I guess I’m looking for moral support and advice.
I’m 49 years old and I believe I am exceptionally good with turning ideas into money, but I can’t seem to get over the hump to do it full time. I created a product brand that hit $200,000 in sales last year and I suspect I can beat that this year. But my margins are too thin to turn this into a full time career yet.
I make $100,000 a year plus health benefits at my day job, which I’ve been doing now for 19 years. I hate it. But I have 3 kids (single parent) and a mortgage. I can’t just walk away from that income without a sure thing.
I also have two residential rental properties I purchased last year, getting back into a business I’m familiar with from past experience.
So I’ve got multiple revenue streams and I feel if I could dedicate my entire work day to my side business and properties, I could really accelerate things.
How did you turn the corner from part time entrepreneurship to full time career without risking everything?
49 y.o. Parent, Own a Brand With $200,000 in Sales Last Year – How do I make the leap of leaving my day job?
byu/ReadRightRed99 inEntrepreneur
Posted by ReadRightRed99
5 Comments
Man, you’re already crushing it with $200k in sales while working full time – that’s seriously impressive
Have you considered negotiating remote work or reduced hours at your day job first? That way you keep some steady income and benefits while testing the waters of going more full-time with the business. The rental properties are a solid backup too, sounds like you’ve got your bases coverd better than most people making this jump
I’d probably sit down with an accountant or some kind of financial professional to get that kind of advice. I hope you can find a way to make the swap! That’s a good career you already have but nothing beats making it on your own in my opinion!
What’s your net income on the 200 K?
The real answer for most of us with similar responsibilities is an income from a spouse or significant savings prior to making the jump. Entrepreneurship is never a sure thing.
I’ve been out of the corporate world since 2012, I have kids. I’ve had months, years, etc… where I make great money. I’ve also had 6 month periods where I made little due to having to suspend my salary to keep a business afloat. It’s the same for every single person that I know who has started their own business. Even when things are going great, you’re one frivolous lawsuit, family illness, change of algorithm or pandemic away from it all getting wiped away.
I’ve seen friends leave corporate jobs paying $200k+ , launch a business that doesn’t make enough money – only to go back to corporate to find that they can’t even get a job paying $80k any more.
Health insurance for my family would be nearly $30k this year if it wasn’t through my wife’s work.
I love building things – but the reality is that it is freaking hard to make real money and it can all go away fast.
What are your gross margins? What is your customer acqusition cost? And what is the final net margin?