Financial Tips

Starting a Business Without a Safety Net: What to Expect

Starting a business can feel somewhat like a free fall, especially if you don’t have a safety net — like a regular paycheck — to catch you. However, with some careful planning and managing your own expectations, it’s more than doable. Use this quick guide to begin empowering yourself with the knowledge you need to become your own boss. Tap into Key Resources for Help No matter how great your business

Written by Intuit Blog team
Modified Nov 9, 2022
3 min read

Tap into Key Resources for Help

No matter how great your business plan or idea is, there are bound to be some speed bumps along the way. When you have the right resources on your side, it’s much easier to overcome those challenges.

Four examples include:

Your Full Commitment: Be prepared to go all-in. Heart, soul, time — all of them need to go into your business. When you get started, you and your family need to understand that you’ll be putting large chunks of time and effort into your business.
The Four Ds: Commitment alone doesn’t guarantee a successful business. To really make it in the business world, you need desire, drive, determination and discipline.
Learning All You Can: Getting business knowledge is essential. You should be able to wear many different hats or find a few trusted professionals to outsource tasks you aren’t up to.
Finding Startup Money: Financing is among the biggest early challenges you might face. This typically involves tapping into personal savings or getting a small business loan.

Manage Work/Life Balance Expectations

Entrepreneurs often feel like they’re walking a tightrope. They balance the need to devote the majority of their time to the business with the desire to still be there for family. Here are a few ways to find a little balance, even in the chaotic early days of your startup:

Don’t Go at It Alone: Bounce ideas off your partner and talk about your struggles. Involving your significant other can give you a fresh perspective while also keeping you both connected.
Learn to Juggle: You’re not going to be a pro right out of the gate. In the meantime, do your best. Be open and honest with your loved ones and avoid over-promising.
Ask for Help: You’ll need to delegate — both at work and at home — to manage your time and commitments effectively. As a plus, this demonstrates your confidence in the people around you. It can also help them be more engaged in supporting what you’re doing.

Start Building Your Safety Net

It’s going to take some time until you’re able to pay down your bank loans and increase your cash stash. Even in the early days of your business you can start building a safety net using these tips:

Set up an emergency fund to help reduce the impact that a disaster could have on your business.
Separate your business and personal finances to simplify your taxes and better stick to your business’s budget.
Build your cashflow with efficient invoicing to encourage faster payments.

With some careful planning and dedication, you’ll grow your business. You can create your own safety net and balance your work life with commitments to family and friends.

References:

https://www.thebalancesmb.com/succeed-in-starting-a-business-2947253

http://fortune.com/2017/03/21/startup-misconceptions-family-life/

https://startupnation.com/manage-your-business/solopreneur-safety-net/

https://www.businessbankoftexas.com/business-resource-center/create-a-safety-net-next-steps-to-financial-success-in-business