There are several reasons why about 50 percent of new businesses fail by the fifth year, according to the Bureau of Labor Statistics.
Transitioning from a traditional 9-5 job requires some well-thought-out planning.
How do successful business owners cope with the adjustment to owning and operating quality senior housing when they have no familiarity with self-employment?
Entrepreneurs must implement strategies to stay active, sharp and manage a revolving schedule with efficient time management. This is something I am constantly given the opportunity to help with in my work with RALAcademy. Our team has put together a strong list of tips we provide our students to help them transition from traditional jobs into entrepreneurship.
10 Professional Tips For Transitioning From Employment to Entrepreneurship
1. Keep Your Expenses Low
Keeping your expenses low is a lot easier said than done, but self-employment often demands this, especially during startup. Limited flexibility is usually the result of high expenses.
- Reduce overhead
- Limit shopping and splurges
- Keep the business lean
- Watch discretionary expenses
2. Build a Parachute Fund
Having a constant stash saved makes operating a business much easier. Ideally speaking, try to maintain 3-6 months’ worth of expenses.
3. Take Advantage of Other Opportunities
Allow yourself to build various streams of income. Some people do freelance writing, social media work or other independent jobs while searching for the right opportunities. The key to maintain various streams of income is being open to what comes your way. If done correctly, income streams can cause an avalanche effect, and every skill you add makes the landslide even bigger. Learn how to take advantage of every opportunity as an entrepreneur in transition.
4. You Are Not Alone
When investing in senior housing, the Residential Assisted Living Academy is proof that you are not alone. Experts and networks help new entrepreneurs avoid the feeling of isolation while ensuring better odds of success.
Whatever your industry, you are not alone. Find the network for your niche and build relationships.
5. After the Talk
After having that dreadfully difficult discussion with your employer and turning in your two-week notice everything changes. Those two weeks will fly by and you’ll find yourself exploring your next move.
6. Continue with a Routine
Identify a schedule that works best for you and stick to it. Just because you are a new entrepreneur doesn’t mean time management is no longer important – it’s even more important now. The critical thing here is to pay attention to how your body feels and adjust accordingly. Make sure to settle on a timeline and practice discipline. Whatever you want your routine to be, plan it out and stick to it. As entrepreneurs, everybody has a different style, so what works for one may not work for another, just be sure to continue with some type of routine.
7. Designate a Work Area
Avoid working in the bed or on the sofa to escape the temptation to procrastinate or take naps. For some people, it’s helpful to escape to a local coffee shop or free so-working space. Locate a space where the energy and atmosphere is conducive to work and motivates you to accomplish tasks.
8. Talk to People
Even beyond the initial weeks of your transition, continue networking with people. Set up meetings with people ahead of time. This point is strongly emphasized and encouraged. Grow your network exponentially. Take the time to sit down and get to know people one-on-one. As an entrepreneur, you can truly never know too many people.
9. Reward Yourself
Find time to enjoy certain rewards, like food and activities that make you happy. You have to learn how to tempt yourself sometimes, and that’s totally okay. For some people, rewarding yourself works like magic – it’s an amazing motivator.
10. Set Up a To-Do List
Use digital devices that will remind you of deadlines and ongoing tasks. It doesn’t matter how you do it but be sure to create a visible list of what you want to accomplish for the week. This will be super helpful. This to-do list will help you when you find yourself distracted and not working on anything productive. Referencing your to-do list will empower you to refocus your mindset. Aim to have everything checked off by the end of the week.
Understanding these 10 steps will help you make the leap when you’re ready. This is where the fun really begins.
Having a plan prevents you from walking into the unknown. Your plan does not guarantee that you will not endure challenges, but you will be prepared and organized.
Entrepreneurship is a mindset.
You have to make sure that you are ready to embrace the mindset of a dedicated, passionate and successful entrepreneur.
Be willing to make sacrifices, otherwise your transition will be very difficult. The most important sacrifice you can make is getting the training you need, especially in the assisted living industry.
Do the Research
Once you decide on what direction you want to go with your new business, you need to do the research.
For instance, in Residential Assisted Living your first big decision is deciding, “should I buy an already running residential assisted living business or should I start from scratch?”
Once you determine these key areas of decision making take the time to make sure you’re prepared.
Now-a-days, every subject seems to be out there for you to research and find the best way to accomplish it.
Put Together An Incredible Business Plan
Having a plan will make your journey to owning a business less daunting.
Eliminate the unpleasant surprises by relying on the support and training of the industry experts.
You will be better prepared to make your transition by having a thorough understanding and a solid business plan.
When you transition the right way, your entrepreneurship will be your eternal escape from 9-5 employment.
