How Much €€€ to Leave Your Job?

Time2GetFit

Hi All,

Just looking to get peoples thoughts on the € value people would put on getting them away from comfortable (term used loosely!) PAYE employment to go out on their own?

When you take into account being your own boss vs weekly wage uncertainty, relative security vs unknown future what would it take for you to consider going out on your own? Is money the sole driver?

Would you settle for less than you are currently paid if you were earning it for yourself? Or is it a must that you want more cause you take the added stress etc?

Just wondering is there a feeling on what every €10k in the PAYE arena (either private, public, semi state) is worth in the entrepreneurial arena taking account of all the risks the latter poses? For example a person earning €40k, would you expect to earn significantly more to attract you away from that job as your own boss or does being your own boss have intrinsic value?

I don't know the answer to the above but For me I'd love to go out on my own but having the guts to do so with family depending on you act and leaving relatively secure job is pretty daunting!

jimmii

I think most of the regular posters have already made that leap. The main motivation isn't always money if you do it right it can give you a lot of freedom which is the appeal for a lot of people. How much I could earn wasn't even a thought for me I knew if I did it right then that was going to follow so I focused on the business and let the money take care of itself.

Mr Clonfadda

Was never about money for me. It was about family and time. I would expect to earn a lot more working for somebody else.

Time2GetFit

Thanks jimmii-that's a way of approaching it that I wouldn't have considered. Back yourself, back the business idea, plan it well and monetary rewards will follow.

Having the faith or belief to take that leap is obvisouly what holds many people back particularly leaving a steady guaranteed wage for something where you're responsible for how good or bad you do each week / month!

jimmii

You can't really plan on making x amount as you obviously have no idea how things are going to go. When starting out you should try to have at least enough money for 6 months business and personal expenses so worrying about your income shouldnt need to be a worry. There aren't that many new businesses that are profitable that early so money being tight is not a nice position to be in!

ironclaw

You can't contrast it to money to make that decision I feel. On paper, I have a few ideas that could make millions, in reality, its all about the execution. That's what a lot of people forget. An idea is rarely unique or novel, its how its executed (and usually a huge dose of luck) that makes it work.

For me, its more about the ability to do my own thing and develop my own interests. There is no better feeling that working for yourself and the money in your hand being from your our labour and effort. I have an App that makes a little pocket money every month on the App store. Costed, its probably made me a cent for every hour I put into it, but the feeling of someone using code I wrote is very satisfying. The joy of not having to wake up to be in an office at 9am cannot be underestimated.

If I had to have a figure, I'd say you would want 6 to 12 months worth of finance to live on plus the business finance. Add to that a sharply defined personal plan i.e. I will leave my job on February 1st, the business must be sustainable and paying my living, rent etc by July 1st, if not, I will begin a job search. On September 1st I access the situation and re-enter the workforce by December 1st if the business is still not viable. That's condensed but its the mind set I'd use. In the current climate, you'd want to be fairly sure your idea is going to be generating profit and I'd go as far to say that it should be established to the point where your day to day is being effected as its doing that well. Otherwise, if it doesn't work out, getting back into the job market could be very tricky. I'm assuming there of course that one is doing it off their own back with no external finance or aid.

Brian201888

Business paying for itself after a few months is pipe dream stuff

ironclaw

Eoghan_2 wrote: »

Business paying for itself after a few months is pipe dream stuff

Mine is a condensed example. More to represent the thinking than a concrete timeline. Depending on the business and an individuals circumstance, it is possible to have a business comfortably supporting oneself after a few months. Again, execution and luck.