labor and on the seventh, rest.
Thanks for the lessons I think they are helping alot.
RonnieMarz
I already quit and become a happy full time ‘online worker’, I really enjoy being virtual. Thanks Eric, thanks for your valuable tips. Have a blessed day!
Hi Eric, This topic hits home. My job DOES hurt me. I handed in my resignation and they’re going to hire me as a consultant instead, starting end of Sept. My goal is that by May, when the consult period ends, that I have a coaching business beginning to thrive AND have begun an affiliate marketing business. This is a huge leap of faith for me for many of the reasons Sabrina mentioned – health insurance, the fear of economic disaster.
Sabrina, your site intrigues & excites me. I’ll include you and your husband in my daily prayers – may confidence erase your fears and prevail to bring you your hearts’ desire. Sabrina, I would appreciate a prayer that God take away my fear and turn my attention to what God would have me be. The specter of Fear can turn me into an almost obsessive Do-er who forgets that the main thing is to Be who God wants me to Be. (That prayer comes from the Big Book of AA, by the way.)
Eric, THANK YOU for the Lessons, and your generosity!
I too wanted to focus on building my online business, however, with kids, mortgage its just scary. I still, work full time 40 hours week but slowly working to drop down to 20 hours. For those who would benefit, put everything on paper and analyze it.
Let’s say one make $20 an hour then, x 40 = $800 week
Then if one ones to drop to 20 hours, in order to supplement that income all you have to do is 20hours x $20 = earn$400 a week or x 4 = $1600 a month. So in order to drop down to 20 then one had to make at least $1600 a month…is it possible?? I gather some people are making more than that amount in the internet. In exchange you earn 20 hours of life hours to youself to do what you please
what is that nature of job to work at home and who si providing in 100% free of cost along with fee also.
please provide me it is 100% free of cost with your advice to get up a level in that work
regards
venkatesha
The whole issue of when to quit your day job or not is simply a matter of common sense. I think when your business gets to the point where you make enough to replace your income and growing, it could be a good time to quit then and place your concentration on your buiness. At least that’s how I see it as someone who’s been in business (brick and mortar) most of my life. Good luck to all.
Congrats, and yes you are at the perfect time of life to take the plunge 🙂
Sounds like a good plan Gary. I recall you mentioning that in your vision previously, so I think you’ve got a good grasp on this.
does anyone get any guarantees? lol we must make our own guarantees, many of us are not spring chickens (Rob) I too am unemployed at the moment so its not a question when for me either. Like Eric says we each must evaluate our circumstances. I have a seasonal, 8 hrs a day keying on computer, high speed, high stress, at my age isnt a good thing. So Im looking. Good luck to all in your experiences.
Liz
That’s cool Mark, I hope I can guide you in the right direction.
Absolutely, and don’t forget prayway.com 😉
As for health insurance, I think many people in the US would be surprised to see that they can get comparable or even cheaper rates than what they are getting through their employment.
Of course it depends on your age and health condition, etc. But if you’re not too old, and you don’t have any medical conditions you can get cheap health insurance.
The key is to get a high deductible. For example, several years ago when I had a job, they were taking about $600/mo out of my paychecks for insurance.
When I quit, I found a plan for about $400/mo (I think now it’s about $500/mo for 5 of us). Our deductible is about $4500 so the deal is that we pay everything out of pocket until we hit that point, and then everything is 100% covered with no co-pays. However, we’ve never even come close to hitting the deductible (and that includes doctor visits and an average of a couple of emergencies per year).
When I had a job, we were paying $7200/yr in premiums, plus probably $1000 of co-pays, for a total of $8200.
Now we’re paying $6000/yr of premiums plus about $2k of out of pocket expenses. So it’s basically the same price.
As far as other benefits… I’m not a financial guru, but in my opinion 401k’s are not really a “benefit” unless your employer matches your donations to it. If it’s just a normal 401k, you could do just as well opening up an IRA on your own.
Cool I’m glad to hear it was timely for you 🙂
Right now I am getting same money from business as my day job salary, But I don’t think to quit it. It’s not hurting in anyway.
It’s true that having day job you can’t concentarte fully on your business, but somewhere you need to compromise if you want fruits from both the trees..
Also I have concern about the blogging business money.. as most of the money is coming from the Adsense and who knows when any disaster hits your business to make it zero..
so not thinking to quit the job right now..
I am not ready to quit my job
Hi Eric.
One point I ought to make is that the AOL browser seems to hate your video’s. Only allows 5 mins max. Firefox seems to love them though.
(Just incase other viewers were having the same problems)
That aside, you raise some very valid points here. I’ve always been self-employed and never afraid to try new things. Money doesn’t drive me, it’s the fREEDOM to do whatever enters my head. Some good, some bad.
One of my daughters, (Now 30) had worked in banks and offices since leaving school and getting along nicely. She got very interested in Indian head massage, took a college course and got her qualifications.
After doing massages on a part-time basis she decided one day to QUIT her job and go full time as a mobile service. She does private as well as corporate.
Now, as with most self-employed businesses, there are days when she has no appointments, but instead of just accepting the situation as ‘the norm’ those around her set ‘doubts’ in her head by saying things like “What, no work again today?”, or “Maybe you should get a proper job?”, etc, etc, etc.
It’s got to the point where she gets so much ‘negativity’ back from those who are ‘supposed’ to care about her, that she’s now even considering that maybe they’re right and she’s wrong.
You’re absolutely right to warn everyone about the effects of councelling with those ‘near and dear’ to you. MOST simply don’t see the same picture. They see the world in a completely different light, and no matter what you say, you can’t alter ‘their vision’.
I’m trying to convince my daughter that SHE is right, not the naysayers around her. Hopefully she’ll listen to her old Dad.
I’m certainly enjoying listening to you young man.
Pete.
I feel the decision to quit or to stay on Salary Job is basically one opinion or vision.
A lot of things must be put into consideration as stated by Eric.
Is the present job hurting? Is there any plan or goal for new online business? Is there anything to lose, monetary or otherwise? Do you save enough to meet the challenges unknown? Will the income expected be enough to take care of your needs in future? Are you ready to take the risk and dare to take action where others just dream?
I would rather suggest that you look before you leap.
Together we shall win!
Adesegun Akitoye
http://www.repeatrichrelief.com/pips.html
Hi Eric,
I think having two jobs is ok as long as you balance your job timings and your life as well.
Having a business also requires your time as much as working for someone else, but the defference is you make your own rules and you work at your own timings instead of being pushed to work for someone else.
Thank you for your prayers. (BTW, my husband Big Dan spent 20 years as a General Contractor before he took a job with one of the home improvement chains.) The whole “feast or famine” project by project is painfully familiar to us. I’ll be praying for you as well.
Ann,
Thanks for your kind words. I will certainly pray for you. There seems to be a unique twist to being successful online for those of us who are combining motherhood with an online business. The temptation to live like a “human doing” instead of a “human being” is IMO is even greater for productive and busy women.
Be careful what you ask for Sabrina! I was faced with the same situation — I was not able to make the money I could on my home business because I was spending so many hours at my “regular” job. The benefits were the sticking point. So I prayed…and lo and behold, I received an email from my affiliate sponsor asking if I saw the new health insurance program being offered thru our company.
Built a Squidoo lens about it, if anybody else is in the same boat. But as Eric says, if your job is hurting you, i.e. you’re not able to make your home business succeed because of your other job, pray for guidance!
Melissa
Hi Eric,
I just left my job last week. Although I really liked working there I felt I had progressed as far as I wanted to and my gut feeling was it’s time to go.
My online business has been going for a few years and last year demand was much more than I could cope with. Financially I reckon I should be able to make more through my business then working full time, and I have enough savings live off for a year – just in case.
Hope I made the right decision!
Mark
Hi Pete,
I appreciate your example and input. Encouragement and an occasional pat on the back does a lot for self confidence….I’m sure your daughter appreciates it! Best of luck to you! 😉
Hi Eric,
Your reasons out is crystal clear. We have a “VISION” & our goals is being working out now. As along we follow your lessons, we hope to learn more from you as to make progress on this business.
We will quit, once we are making real monies on these businesses.
But, we still take your advice on making a decision as not to regret later & there is no want that we have to blame.
The risks is always on us, as we are the want that want to commit. We hope all of us are safe with your sincerity honestly guidances.
Ths, regards
Hi Sabrina,
I pray that God will guide you through all the way and be the light in your darkness times. To me faith and believe will lead us through, and also proper planning. All the best!
Edward
Thanks Eric for not been too liberal in your opinion about this issue. It is very tempting for aspiring entrepreneurs to believe they would immediately begin to make big money when they start up their own businesses, and so they quit their jobs and plug in.
But when the money isn’t coming as expected, frustration sets in.
I think before anyone should quit their jobs they should have started executing their business plan side by side with their jobs, and the business should have started generating income, which means they have gotten a customer base they will be able to expand. They should have put in place the necessary structures to make the business run.
Thanks again for your beautiful lessons.
Hello to all of you,
1) The Eric lessons are right on target, very well crafted, full of solid ideas about the business, and I am sure the technical part of lessons will be absolutely grate to follow.
2) It is very interesting to read others people mind and comment. Each one is different, same situations are similar some long way apart, but the people are good, sincere and everybody have dreams, goals, necessities.
This is incredible, we begin to know each other and we will end up being friends and helping each other as well. The generosity of Eric is propagating among the “students”, not all, but a good part of them.
Yes, Sabrina you are in my prayers as well!
3) Our comments have a lot of value for our work; they are a good practice for blogs. If we will be as human, open, and vulnerable but determine to success … in our Blogs, we will get an audience, don’t you think?
Regards and all the best for everybody
Michaela
Hi Pete,
It’s easy to fix the video problem in AOL (9.0 VR). Go to settings, click on internet (web) options. Click on Clear Footprints, then click on Select Footprints to Clear. Be sure to select Browser Cache and clear it.
Then click on Internet Explorer Settings link, go to Browsing History, click on Delete then click to clear Temporary Files. If you haven’t cleaned up your computer in a while, it’s good to clear everything else too while you’re at it.
This will free up memory every time for video on AOL, but it may have to be done fairly often to keep the videos unblocked. It just takes a matter of seconds to do this.
Best wishes,
Susan
ERIC THIS IS A good business opportunity for me and my family.
HI I AM VERY PROUD OF MY SELF. BECAUSE I CAN START MY ON LINE HOME BASE BUSINESS FROM THE COMFORT OF MY OWN HOME
What Kind of business is suggested by you?Other way around is:what is to start with?
ANIL JOHN
I read all these comments with a LOT of doubt! I have lots of years in at job, lots of time & MONEY invested in so called “make money sites” What makes this any “different” from all the others? A: You half to put in the work & time (&money!) to get returns! Anyone else see this?
I agree with Eileen. The whole issue of when to quit your day job or not is simply a matter of common sense.When the times come, make your own decision either you want to quit your job or not!Use our internal instinct to make the important decision.
Regards
Nik
http://www.easyartscraftstips.com
Hi Eric,
I still got a lot to learn from you before I
could start my online marketing business. For me to quit my day job is not in my mind at the moment.
Thanks for the tips,
Mike Wong
Eric,
Interestingly, my decision about when to quit my day job was made for me when the small Christian school at which my wife and I both worked cut our jobs for economic reasons. Let me tell ya, that adds impetus to creating a viable online business, even as I seek other teaching positions.
I appreciate your open, candid approach to forming a business, and have taken your advice about “don’t buy anything” literally, even as some of the ads promote good sounding things that likely are more sound than substance.
Thanks for the commitment you have shown to helping people as much philosophically as in the economic sense.
John in southern California
Hi Eric,
I have been thinking about quitting my job for a long time. Unfortunately, my boss did that for me a couple of months ago. I was laid off due to a slow economy. I miss the money, but I don’t miss my job. I worked 40 plus hours a day in an over stressed environment. Then I would come home and work on my internet business until it was time to go to bed.
Up until recently, I would work all day and night on my internet business. But even with that, the stress level of working at home has been half of what it was when I was working an outside job. I finally tapered off to make room for a life outside of the computer.
I have an ebook business http://ebooktreesaver.com, several domains that I am working on and great free to join marketing system http://thespiderwebsystem.com/Sandyspider
But my biggest problem is getting traffic. I have joined several ad blasters, PPC and social network sites but the traffic is not there. Any suggestions?
I would love to not work for someone else again!
Hi Eric,
I am having a real problem getting started.
We started to try to build a website almost a year ago. We are retired but did morgue our home.
Finally signed up with an SOE, and even though the pictures are in jpeg, I do not like the website, Because the pictures do not show prpoerly. When we put them on the site they are either distorted or just plain out of anyones imagination. The web designer says it has to be this way. I can’t believe that! Since other people have websites that look okay. I’m afraid that the customers will return the merchandise
complaining that it does not look like the item,if we get any customers. Also the supplier has to appove our site.
What would you do in our shoes?
We desperately want a website, I am taking your classes. Thank you so much! You really do walk the walk, and I admire you very much. Also like the haircut.
We still have over fours year left on the morgue we took out to use with PMI I am now using a SOE, which in My opion is not any better. Can you help me out? Will be talking to the web designer again soon.
in your debt,
Betty
Can you help me out? Will be talking to the web designer again soon.
in your debt,
Betty
we