How to set up your finances to transition from a Part-time to Full-time business owner
Transitioning into your business full time is totally possible but you’ll need to have a strategy in place to do this successfully, especially when it comes to your finances.
This video outlines 5 tips that will help you make a smooth transition:
Create a personal budget. This is a great way to identify your non-essential expenses and cut back as necessary.
Create a business budget. This will present a baseline of how much you need to earn at a minimum to keep your business running, including your salary.
Bulk up your emergency fund so you have a good amount of cash put aside to cover your personal expenses in the event you are unable to pay yourself a salary from your business right away.
Wait until your business is generating income before you quit your job. You should have enough to cover basic business and personal expenses before you quit your job.
Save money for your business. This will allow you to continue to pay yourself and your team salaries, even during slow seasons.