What’s the real reason you want to quit your job to start a business? If you’re quitting for a positive reason, such as passion for a business idea, you’ll have a better chance of succeeding than if the reason is negative, such as you’re sick of your boss or you fear you might lose your job.^[1] Make sure that after your job is gone and you’re working on your business, it’s something you really want to do.

Do you have a viable business idea? It’s not good enough to simply “think” you have a viable business idea. You need to write a business plan, share it with people who can give you informed feedback, and talk to prospective customers. Don’t launch a venture that’s hastily conceived. Know what you’re doing.

Are your finances in order? You need to know your start-up costs and have sufficient cash on hand or a plan for raising the cash before you launch your business. You should also have sufficient money in the bank (experts recommend up to six months) to cover living expenses while your business gets going. What if you encounter unexpected costs? Are you willing to cut back on expenses or ask your spouse to take on an extra job to make things work?

Are you emotionally ready? Owning and running a business is different from being an employee. You’ll have your own money at stake and will normally work longer hours than you did before. It’s also harder to simply “leave your work behind” at the end of a day. One thing that surprises many new business owners is that they miss the hectic pace and busyness of the work environment they left, where they had frequent interactions with coworkers and others. Many new business owners work alone, especially if they work out of their homes. This type of lifestyle can be lonely and hard to get used to, particularly if you enjoy frequent interactions with others. The best way to determine what your life will be like is to get to know one or more business owners in the field you’ll be entering.

Can you start the business part time? Many business owners start their businesses part time. While this approach isn’t possible in all situations, you should give it some thought. By starting a business part time, you can gain valuable experience, tuck away the money you earn, and find out if you really like the business before you quit your job. In some businesses, it takes time to build a productive client list. You may be able to time the departure from your job with the point-in-time where your client list is large enough and profitable enough to justify your full-time attention.

Have lengthy discussions with your spouse before you quit your job. Talk about both the hardships and the rewards that starting your business will entail.

Is your spouse supportive? You know from your life experiences that career-related decisions don’t impact just you. If you have a spouse and kids, they’ll feel the impact, too. Have lengthy discussions with your spouse before you quit your job. Talk about both the hardships and the rewards that starting your business will entail. Don’t make the leap without the most important people in your life on board.