Taking Risks In Your Career

"I hate my job and I want to quit to start my own business."

"Don't!" - This is usually the first piece of advice you would get from others.

It's true, many young entrepreneurships fail right within the first year. Yet, everyday, you also hear of young internet millionaires and successful stories from those who chose to take the risk in working on their 'Big Idea'.

If resourceful and creative people didn't take any risks in their careers, we wouldn't have iPhones or other life-changing inventions. With courage, perseverance, and especially support from people who share the same vision, success is possible.

So, before starting on a new business venture, what are some factors you should take note of?

1. Don't Quit Your Job... Yet.

The prospect of working on something you love towards success may seem desirable at the moment, but impulsivity is usually not the best answer. It would be best to work on it during your free time if it is still in the works. Again, don't quit your day job yet! Geniuses starve too.

2. Dig A Little Deeper.

Have the next 'Big Idea'? Now, do a ton of research, ask everyone you know for their opinions, then do some more research. Find a 'Better Big Idea'!

3. Take a Loan.

The question is usually: "Is it wise to start my career with a sizeable debt?"

And to that, the answer is YES. If you're a clever and careful planner with a 'Better Big Idea', this is a calculated risk and it might just be worth it.

If not, just remember that you still have your 20% tax that you've been paying yourself, if times get really tough.

4. Determine Five Important Business Factors.

The Porter's Five Force Analysis, developed by Michael Porter is a useful framework to follow for industry analysis and business development.

Before starting a new business, let's say, selling apple juice, determine these five factors:

• Threat of new entrants: "Will there be other people likely to sell fresh apple juice?"

• Threat of substitution: "Can people substitute orange juice for my fresh apple juice?"

• Customer's bargaining power: "Can my customers force my prices down?"

• Supplier's bargaining power: "What if only one person is selling the apples I need for my fresh juice?"

• Competitive rivalry: "How strongly can my competitors compete with me using similar tactics as mine?"

Once you have determined your answers to these forces, you will know whether to submit your resignation and fulfill that dream or whether to stay put and develop a better strategy at a later date.

Leaving your comfort zone to give shape to your dream is always a risky and stressful process, but with passion and a lot of careful strategising, there is nothing that cannot be accomplished.