Start A Business Or Stay Employed? How To Make The Right Choice?
In 2023, I made a life-altering decision: I quit a high-paying corporate job (60LPA INR) to dive head first into entrepreneurship. It wasn’t an easy choice, especially since I don’t come from a wealthy family that could cushion my fall if things went south. For many of us without that financial safety net, the question of whether to start a business or stay employed isn’t just a philosophical debate—it’s a deeply personal and practical one.
The allure of entrepreneurship is undeniable. The freedom to be your own boss, the potential for unlimited earnings, and the thrill of building something from scratch are all incredibly enticing. But the reality is far more nuanced. Entrepreneurship isn’t just about passion and ideas; it’s about execution, resilience, and, frankly, a lot of hard work. And for those of us who don’t have the luxury of financial backing from family, the stakes are even higher.
In this article, I’m going to share a simple yet powerful framework of five critical questions that can help you decide whether entrepreneurship is the right path for you. These questions aren’t just theoretical—they’re based on my own journey and the lessons I’ve learned along the way.
For each question, I’ll also provide actionable advice on how to improve your score if you’re not quite there yet.
But before we dive into the questions, let’s address a common bias:
Can’t you do both? Can’t you keep your job while building your business on the side?
Employed People
The short answer is no—not if you want to build something truly impactful. The evidence is clear: successful entrepreneurs go all in. Sure, there are exceptions—like having co-founders who can dedicate full-time effort—but for most people, building a business requires your full attention. Treating your business like a side hustle will likely keep it as just that—a side hustle. If you want your business to grow and thrive, you need to give it your full attention.
Think of it like raising a child: if you want your baby to grow up healthy, strong and smart, you need to invest your time, energy, and focus into nurturing him/her.
That’s why these five questions are so crucial. They’re designed to help you assess whether you’re truly ready to take the leap into entrepreneurship.
And by the end of this article, I’ll show you how you can take a private evaluation that will give you personalized feedback on whether you’re ready to become an entrepreneur.
So, if you’ve ever found yourself torn between the security of a paycheck and the dream of building your own business, keep reading. This article might just be the clarity you need to make that decision.
Question 1: Do You Know How to Sell?
Let me be blunt: if you don’t know how to sell, you’re not ready to be an entrepreneur. Period. I’ve been through the trenches, built businesses from the ground up, and learned the hard way that no matter how innovative your idea or how polished your product, it means nothing if you can’t sell it. Selling isn’t just a skill—it’s the foundation of entrepreneurship. And if you’re not comfortable with it, you’re setting yourself up for failure.
When you work for someone else, you might not have to worry much about selling. But when you run your own business, it’s your main job.
Think of it like this: You can bake the most amazing cookies in the world, but if you can’t get anyone to try them, your bakery will close. It’s the same with any business. You have to be able to convince people that what you’re offering is worth their money.
I’ve seen brilliant products fail simply because the founders couldn’t connect with their market. And conversely, I’ve seen relatively simple ideas thrive because the individuals behind them were masters of persuasion.
If you’re thinking, “I’ll figure that out later,” trust me, you won’t. The pressures of running a business will only amplify the challenge. You need to develop this muscle before you jump into the arena.
Now, how do you actually improve your ability to sell?
This isn’t some innate talent; it’s a skill that can be honed.
Here’s what I’ve found works:
Master the art of one-to-many sales: While one-on-one interactions are important, you need to learn how to scale your efforts. This means mastering presentations, webinars, online courses, and any other method that allows you to reach a larger audience simultaneously. This is about efficiency and maximizing your reach.
Learn about funnels: This isn’t some marketing jargon; it’s a fundamental understanding of how customers move from awareness to purchase. Understanding the different stages of the funnel and how to optimize each one is critical for converting leads into paying customers. This is essential, not optional.
Build an audience: This is where the real power lies. Whether it’s through a blog, a podcast, social media, or a well-crafted email list, cultivating an audience gives you a direct line to people who are already interested in what you have to offer. This pre-existing interest makes selling significantly easier. This is your foundation.
Sell a small-ticket item: Don’t wait until you have a polished, high-priced product to start practicing. Start small. Offer a simple service, a digital product, or even a consultation. This allows you to refine your sales pitch, gather feedback, and build your confidence without risking too much. This is your training ground.
Collect email lists: In today’s digital world, building an email list is still one of the most effective ways to nurture leads and drive sales. It gives you direct access to your potential customers, allowing you to build relationships and promote your offerings. This is your direct line of communication.
The secret advantage: Have an audience to sell to: I’m going to emphasize this again because it’s so crucial. Having a warm audience ready and willing to buy is a massive advantage. This way you can get warm customers on launch day. Many people make the mistake of building their audience after launching their product. When you do this – you are biased to sell your product. When you build an audience before you have a product – you are biased towards providing them with value and learning what their real problems are. This inturn allows you create better products. It reduces your marketing costs, provides invaluable feedback, and gives you a much higher chance of success. If you haven’t started building an audience yet, stop what you’re doing and start now. It’s an investment that will pay dividends down the line. This is your strongest asset.
This first question isn’t just a suggestion; it’s a litmus test. If you’re not comfortable with the idea of selling, or if you don’t know where to start, you need to address that before you even think about leaving your job. It’s the foundation upon which everything else is built.
Question 2: Can You Build a Solution in the Next 30 Days?
Here’s a hard truth I learned early in my entrepreneurial journey: ideas are worthless without execution. You can have the most brilliant idea in the world, but if you can’t turn it into a tangible solution and get it into the hands of customers, it’s just a thought. This is why the second question in my framework is so critical: Can you build a solution and take it to market in the next 30 days?
Why 30 days? Because it’s a litmus test for your ability to execute. If you can’t create something valuable and get it in front of customers within a month, it’s a sign that you’re either overcomplicating things or lacking the expertise to create something of real value. As Reid Hoffman, the co-founder of LinkedIn, famously said, “If you’re not embarrassed by the first version of your product, you’ve launched too late.” The goal isn’t perfection—it’s progress.
This principle is perfectly captured in a quote often attributed to Harvard Business School professor
“People don’t want to buy a quarter-inch drill. They want a quarter-inch hole.”
Theodore Levitt
This simple yet profound statement underscores a critical truth in entrepreneurship: your product is not the end goal—it’s the means to an end. Customers don’t care about the features of your solution; they care about the outcome it delivers.
For example, let’s say you’re building an app for small business owners. You could spend months perfecting the user interface, adding advanced features, and ensuring the code is flawless. But if your target audience doesn’t understand how your app solves their specific problem—like saving them time or increasing their revenue—they won’t care how well it’s built. What they want is the outcome: more free time, higher profits, or less stress.
Let me give you an example from my own experience. When I first started my business, I spent months perfecting my product, adding features, and tweaking details. By the time I launched, I was exhausted, and worse, I had no idea if anyone actually wanted what I was selling. It was a costly mistake. Later, I adopted a different approach: I started launching simple, minimal versions of my products within 30 days. This allowed me to get feedback early, iterate quickly, and avoid wasting time on things that didn’t matter.
So, how do you improve your ability to build and launch quickly? Here’s what I’ve learned:
Define Your Niche: Trying to serve everyone is a surefire way to serve no one. The more specific your niche, the easier it is to create a solution that resonates. For example, instead of targeting “small businesses,” focus on “freelance graphic designers who struggle with client management.” This clarity will guide your product development and marketing efforts.
Clarify Their Problems: Your product should solve a specific problem for your target audience. Spend time talking to your potential customers, understanding their pain points, and identifying the most pressing issues they face. As Steve Jobs once said, “You’ve got to start with the customer experience and work backward to the technology.” Don’t build something and then look for a problem—start with the problem and build the solution.
Build Solutions and Sell Them for Cheap or Free When You Begin: When you’re just starting out, your goal isn’t to make money—it’s to validate your idea. Offer your solution at a low cost or even for free to your first few customers. This will help you gather feedback, build credibility, and refine your product. But be careful: don’t do this for too long. As I learned the hard way, giving away your work indefinitely attracts “tire kickers” who aren’t serious about paying for value.
Get Feedback, Iterate: Launching quickly doesn’t mean you’re done. Use the feedback from your early customers to improve your product. This is where the real magic happens. For example, when I launched my first online course, the initial version was far from perfect. But by listening to my students and making iterative improvements, I was able to create a product that truly met their needs.
Charge a Little Bit and Sell Again: Once you’ve validated your idea and made some improvements, it’s time to start charging. Paying customers are the best indicator of success. If people are willing to open their wallets for your solution, you’re on the right track. If not, it’s time to go back to the drawing board.
Entrepreneurship is not about having all the answers before you start. It’s about taking action, learning as you go, and being willing to adapt. As Jeff Bezos once said, “What’s dangerous is not to evolve.” The ability to build and launch quickly is a skill that will serve you well, not just in the early stages of your business, but throughout your entrepreneurial journey.
Now that we’ve covered the importance of execution, let’s move on to the next question: Do you have financial backup for at least one year? This is where practicality meets passion, and it’s a question you can’t afford to ignore. Stay with me—this is where the rubber meets the road.
Question 3: Do You Have Enough Money Saved Up?
Okay, you can sell, and you can build solutions fast. Awesome! But here’s a really important question: Do you have enough money saved up to survive while you build your business? This isn’t about becoming rich overnight; it’s about having enough to cover your basic needs while you’re getting started.
Think of it like this: If you’re going on a long road trip, you need to make sure you have enough gas in the tank to get to your destination. You don’t want to run out of gas halfway there and be stranded. It’s the same with starting a business. You need enough “financial fuel” to keep going until your business starts making money.
I’m talking about having enough money to cover your rent or mortgage, food, bills, and other essential expenses for at least one year, and ideally up to two years. This might sound like a lot, but it’s crucial. Building a successful business takes time, and you don’t want to be stressed about money every single day. That stress can make it really hard to focus on growing your business.
Why is this so important? Because when you’re worried about money, you might make bad decisions. You might take on clients you don’t really want or lower your prices too much just to get some cash. These short-term fixes can hurt your business in the long run.
When I quit my corporate job, I made sure I had enough savings to cover my living expenses for at least two years. This wasn’t just a safety net—it was a strategic decision. It gave me the freedom to experiment, fail, and learn without the constant pressure of needing to generate immediate income. And let me tell you, that freedom was invaluable. It allowed me to take risks, pivot when necessary, and stay focused on the long-term vision of my business.
So, how much financial backup do you really need? While the exact amount will vary depending on your lifestyle and expenses, here’s a rule of thumb: aim for at least one year’s worth of living expenses, but ideally two. This gives you enough runway to navigate the inevitable challenges of entrepreneurship without feeling desperate or rushed.
Having a financial cushion gives you the freedom to:
Focus on your business: You can spend your time and energy on building your product, finding customers, and growing your business, instead of constantly worrying about how to pay the bills.
Make smart decisions: You can say “no” to bad deals and focus on finding the right customers and projects that will help your business grow in the long term.
Ride out the tough times: Every business has ups and downs. Having savings gives you a buffer to weather those storms and keep going even when things get tough.
So, how do you figure out if you have enough saved up?
Make a list of your monthly expenses: Write down everything you spend money on each month: rent, food, bills, transportation, everything.
Multiply that number by 12 (or 24): This will give you an estimate of how much money you need to cover your expenses for one or two years.
Compare that number to your savings: Do you have enough saved up to cover that amount? If not, you might need to save more before quitting your job.
If you don’t have this kind of financial cushion yet, don’t panic. Here’s how you can start building it:
Cut Unnecessary Expenses: Take a hard look at your spending habits and identify areas where you can cut back. Do you really need that subscription service you barely use? Can you cook at home more often instead of eating out? Small changes can add up over time and free up cash to build your financial backup.
Increase Your Income: If possible, take on a side hustle or freelance work to boost your savings. This could be anything from consulting in your area of expertise to selling a digital product or service. The key is to use this additional income to build your financial cushion, not to fund a more lavish lifestyle.
Set a Savings Goal: Break down your target amount into manageable monthly or weekly savings goals. For example, if you need 30,000 to cover one year of living expenses, aim to save 2,500 per month for 12 months. Having a clear goal will keep you motivated and on track.
Delay Your Leap (If Necessary): If you’re not financially ready to take the leap into full-time entrepreneurship, that’s okay. There’s no shame in staying employed while you build your business on the side. In fact, this is the approach I took initially. I stayed in my corporate job until I had saved enough money and built enough momentum in my business to make the transition smoother.
Plan for the Unexpected: Even with a financial cushion, unexpected expenses can arise. Make sure you have an emergency fund separate from your business savings. This will give you peace of mind and protect you from financial setbacks.
This isn’t about being pessimistic; it’s about being realistic. Starting a business is a big risk, but having enough money saved up can significantly reduce that risk and give you a much better chance of success. It’s like having a safety net—it’s there to catch you if you fall, and it gives you the confidence to take bigger leaps.
Question 4: Does Your Family Support You?
Entrepreneurship isn’t just a career choice—it’s a lifestyle. It requires long hours, relentless focus, and the ability to weather uncertainty. And while you might be ready to take on these challenges, there’s one factor that can significantly impact your journey: Does your family support you? This question isn’t just about emotional encouragement; it’s about understanding whether your loved ones are aligned with the sacrifices and risks that come with building a business.
Let me be honest: entrepreneurship can strain relationships. Late nights, missed family events, and financial instability can take a toll on even the strongest bonds. If your family isn’t on board, you’ll not only be fighting the challenges of building a business but also battling resentment, misunderstandings, and emotional stress at home. On the flip side, having a supportive family can be your greatest source of strength. They can provide encouragement during tough times, celebrate your wins, and remind you why you started this journey in the first place.
When I decided to quit my corporate job, I had a long conversation with my spouse about what this would mean for us. We talked about the financial risks, the potential lifestyle changes, and the emotional rollercoaster that lay ahead.
Thankfully, my spouse was fully supportive, and that made all the difference. Love her to the moon and back!
There were moments when I doubted myself, but having someone in my corner who believed in me kept me going.
So, how do you assess whether your family supports your entrepreneurial ambitions? And if they don’t, what can you do about it?
Have an Honest Conversation: Sit down with your family and explain why you want to pursue entrepreneurship. Be transparent about the risks, the sacrifices, and the potential rewards. Help them understand that this isn’t just a whim—it’s a carefully considered decision. The more they understand your vision, the more likely they are to support you.
Address Their Concerns: Your family’s hesitation might stem from fear or uncertainty. Are they worried about financial stability? Do they feel left out or neglected? Listen to their concerns and address them head-on. For example, if they’re worried about money, show them your financial plan and explain how you’ll manage expenses during the early stages of your business.
Set Boundaries and Expectations: Entrepreneurship can consume your life if you let it. To avoid straining your relationships, set clear boundaries and expectations with your family. For example, designate specific times for work and family, and stick to them. Let your loved ones know that they’re still a priority, even as you pursue your business goals.
Involve Them in the Journey: If possible, involve your family in your entrepreneurial journey. Share your wins and challenges with them, and ask for their input. When they feel like they’re part of the process, they’re more likely to be invested in your success.
Be Prepared for Pushback: Not everyone will understand or support your decision, and that’s okay. Some family members might question your choices or even discourage you from taking the leap. In these situations, stay firm in your conviction but remain respectful. Over time, as they see your dedication and progress, they may come around.
If your family isn’t supportive, it doesn’t necessarily mean you should abandon your entrepreneurial dreams. However, it does mean you’ll need to work harder to manage the emotional and relational challenges that come with building a business. Surround yourself with a network of like-minded individuals—mentors, friends, or fellow entrepreneurs—who can provide the encouragement and support you need.
Let me leave you with this: entrepreneurship is a team effort, even if you’re a solopreneur. Having a supportive family can make the journey less lonely and more fulfilling. As the saying goes, “If you want to go fast, go alone. If you want to go far, go together.”
Now that we’ve covered the importance of family support, let’s move on to the final question: Are you doing it for the money? This is where we confront one of the most common misconceptions about entrepreneurship and explore what truly drives success. Stay with me—this is where we get to the heart of why you’re considering this path in the first place.
Question 5: Are You Doing It for the Money?
Let’s address the elephant in the room: money. It’s one of the biggest motivators for aspiring entrepreneurs, and there’s nothing wrong with wanting financial success. But here’s the hard truth: if money is your primary reason for starting a business, you’re setting yourself up for disappointment. Entrepreneurship is not a get-rich-quick scheme. In fact, in the early stages, you’ll likely earn far less than you would in a traditional job. This is why the final question in my framework is so important: Are you doing it for the money?
When I quit my high-paying corporate job, I knew I was taking a pay cut. Two years into my entrepreneurial journey, I still earn less than I did in my corporate role. But here’s the thing: I don’t regret it. Why? Because entrepreneurship has given me something far more valuable than money—freedom. Freedom to work on my own terms, freedom to pursue my passions, and freedom to create something meaningful. As the saying goes, “Entrepreneurship is living a few years of your life like most people won’t, so you can spend the rest of your life like most people can’t.”
That’s not to say money doesn’t matter—it does. You need money to survive, to reinvest in your business, and to achieve your goals. But if your sole focus is on making money, you’ll quickly burn out. Entrepreneurship is a marathon, not a sprint. It requires patience, resilience, and a genuine love for the work you’re doing.
So, how do you know if you’re in it for the right reasons? And if you’re too focused on money, how can you shift your mindset? Let’s explore:
Understand the Reality of Entrepreneurial Income: In the early stages of your business, you’ll likely earn less than you would in a traditional job. There will be months where you barely break even, and others where you might not make any profit at all. Are you prepared for that? If the thought of financial instability keeps you up at night, entrepreneurship might not be the right path for you—at least not yet.
Focus on the Journey, Not Just the Destination: Entrepreneurship is as much about the process as it is about the outcome. If you’re only focused on the end goal—whether it’s a big payday or a lavish lifestyle—you’ll miss out on the joy of building something from scratch. Learn to appreciate the small wins, the lessons learned from failures, and the personal growth that comes with the journey.
Define Your “Why”: Why do you want to start a business? Is it to solve a problem you’re passionate about? To create something that impacts people’s lives? To have more control over your time and energy? When your “why” is bigger than money, you’ll find the motivation to keep going, even when the going gets tough.
Be Patient with Financial Rewards: Building a successful business takes time. Some of the most iconic companies today—like Amazon and Airbnb—took years to become profitable. If you’re in it for the long haul, you need to be patient and focus on creating value first. The money will follow.
Avoid the “Get Rich Quick” Mentality: The media loves to glorify overnight success stories, but the reality is far less glamorous. For every entrepreneur who strikes it rich, there are countless others who work tirelessly for years before seeing significant financial returns. As the saying goes, “Don’t compare your Chapter 1 to someone else’s Chapter 20.”
Consider Your Financial Baseline: Before taking the leap, make sure your basic needs are covered. I stayed in my corporate job until I had bought a house, owned two cars, and gotten married. Once those milestones were achieved, I felt more confident taking the risk of entrepreneurship. If you’re still struggling to cover your basic expenses, it might be wise to delay your entrepreneurial dreams until you’re in a more stable position.
Let me leave you with this: entrepreneurship is not a shortcut to wealth. It’s a path for those who are passionate about solving problems, creating value, and making an impact. If you’re in it for the right reasons, the financial rewards will come—but they’ll be a byproduct of your hard work and dedication, not the sole focus.
Now that we’ve explored all five questions, it’s time to reflect on your answers. Are you ready to take the leap into entrepreneurship? Or do you need more time to prepare? Remember, there’s no right or wrong answer—only the answer that’s right for you. And if you’re still unsure, don’t worry. Entrepreneurship is a journey, and every journey begins with a single step. Take that step today, and see where it leads you.
Conclusion: Are You Ready to Take the Leap?
By now, you’ve worked through the five critical questions that can help you decide whether entrepreneurship is the right path for you. You’ve reflected on your ability to sell, your capacity to execute, your financial preparedness, the support of your family, and your motivations for starting a business. These questions aren’t just theoretical—they’re practical, actionable, and rooted in the realities of entrepreneurship.
But here’s the thing: even after answering these questions, you might still feel uncertain. And that’s okay. Entrepreneurship is inherently risky, and no amount of preparation can eliminate all the unknowns. What these questions do, however, is give you a framework to assess your readiness and identify areas where you might need to improve. They help you move from a place of fear and doubt to one of clarity and confidence.
If you’ve scored well on these questions, congratulations—you might be ready to take the leap. But remember, readiness isn’t about having all the answers or being completely free of fear. It’s about having the courage to start, the resilience to keep going, and the humility to learn along the way. As the saying goes, “You don’t have to be great to start, but you have to start to be great.”
If you’re not quite ready yet, that’s okay too. Entrepreneurship isn’t a race, and there’s no shame in taking more time to prepare. Use this framework as a guide to work on your weaknesses, build your skills, and create a solid foundation for your future business. Whether it’s improving your sales skills, saving more money, or having deeper conversations with your family, every step you take now will make your entrepreneurial journey smoother and more successful.
Before I wrap up, I want to leave you with one final thought: entrepreneurship is not for everyone, and that’s perfectly fine. It’s a challenging, often grueling path that requires sacrifice, persistence, and a willingness to embrace uncertainty. But for those who are willing to take the risk, it can also be incredibly rewarding—not just financially, but personally and professionally. It’s a chance to create something meaningful, to make an impact, and to live life on your own terms.
Now, here’s something special – if you want to become an App Founder, I’ve created a private evaluation where you can check if you have what it takes to be an app founder and the get personalised feedback about your next steps.
This evaluation will help you identify your strengths, pinpoint areas for improvement, and provide actionable insights to guide your decision.
Remember, the journey of a thousand miles begins with a single step. Whether you’re ready to take that step today or need more time to prepare, the most important thing is to keep moving forward. Entrepreneurship is not just a destination—it’s a journey. And like any journey, it’s filled with twists, turns, and unexpected opportunities. Embrace the process, trust yourself, and take the leap when you’re ready.
Thank you for joining me on this exploration of what it takes to start a business. I hope this framework has given you the clarity and confidence you need to make the best decision for your future. Now, it’s your turn to take action. Are you ready to take the leap?
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Pramod George
Founder, Author, and Teacher | Obsessed about identifying high leverage opportunities for business growth | Futurist
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