I left my job as a technology consultant in the Summer of 2018, by Winter 2018 I was back! And let me tell how this all unfolded.
How did we get here?
I purchased a home in 2016. I did not like the kitchen. It was slightly dated with oak cabinets and black appliances. I told my realtor I would not be moving in until the kitchen and bathroom were renovated. She thought I was insane. She didn’t know me very well. I made it happen! And it turned out amazing. I had an ah ha moment. Not only did I do the unexpected, renovate a house on my own, but I enjoyed it and I was good at it! People constantly complimented my home, the design, décor, etc.
The Opportunity
I connected with other professionals in the industry and quickly started renovating and flipping houses in the Metro Atlanta area. When flipping a house correctly the return can be huge, especially when it’s a side hustle or an additional income stream. In some cases, you can make $40,000-$100,000 on one deal. I started to think about my future and the sheer joy of working on these projects. I figured if I did at least 3-4 projects per year averaging $40,000 profit. I could make this work. I’d also provide consulting and project management services to new investors and residential clients.
At the time, I had a lucrative sales career. It wasn’t a small chunk of change to walk away from. My company was going through quite a bit due to a security breach. The instability within the organization got me thinking about my next move. I was single with no children. I felt like why not just jump and see what happens. Usually, I’m the type of person that has a plan A B C up to Z. But looking back, I was ill prepared.
Also Read: 5 Things I Would Tell My Younger Self
The Big Leap
Nevertheless, I jumped! I left my high paying job to pursue a flexible and fulfilling life as an entrepreneur. I had no idea what to expect. First, I had no email list or clients just a beautifully designed website created by yours truly. Secondly, I was still pretty new at flipping so while I had been successful it wasn’t a 1 to 2 month turn around. It took about 4 months to complete a renovation and I still had to sell it! That meant I had a lot of business expenses to cover in addition to the personal expenses that were no longer covered by my job!
So, let’s talk about that. I had too many bills! I had a mortgage, a car payment, insurance, credit card payments, student loan payments, you name it! I was still living within my means but that was when I had a job. When you are just starting out as an entrepreneur you want to have low expenses. That was one of the biggest things I learned. It’s okay to be out here working for your dreams but make sure if things go bad you only have a few things to cover. I had a few other friends who made the jump around the same time, but the biggest difference was they had spouses. So, while things may have been a little tighter than before they knew the payments would be made on their mortgage, etc. I made a mental note that I needed to clear all these bills to sleep better at night.
Another important thing I didn’t consider was health insurance. I have had health insurance my entire career because I have always had a job that provided adequate health care benefits. My thought process was oh, I’m healthy and young, I’ll just get a plan through Blue Cross or United Health and keep it pushing. I could not have been more misinformed! Things are not like 1999. You can’t just purchase plans from the larger providers. The plans available were not only expensive but not comprehensive. It was humbling. Here I was accustomed to not even thinking about health insurance because it’s automatic yet so many people are uninsured. As a consequence of the lack of affordable and accessible health care, I decided I would just wing it and pay out of pocket for my wellcare visits.
I was supposed to enjoy this journey. However, I found myself extremely stressed. Many nights I sat up thinking about what if my flip didn’t sell quick enough. What if I ran out of money? Well, I did! Between the business expenses for the renovation that I paid out of pocket and my lavish but previously affordable lifestyle; my money was running out fast. I slowly began to see I was not about this life. I needed stability with a dab of adventure. I had no real strategy which is why I was experiencing all this self-inflicted drama. I did sell the flip I was working on for a sizable profit, but I decided I needed a job! I updated my resume and began looking for roles to get back in the game. It wasn’t that I didn’t think I could be successful as an entrepreneur. I am driven and l always execute, this time I didn’t have a proper strategy. So after about 6 months, I started a new role, and I must stay it’s been the best decision for me.
The Main Things I learned…
- You must have a plan – if you don’t have things mapped out you can’t execute. You need to already have revenue coming in consistently.
- You need to have savings – things come up when you have a job and also when you don’t have a job so be prepared.
- Keep your expenses low – I can not stress this enough. It’s a bit easier to cover your expenses and invest in your business when your expenses are low.
- You can’t be afraid to market your business and find customers – your business depends on it.
- You do not have to quit your job if you don’t want to – if you plan and manage your time well you can do more than one thing.
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