Apr
28
How To Stop Screwing Around And Really Quit Your Day Job
This is a special edition guest post by Dave Navarro – who is actually quitting his day job AS WE SPEAK and joining the Ittybiz 1000. Read all the way to the bottom – he’s giving advice on how to ditch YOUR day job in the comments.
Quitting your day job is not easy. It’s actually pretty hard and has its moments of mind-blowing stress.
But you know what’s even harder? Staying in a job you can’t stand, where you have no control over your “job security” and your reward for working 5 times as hard as your co-workers is a 2% raise (if you‘re lucky). “Attaboy,” right?
Listen, I know it’s scary to break free and do something on your own. I get that. I’m feeling that right now as I finish my last few hours working for The Big Machine. But a while back I started doing some things that most other people don’t to help dull the fear and give me the confidence to quit the day job.
Future “2 week notice”-ers, let’s talk about how to make it happen (and if you’re currently self-employed you still need to listen to this, because I’ll bet you could use this advice more than you think).
On we go.
First of all, accept that no one is coming to your rescue.
We all love to fantasize about that big break, that one moment that will come and let us break free of the day job. Maybe a Big Name will be our affiliate and sell a ton of our stuff. Maybe we’ll get featured on Some Big Site and get a rush of customers. Or maybe we’ll have a Giant Product Launch and make millions.
Harsh news, friends – it’s almost guaranteed not to happen. No magical single event is going to take you from obscurity to celebrity (well, not in a healthy, sustainable way that lets you sleep at night). I know all the flashy marketers out there tell you otherwise, but it’s just not so. The avalanche of money you hope will free you from your day job is unlikely to appear.
The good news is that you don’t need an avalanche. You just need a snowball. If you keep doing little things here and there to build your business up, creating a few little products to sell, building a list of people you can make offers to as time goes on … it will build over time.
Maybe it’s $50 a month to start, then it gets to $100. Then $250. Then $500. Then $1,000.
Ask anyone who’s created their own successful Ittybiz and they’ll tell you the same. You keep watering the seed until it’s all grown up. I know this from experience. I tried for 5 years to make the avalanche happen, and it didn’t. Then I spent 18 months or so working the snowball, and surprise, surprise, it finally happened.
Give up on the avalanche. It will only keep you in “wishing” mode and rob you of the desire to take real action. Work that snowball, little by little, and watch it pick up speed.
(If you’re already self employed, are you paralyzed looking for avalanches or rollin’ that snowball? Be honest.)
Second, figure out your “squeak by” number.
I got this idea from Naomi Dunford and Mark Silver, and it’s a lifesaver for an Ittybiz. Instead of obsessing over how much you want to make (“woo-hoo! $20,000 a month, here I come!”) figure out how much you actually need to survive and keep the lights on. This number, while not a sexy one, is the key measure of what you absolutely need to squeak by.
Sure, it doesn’t include weekly trips to the spa or monthly cruise packages, but we’re talking freedom here. How much do you really need to be free of the day job and pay the bills? You’ll need to take a look at your budget here and see what you’re spending, what you’re wasting, and make peace with the two.
Here’s why it’s so important: The bigger your number, the scarier it will be and the more paralyzed you’ll feel. Going from Itty to $20K a month (or even $10K) can be terror-inducing. You start looking for avalanches, and freak out instead of building up that snowball. And you don’t do the things you need to do so your business can grow. Tragic.
If you look at you squeak-by number, though, it’ll be much smaller. Maybe it’s 3K or 5K. That’s much more doable. You can visualize yourself working up to 1K, then 2K, then 3K, and because you can actually picture yourself doing this, you’re much more likely to take action. And surprise, surprise, the action happens.
This is pretty much half the battle here, just believing that you can make the income flow happen. Focus on the snowballing your way up to the squeak-by, and you’ll be able to snowball past it when you’re ready – and you won’t carry the baggage of that “big number” stress.
(If you’re already self-employed, do you know your “squeak by” number? Or are you afraid to face it?)
Third, put your profits in the bank. Seriously.
It’s tempting to take all your side job money and spend it on stuff. This isn’t entirely a bad thing – you should definitely reward yourself for taking action. Set aside a portion of your profits for rewarding yourself, but put the rest in a separate bank account specially created to be your “Fuck You Fund.” This is basically where you say “When there’s X amount of money in the fund, I get to tell my day job to piss off.”
(Of course, if your day job is a nice company filled with people you like, you can call this your “Happy Trails Fund.” Or whatever floats your boat).
This is the toughest part of all because the temptation to ratchet up your standard of living is enormous. If you start bringing in an extra $1,000 a month and start taking on more expenses, then your squeak by number just went up. If you develop the habit of spending on stuff you don’t need, or splurging constantly, you’re going to want to keep that up – which means you’ll addict yourself to the day-job-plus-side-hustle.
And that addiction will keep you from breaking free. Far better to feed the fund, then get out on your own, and snowball your standard of living up, on your terms.
The other major advantage to the Fund is it gives you a cushion for when you start out. My Fund amount was three months’ expenses, which gives me plenty of time to make strategic decisions with my Ittybiz and not freak out left and right about making X amount of money right off the bat.
If you feed your fund, you’ll appreciate the cushion it gives you and you’ll stress a whole lot less. Sure, it may take longer to get there, but you’ll be in a better place when you’re ready to say … “Happy Trails.”
(If you’re self employed, are you building up your own cushion fund, or are you skating by and spending all your extra cash? You need a cushion to give you space to think strategically).
Ok, on to the next step. I want you to do two things right now:
First, think of the biggest thing causing you stress about creating your own day-job-killing snowball. What’s holding you back? What do you need advice on? Tell me in the comments below. (I can’t promise to fix all your problems, but I’ll try to give you a next step – but you have to comment before Friday night).
Second, check out my Thank You Ittybiz page, where I’m saying thanks to Naomi for helping me quit my day job by offering he readers half off on two of my new workshops until Friday (so haul ass over there, because Friday’s a’coming.)
Ok, now the ball is in your court. Leave your comment, check out the Thank You Ittybiz page, and let’s get your snowballs rolling.
That is all,
Dave
For me, I think that would be pressure from others to do the “traditional” thing and spend my spare time & efforts trying to find a less fuck-you job (but still a “normal” and therefore icky job) instead of working on my business. I would like to get out of my current hell-hole, but I don’t want to jump out and into something that I’d still be unhappy with (because I’m not working for myself)
That and insecurities like “what about healthcare insurance??” and “what if we can’t pay the mortgage?” But pressure from others is a biggie
Hi Val,
I thought there would be a lot of people like that in my life, but in reality they have very little to say when you are happy and confident. In fact, once I got to the point where I was happy pretty much no matter what, they faded away out of my life entirely. I found it was what I put out there that really mattered. If I was putting out sadness/unhappiness, they’d come out of the woodwork with “I told you so!” But if I put out happiness and self-confidence, they wouldn’t have anything to say.
Keep that in mind as you work toward your path of freedom.
-Erica
Ditto on Erica’s reply. You just have to tell yourself that you need to do what’s best for yourself (and the people you support) long term. some will put pressure on you, but you can’t live your life trying not to make other people uncomfortable.
The away around the mortgage is to build your business up on the side. Experiment with different income streams. Tinker around and see what works for you.
Val,
I used to fret over the question “what about health insurance?” and the like, but you may be surprised what you find out with a little research. I found a reasonable plan that fit our needs, and in the process, removed a roadblock that was holding me back.
I wish you the best.
Don
I am OK with killing the day job…will be doing it in the next couple of months and moving to my cottage. My fear is longer term. The business that I am starting is totally physical which is perfect for now but what about 10 years from now when I can’t do as much of the physical labour as before. How can I build a legacy that comes from a very physical (cottage maintenance) business? Any ideas? I know it’s out there but I need to have a plan!
Hi Brad,
There are basically three options:
1) Use most of your proceeds for investment and live off a small percentage of your income. This is the “get rich slowly”, “millionaire next door” mentality.
2) Build the business to the point where you can hire someone and just take the rest of the profits.
3) Make the business more passive or recurring.
You can do any of all of these, though I’d recommend picking one of them and sticking with it. If you choose #2, make sure you don’t wait until you’re ready to retire to hire someone. You want to hire someone long term and be able to trust that they can do the work even after you retire.
I left off #4, “Sell the business and invest and/or live off the proceeds”, because it doesn’t sound like your business will have a lot of equity. If it does (e.g. real estate), this is a possible route as well, and it’s what I did with my first successful business.
-Erica
Again, Erica beat me to the punch :-)
A very useful post for those who are trying to get off their boring day job. Though I love my job, I still want to go and make money with my own blog. It scares me OK, but the issue is that I am too much of a secure guy, so at the moment I will stick to what I do for living.
As for fighting fear I would still say that there are lots of ways to overcome it that you do not mention (no wonder, cause there is not way to mention them all). For example I have recently made a post with a pretty original solution – http://flavor-of-success.com/fighting-panic-with-not-fighting-it/
Hopw this advise will help your readers to get on their own feet and to overcome their fears!
What a coincidence! I am ALSO quitting my day job, effective June 1st! Awesome post, Dave.
One more tip: when you’re figuring out your “squeak by” money, don’t forget to factor in all the COSTS that you accrue by going in to the office. For me, the commuting, lunches with coworkers, coffees, and happy hours added up to a really appalling number.
Cutting back on those helped me save up the war chest I needed to feel safe leaving my job, but also gave me confidence that my “Squeak-By” number was actually a lot lower than I thought.
You still need to eat, but a homemade lunch costs a tiny fraction of what you’re spending now if you eat out at all. In fact, you could probably make 5 lunches for what it costs to eat out once a week.
Ain’t that the truth. Between gas and all the fast food, you can save a ton.
I think my biggest problem….and one I’m overcoming now is actual product creation. At first it was just kind of random ideas…oh, I’ll start blogging…or oh, I’ll start some mini-sites. That’s not a strategy though – it’s just something that keeps you busy. It’s not that I’m against blogging, it’s more that I really wanted to sit back and evaluate the value I am providing to others…if any. Writing one, two, three (whatever) blog posts a day isn’t a business strategy, but many mistakenly think it is. Or to re-phrase…it can possibly be a business strategy, but most certainly don’t understand that.
So, for me now, it’s more of a question of:
1. What value can I provide to the world (no matter how small) and
2. What products or services could I create around that?
Finally, it’s determining what would I actually like doing and something that I can envision working on every day for the next five plus hears.
Very well said, Nate! Its not how much, but how needed your posts are what makes your blog popular or not, and even if it is popular and you have thousands of visitors per day, it is not a business model yet.
If you want to make your blog your business you have to think monetization through very carefully before you start to design it.
Just wanted to say a quick thanks to you guys because your comments are spot on!
I always worry that I’m not posting *enough* but refuse to compromise (sometimes) on the quality of my posts because I just don’t want to be posting any ol’ thing for the sake of upping my numbers.
Good to know other bloggers care in that sense too because sometimes I feel insecure when looking around at other mom-blogs because they are sooo prolific! If only this was as easy as *making* babies. ;-)
But I do have a vision and I’ll get there in my own time.
Again, thanks.
A big tip – posting frequency is overrated. Posting fewer articles but making them bigger and better is a key way to differentiate. You’re on the right track by not compromising.
Nate,
I suggest that the last question is really your first. Then you’ll know what to start blogging about.
Blogging rocks because you can connect with other people’s audiences through guest posts and build your own following.
You should also check out my tips for product creation here:
http://www.thelaunchcoach.com/weekend-challenge-1
Yes, these are two key questions playing tag in my mind, for the past two months. Cushy job, yes, many ideas on the side also. The job does not allow me to be creative. Running my own business, would. But will businesses be interested, this is where I’m at in the thinking process. I used to be the bold type, open to new venues. That has changed, now that I am a mother of two. That’s another reason for status quo.
Thank you for this post. I really needed a kick in the butt to get me toward realizing my dream of self-employment. I’ve been “screwing around” too much lately and for some reason, find myself paralyzed when it comes to taking the steps I need to. I am bookmarking this post so that I can refer back to it often.
I too feel as it I have spent too much time “screwing around”.
Because really, work is still work even if you enjoy what you are doing. Some afternoons I find myself more often at my fridge instead of at the computer furthering my buisness!
I want to say THANK YOU because I am absolutely encouraged. I’m relatively new to the blogosphere and never thought that someone as popular as *the* Dave Navarro was not doing the internet thing full-time. Shock!
So, yes it can be done, even if you’re a full-time mum, a full-time corporate lackey (IT programmer), and a newbie entrepreneur (blogger) the rest of the time (it feels like full-time too!).
I started out with the intention of total global domination, but almost 11 months on and I’m still finding my feet, my voice, and my mailing list (not to mention subscribers). Still, now I know it’s not wrong if it takes longer than expected, and that I actually have to look at my b-b-b-budget to get there eventually. Looking forward even more to making my first ‘love dollar’.
Mr. Navarro, you rock!
Trish, so after the whole 11 months you still did not make a dollar? I am not a pro in blogging (though I want to become eventually), but I suppose that there is something wrong. I admire your dedication and say – keep it on, but maybe you need to change something?
Yeah, forget about world domination.
Just focus on making this month bigger than last month, and repeat the process. :-)
Small steps in a consistent direction will get you there.
My biggest obstacle is my debt. I’m a lawyer who wants to make a complete career switch, but I have $100k in student loans, a mortgage that’s underwater and credit card debt that I accrued during law school.
So, my squeak-by number is really high. In this case, do you still recommend building the Fuck Your Fund? Or would you recommend using the extra funds to pay down credit card debt first? Is it better to have a really high squeak-by number (which could delay quitting the day job) or to definitely delay quitting the day job while paying down the debt?
Danielle, there are lots of very successful bloggers that started their private business while having a day job (or a night job as in my case). You do not have to quit it right after your first post.
As for me I would choose a more secure option in your place, you know not every blog makes enough to pay off that sum of money you have in debt.
Good luck with it
Hi Danielle,
Well, from a personal finance perspective, if I were you, I would consult another attorney about stopping payment on your mortgage. This would probably get you at least 12-18 months of not having to pay your mortgage. You can then negotiate an agreement where you take “cash for keys”, the lender doesn’t come after you for the debt (make sure that’s in the settlement) and move into a place that will cost you far less.
Use that money to aggressively pay down your debt (and cut expenses as well.) You can also use that time to grow your Internet business and see if you can make a real go of it.
At the end of 18 months, you should have significantly less debt, and you can then re-assess what you really want to do. You’ll also have a lot more freedom because you won’t have a mortgage albatross tied around your neck.
-Erica
Looks like Erica got here first again. :-) (Thanks, E!)
If it were me, I’d begin controlling expenses and building up a cash cushion with the business that could keep you for at least 3 months. If you can do that, then you’ve probably got a growing business model at that point and you just have more flexibility to make less fear-based decisions.
While some people can just quit and start up stuff from scratch with no savings, that’s not a risk level I was comfortable with.
Also, you may want to follow Alexis Neely – she’s a lawyer who may have good ideas for you to leverage what you have into a better cash generator.
Congrats to Dave!
I’m building my I-Love-You-But-I-Don’t-Want-To-Be-In-A-Relationship-Fund as we speak.
The key element seems to be willingness to put in the year or so it takes. I’m glad the IttyBiz circle harps on that. Way too easy to get the impression it take but a month or so.
I also noticed that it is often very easy to get the impression that within three months you can start making a living on blogging. On my blog I have seen that it is not so.
I have a question to everyone, how long did it pass till you started to making at least $300 per month on your blog?
I think it was just over a year for me. I’m past two years blogging now and in March I made about $4,500 from my blog. I’m detailing how I did it in a post that will be up tomorrow.
-Erica
Or two years, or three, or six, or ten. Now, if you aren’t making anything and you’ve been working hard for a year, I’d re-calibrate. But if you’re making a few hundred dollars a month, don’t give up. That can mushroom rather quickly.
-Erica
Always remember, the important thing isn’t “how long is this going to take”, but “am I taking actions to make this month better than last month?”
That’s all you can do. And all you should. :-p
Great post. There are some very cool tips here. I think the thing giving me the fear is my ability to market effectively. Still, there are loads of resources around on how to do that…at least I have some vague idea of how to get the help I need.
Read all Naomi’s posts. Put ‘em into action.
I love the snowball vs. avalanche analogy! And it’s so true about your “squeak by” number. Once I did that 3 months ago, I’ve been moving forward in my biz faster than I have in the past year!
Thanks for sharing. I like how you’re doing your sharing your message all over the place and quitting your day job with a bang! Rock on!
Talk about synchronicity! I just had this conversation at dinner last night, but without all the fun terms (snowball! side-hustle!).
In 4 years I’ll hit one of those zero-ending birthdays. By that time I will have snowballed my side-hustle (seriously love the imagery that evokes) paid off my credit cards, etc. and built up that Happy Trails fund. Paying off the debt (that I accrued from a lucrative side-hustle that I squandered: lesson learned!!!) lowers my squeak-by number significantly and makes it all seem so much more doable.
Thankfully, I do enjoy my day job most days, so 4 years is a nice goal–if I can work it sooner, all the better, but it’s nice to just have the plan and acknowledge the potential to start with!
Now to grab that first handful of snow!
Funneling profits into debt is a great way to reduce that squeak-by number, especially if you pay of the smallest debt first, then the next, then the next …
The squeak by number is a hugely important thing. And sticking to the squeak by number. While this seems kind of difficult, it was actually a great way to for me re-evaluate what was important in my life, and cut out spending money on things that weren’t really very important when I thought about them.
When you’re starting out, sometimes you really have to tailor your lifestyle to your business and income. And that in itself can be a fun thing to try and do, even if it’s harder at first.
The “squeak by number” is critical. You’ve done it if you can just barely eat and pay the basic bills.
If you wait too long and say that you won’t quit until you make $200k a week , you will NEVER quit. On the flipside, if you quit and can squeak by, you will be HUNGRY to go further and it will push your business towards success faster, becuase your livlihood depends on it.
-Joshua Black
The Underdog Millionaire
A month ago this time I was thinking up creative ways that I could make my business grow faster so I could leave my day job. Thankfully (sort’ve) they did it for me.
Taking that leap (even if it was a forced one) is one of the best things that’s happened to me. As soon as I did, it was like all of my friends and business contacts were like, “Finally!” Seriously.
I had built up a network that reached quite far (for me), and they have taken amazing care of me. Offers for contract work, tips on growing my business, a couple of free lunches, and a lot of advice – great people.
In short: never neglect your network!
Thank happened to me too! I was laid off. Even though I eventually took another full-time, I always missed freelancing and am currently working on building up my fund so I can quit!
Love it. I agree… not good to focus on the sexy number, although it can be motivating! I never had a day job when I started. I just started out very broke and desperate. Now I’m making enough to get by, but I want to double or triple my income within a year. I pretty much have no choice but to do it since I’m moving very soon to a country with a much higher cost of living. I will definitely calculate the new squeak by number and start aiming for that now.
Great post… and as a person who left her day job about two weeks ago, I cannot agree more with the ‘squeak’ approach and the snowball vs. avalanche approach.
The amazing thing is this… as I started committing, really committing and telling people about my company, the snowball started moving and collecting more snow. Momentum is perhaps the most important thing in the beginning… the more you can get, the more you want to (and others want to see you) keep going.
Congrats, Dave! Look forward to hearing how things are going!! :-)
As they say: the strong will become stronger and the rich will become richer. Its all about the snowball, or I wouldn’t dare to get into this business =)
Dave, this post definitely hits home for me. I know all about that 2%. Care to guess the raise I got this month from my 2009 annual review? That being said, I don’t HATE my day job. I do work for a pretty good company (hint: think about what’s inside your computer), but it’s still hanging out in a cube working for the man.
I fear making my monthly nut more than most, as I am the sole provider for my elderly parents as well as a 2 and 5 year old with a stay at home mom. And I have a big house that I built at the top of the bubble. I’d love to move somewhere cheaper, but I don’t think my parents could stand another move right now. We have done a good job of cutting out non-essentials and we are driving 10 year old paid for cars, but the squeak by number is still close to 6k.
I’ve finally come to realize that after chasing avalanches for the last 12 years, I need to quit buying metaphorical lottery tickets, get off my ass and start rolling that snowball.
I have a market selected for my snowball product. I’ll be starting development next month after I finish off a block of moonlight programming that I’ve been avoiding for a while. I signed up for Naomi’s guinea pig program – I’m pretty sure there’s a good market for my product, but I’m a far better programmer than marketer. I’m just hiring the best rather than fumbling around trying to make the marketing work :)
Dave, thanks for the push in the right direction. I’m going on the record right now with a goal of day job freedom in one year. Now it’s time to go and do.
And I almost forgot. Super congrats for hitting the day job freedom milestone.
Betcha you’ll make it happen :-)
Congrats on your freedom Dave! I think the thing that stresses me the most (and I don’t have a day job) is knowing the money comes in via my IttyBiz but I don’t always know from where or when it’s going to come.
The way to take care of that worry is to build multiple income streams … consulting, products, etc. That way you’re not dependent on any one source at a given time.
Ask yourself how you can align yourself with other people in your niche so you can expand your audience.
I make my squeak by number already with my “side-hustle.” My only debt is my mortgage. My ittybiz already makes more money then my day job does by a small margin. I could make it a wide margin if I had more time to devote to it. Once a month I travel to an anime convention on the weekend and make a month’s “day job” pay in two days. I could go to more if I didn’t have the pesky day job to go to. I could explore other avenues without it too.
What holds me back is what happens if I get sick? My mother is diabetic, her sisters are diabetic, all 15 of my great-aunts are diabetic… all developed the disease in their thirties. I’m in my thirties, and I’m getting a lot of the symptoms. I’m working with my doctor, but with my genetic history, it’s more or less inevitable that I will develop this disease.
I can afford to be healthy. Without my job I lose my insurance, and I don’t think I can afford to be sick on my ittybiz pay.
That’s a good and valid question. Johnny B Truant has diabetes and has his own insurance issues (http://johnnybtruant.com/is-this-another-rule-i-should-break/) so he may be a resource.
Have you checked to see how much insurance is on your own? Would it be possible to go on your own, and if insurance ever becomes a problem, to return to a day job to get guaranteed insurance?
I’m no expert on insurance … just my thoughts …
Great post and congratulations on making your next move.
I guess that the biggest thing that I struggle with is with all of the opportunities that are out there to make it on your own, what do you focus on (product, affiliate marketing, blogging, consulting, etc.)? Where do you start? Seth Godin had a good post a couple of days ago that talked about placing artificial limits on yourself in certain areas because there is so much opportunity. Still, choosing a direction can feel overwhelming.
Pick the opportunity closest to a sale. Consulting, blogging is a good start.
I am afraid of the sheer size of starting my own thing. From working with major players in my industry I know “what” to do….but I only know “how” to do the little piece my employer pays me for. I know I am not getting the financial reward for my product ideas, but the task of seeing my design to fruition without the big company logistics is too daunting. I don’t know what my first step should be.
You should check out the free workbooks about playing a bigger game and developing income streams right here:
http://www.thelaunchcoach.com/library
i LOVE the ‘squeak by’ rule :) shoulda figured my own out when i quit the 9 to 5 right after college – it made for some tough times but you are so right that if you jump into it you’ll find a way, because, well, you have to!!
I’m with Don. I have no idea how to make a living from the things that I enjoy and am good at. What am I good at? Well, I love needlework and have made some amazing gifts for friends and family. It seems that the time investment is so huge (it took me about 12 hrs to embroider a set of pillowcases for my friend’s birthday gift, which was an easy project – and you can’t do needlework 12 hrs a day or all your money goes to your chiropractor) that I would have to charge astronomical prices that no one in her right mind would pay. Am I off base on this?
The other thing that I enjoy is telling funny and/or heartwarming stories about my pets. I’m no expert in anything dog- or cat-related, for sure. My angle is that my girls are a work in progress. I’M a work in progress. I voraciously read everything I can about dogs (especially) and cats. I make a whole lot of mistakes. I regroup and try again. I guess I’m not very different from the Mommy bloggers, except that my kids have four legs and wear fur coats.
So…Products? Services? Yeah, I can think of some that would be related to my dog-blog (and possibly-maybe-kinda-sorta to my needlework hobby). I just can’t think why someone would buy them from me, the self-confessed non-expert, when they could buy expert products and services from the likes of Karen Pryor and Patricia McConnell. (No, NOT Cesar. I have strong opinions…let’s not talk about him, shall we?)
Sherron, what I’ve learned from the craft bloggers I follow is that they make their money from products that rely on their head and not their hands. Taking needlework as an example, sure you could make pieces to sell. But as you’ve pointed out, there are very real limits to that. What if you offered classes and tutorials? Developed and sold patterns and kits? Or altered your approach to the craft itself. You’d likely be able to charge what you’re worth embellishing wedding dresses and christening gowns rather than pillow cases.
I suppose my point is that you haven’t yet figured out that your most valuable skills have nothing to do with how you wield a needle.
Don’t quit your job because you hate it. Quit because you don’t want a job at all… you want something far better.
When I quit my job last October, I quit the best job I ever had. Even the best job wasn’t as good for me as the freedom I sought.
Hear, hear! I’m getting desperate to leave the best job I’ve ever had, too. For that exact reason.
Great post Dave, really like the squeak-by goal. My issue comes down I guess to time and investment. I have the products and the motivation and originally I wanted my Ittybiz income to be able to pay for part time childcare so that I could then grow the Ittybiz beyond it’s current position. My income is starting, but it is not yet covering even basic childcare costs. I feel in a Catch-22, without income I can’t stretch to childcare and I know from experience that staying up working all night does not make me a good patient parent, and without childcare I struggle to be able to make the income. So my position is a little reversed, if I can’t make the snowball grow soon, then I’m back to trying to grow it while looking after 2 small children. Hope this motivates me to jump in and MAKE it happen!
Thanks
The best example I’ve seen in a long time of how it should be done. Just a normal dude stating from the beginning and killing it all the way.
Now you can add something new to the Launch Coach. You can be the Job Launch Coach – as in launch that job into outer space.
Ok that’s enough cheese and brown nosing :-)
Seriously great advise though. I’ve fallen victim to spending all that extra income so many times. The kids need this, I need that, hey lets get away for a looong weekend.
Rewards are good but in moderation.
Dave–congratulations!!!!!
My biggest worry/challenge in launching my own business is time and energy management. Specifically, I’ve been a hard-driving Type A person all my life (I’m in my early 40s now), and now life circumstances are forcing me to slow down and re-evaluate how I’m (not) taking good care of myself.
But I have to get out of being an employee and into self-employment SOON. It’s killing me on so many levels–and no, I’m not just being dramatic when I say that.
So…how does a Type-A person with a tendency to seriously run herself into the ground hold down a full-time day job AND try to launch a solopreneur online business (based on blogging, FYI) **at the same time as** learning to place self-care as a high priority?
In other words, how do I speed up and intensify to achieve escape velocity while simultaneously learning to slow down and take it easy for the sake of my health and well-being?
Michelle, are you me? I struggle with the exact same thing, and I hear you on how your job is killing you.
I started my ittybiz “snowball” last fall, but then my day job got crazy and I ended up working 70-80-hour weeks for about 3 months. I eventually put my side business on hold, because I was exhausted and when I forced myself to put time into the side gig, the work I turned out was crap, because I was exhausted! So I chose to spend my very limited downtime on minor things like eating and sleeping. :)
I feel like I’m caught in a Catch 22 — need to get out of the day job because it’s too exhausting and time-consuming, but I’m too exhausted and time-starved most days to really work toward an exit strategy. I’d love to hear real ideas on how to overcome this without entirely tossing self-care out the window.
Darlene, I’m chuckling at your “minor things like eating and sleeping.” :)
And are you sure you aren’t *me*? Because you described the Catch-22 perfectly!
I’m with Michelle and Darlene… just another 2 years down the road. I’d started, and then got eaten by my day job, leaving no time for the side-hustle. However, then my day job up and ended on me (darn you, stock market crash!) and I was forced to get with the side hustle because there was no way I was ever going back to cube nation.
Health care on my own turned out to be far less expensive than I thought, and thank goodness for a friend who prodded me to look at it instead of just whining about the high cost of COBRA.
Also, this post about the squeak by number is right on the money. I wasn’t (and still haven’t) replaced my day job money, but I need far less than it paid to get by and be free. This year I’ve been to Ecuador, and last year I was in Europe and Argentina. Screw you, day job that didn’t let me take vacations!
The hardest part for me now is not letting my workaholic tendencies creep into my new gig, and remembering to say no to projects that I know will be a major hassle and not ultimately profitable for me. It has been interesting doing the math and fighting the battle to both keep a steady income stream and do the work for a living wage. But each month and each year it gets better, easier, and more comfortable.
Hi everyone,
Dave, that’s awesome to read! To you and everyone else here who have done it, best of fortunes and success!
I’ve been dreaming about leaving the day job behind for over a year now, but it seems like I’m no closer. I’ve hit the “glass ceiling” where I am, and am not interested in continuing on any second longer than I have to.
I just always feel that I’m on the sidelines struggling to get my shoes laced, while everyone else is already on the field.
Argh…that “catch-22″ thing is just about right.
I think my biggest issue is that my income outside of my “regular job” isn’t. Regular that is. I don’t feel ready to step away from work until I can find some way to make my business revenue more consistent.
I’m only just getting into keeping good records, and that has been an issue too.
Hi Dave–
I actually like my day job–working for The Man does have its benefits (and when you’re pissed at him, you can digress from your duties and do fun ‘passive aggressive’ things like commenting on an awesome blog post while he’s paying you…!).
My one question–how to promote a psycho-educational blog that promotes tips for dealing with depression, anxiety, parenting, etc., when there’s an (unfortunate) stigma about seeking mental health services…
Thank you,
Linda
Ok, where to begin? Well, essentially I guess that’s where I should start! I just don’t know where to begin. I don’t know HOW to get the ball rolling and get people interested in what I’m doing. I guess I’m not so savvy with the marketing side of things. Or even sure of where I should begin with it (here I go again!)
I’m willing to give this a go, but need a little push in the right direction!
Thanks!
It has been fascinating to read these comments! Thanks to all for sharing so openly.
I work as a “per diem” employee, meaning I am a legal employee of my company, with benefits and a W-2, but I get to say yes or no to work. This year, I launched my own life coaching and women’s retreat business. Problem is, my squeek by is quite high, therefore I’ve had to work a lot at the corporate job. This has left no time for my business. :(
Here’s my question: I am wondering if taking a huge leap and saying no to all offered work this summer is a good idea. I have been so frustrated with not having time to build my business, so maybe setting a firm time frame of knowing I will not have work ( or money – yikes!) would be a good way to jumpstart my business.
Thanks for your thoughts. ;)
Dani
pS: I apologize for typos!! I am on my iPhone and having technical trouble with the typing!!
My “day job” is taking care of an elderly parent so that she can remain in her own home. Nonetheless, I am building my business as an artist with the help of advice from others who know more than me as well as creating the best in Fine Art and one of a kind art jewelry. I also earn a small but absolutely necessary amount by being an adjunct professor at two universities. I have learned to juggle because my “day job” is not one I would, in any good conscience, quit. My business will grow more slowly now, but it will pick up speed, in that (as in myself) I believe.
I been self employed for a long time. I closed my store find cuz i can’t keep help. Now i have a small work shop in the back of my home, it’s great, i just started putting my work on the internet so it all new to me. I am hoping it will take off. So what will be the best way to get it going good?
Hope you can help Thanks! janet
Dave,
Well you had me at “Quitting your day job is not easy. It’s actually pretty hard and has its moments of mind-blowing stress.”
I, in fact, quit my day job more than several months ago and related to every single emotional aspect you hit upon. It was like a movie replaying in my head. I know how to “squeak by believe me, because I have lived this reality over the past several months — so I’m good there. Yes, I am now “self-employed” but you were right Dave — I do need your advice. Therefore, because your marketing campaign was so compelling, I am purchasing both of your workshops today.
I have been working on my own business over the past year (first the blog and then the website with products), but I admit that I need help to propel forward. I need your “roadmap” and I believe that your workshops will actually help me build my business to a successful result.
Congratulations to you and know that as you are quitting your “day job” and moving full-time into your “dream job” your guest blog post at the IttyBiz came along at just the right time for me as I am ready to take my business to the next level I am now officially a Dave Navarro fan! Thank you Dave!
Blessings!
Kathleen
Thank you for an incredibly inspiring article. I have been working on building up my own business over the past couple of year – currently I am at that $200 a month stage. I want to quit my day job by June next year – and I’ve written my business plan and I think I can do it!
my biggest fear is … taxes. I just don’t understand them, and currently I’m not earning enough to make an accountant worthwhile. Nothing scares me as much as all those numbers!
Love this article. Question. I’m a single mom. One is college (she gets financial aid). The other is 14. I want to jump right in but am scared as well.
My business is paper crafts. Starting off slow in sales, however I was picked to be on 2 craft design teams so I am getting recognized on the web for my work. A scrapbook store has also hired me to teach 2 craft classes (which I love to do).
I’m a teacher. Stressful and hate it. Taking Graphic design classes (love that) and would like to also incorporate that into my business. Getting a $7,000 bonus in October. Should I save more onto that first before quitting my day job? Any advice would help.
Holy shit, Dave. This is a lot of comments to reply to.
I guess my biggest problem is making the time. I finally realized you don’t find the time, you have to make it. But between trying to write my auto-responder, write blog posts, maintain my e-commerce store, work the day job, read your Products That Sell, listen to Third Tribe and QTR audios, I get fucking sidetracked pretty easily.
Oh, did I mention I have a 4 year old and a 10 month old. I guess I need to prioritize my snowball and eat my frogs EVERY SINGLE DAY.
BTW – Your Products That Sell is great! Thanks
As others have said: Health insurance is the biggest roadblock in my mind. From what I understand, sure you might be able to find a reasonable, but until 2014, it won’t cover anything that you’ve been treated for in the past 5 years or so, and likely will haggle with you over treatment for anything remotely related to anything you’ve been treated/seen for/diagnosed with, and drop you altogether if you ever get seriously ill with something like cancer. Granted, I am blessed with a spouse who could potentially carry an employer-provided health insurance plan for both of us & any potential children; however, in an economy this uncertain, layoffs are more probable than not & to me it seems only logical to maintain a back up plan. His last layoff kept him out of work for 8 months & even now he’s just on a contract with no benefits. And many people don’t have a spouse’s employer insurance plan to lean on… To me health coverage is the ultimate risk in going it alone in the US & it is frustrating!
*”reasonable plan”
Maybe take a look at eHealthInsurance (http://www.ehealthinsurance.com/) just to see what they have to offer. I understand that every situation is different, but at least you may have some options to consider.
I was able to find a reasonable medical plan that also included dental. The monthly premium is comparable to what I was contributing for my previous employer’s plan, but of the deductibles and out of pocket expenses are a little bit higher.
I am starting a small business while keeping my day job, I want to know the best way to plan money distribution. Do I use my savings for supplies? or do I use the money I am making for supplies? Should I set aside 3 money jars? Savings/Profits/3x Squeak by account?
I really want to be free but I need security so any help is great. Fantastic article, Thanks
I’m rolling along in my self-made snowball and starting to get dizzy! I’ve been slowly building my little business for almost two years now. In the meantime, my “day job” (a dog training franchise) was slowly collapsing due to the economy. My BIG day job had quit ME in 2007, thanks to layoffs – thus the purchase of the franchise. I’ve finally made the big decision to cut the franchise loose and focus solely on my art business. The only problem now is that orders are begining to come in faster than I can fill them in a reasonable time frame (my products are handmade). Have I created my own avalanche?? That’s my biggest stress source right now – trying to figure out a way to continue to grow but not sure how to handle the growth!
Kim, perhaps it is time to raise your prices?
:)
What’s holding me back?
Passive income to replace my earnt income.
I want freedom and it’s only going to come with creating passive income from systems, so I don’t have to work for the ‘Man’ anymore.
But I’m just not there yet (or even close)…and that’s what is bloody frustrating and disheartening. Hmmm, maybe pissing up my entire 20′s against a wall didn’t help (though I’ve got some great memories!!!).
Anyway, telling my boss to shove it (and yes, I have over 3 months of wages in savings) is not the, well, smart thing to do.
Good for you!
I started my freelance business in 2001 and made $12,000 my first year, which I was very happy to get. Now I’m in my 4th year of business on my own and easily making 12 times that (my problem now is how do I make more?).
In every marketer’s life, there comes a time when you realize there is no such thing as “job security”, at least that’s what happened to me. What I’m trying to figure out is… How do I take it to the next level?” That’s not so easy. But it’s just another step in the process.
Just keep in mind that marketing represents 80% of strategic planning and you are offering something unique that all small companies need… follow your passion, and you can’t lose.
great post, and congratulations!!
I am a month away from taking my biz full-time, and becoming a self-employed artist/ single mother (how scary is THAT?!) Although the timing wasn’t by choice (I got “kicked out of the nest” thanks to layoffs), it is as good as it could possibly be. I have a sizable chunk in savings, no debt, refinanced to lower my mortgage… so my “squeak by” number is probably the lowest it will ever be.
I’ve been snowballing steadily for a couple of years now, but now that I’m actually face to face with having to make a living at this, I find myself committing to every little project or show that comes my way. So I guess my question is more one of balance: how do you choose what you devote your time to? how much do you compromise your long term vision in order to make ends meet? How do you find the right balance of different revenue streams without feeling like you’re diluting the bigger picture?
thank you, and best of luck to you!
First of all Dave, congratulations!
It’s a great idea the FU fund, a very nice idea.
You’re absolutely right though. You really need to cut down on the expenses side, so that way when you do actually quit the day job, you’re get by amount can be a lot less.
Plus, if you cut down on expenses now you can build your FU fund that much quicker!
The last day job I had was almost 6 months ago and I couldn’t eat at all the day I quit because I was so stressed. And of course quitting was easy as pie and there was this huge weight lifted off my shoulders and I was super duper happy and there were rainbows and unicorns and we all hugged and it was magical.
So seriously. If you’re thinking about doing it, well, just do it. The end.
Damn there’s a lot of comments here!!! lol
Not sure if you’ll ever see mine now but hopefully you will.
All I’m looking for (mainly) right now is a better strategy for reading all the blogs I read on a daily basis. I have this plan of mine set up and it’s working out pretty well but going and reading all the different blogs I do can be overwhelming. It’s worth it though.
What do you think?
Yo… Dave… I already wrote the book…!!!
‘Take This Job & Shove It’!
http://seveneasysteps.com.au/archives/category/seven-easy-steps-to-a-better-you/being-happy
Thanks for a great story anyway :-)
Brian
Great tips Dave. I just wish I could take the risk and do it, but I can’t yet. I think saving up the profits is something I need to work on so I can handle the income hit.
God bless you Dave and Erica, for giving me the right perspective and confidence I am doing the right thing by finally leaving my day job. For the right reasons too, as I have done the calculations of the most basic I’ll need to survive while snowballing my venture. Freedom from office bondage and shackles, here I come…