Across America, employees wonder if they have job security anymore with their longtime corporate employers. Those working in industries such as automotive, newspaper and banking ask if now’s the time to start their own businesses. They aren’t alone. Owning a business is often in the top 10 wish list of most Americans. But instead of brainstorming what business they should start, they need to first ask whether they are prepared.

How can you learn if you have what it takes? Here are some questions worthy of consideration for anyone who’s thinking of quitting their day job to launch a new business concept.

  1. Do you thrive on taking risks? Would starting your own business be riskier than staying with your employer? What level of uncertainty can you tolerate? Weigh the impact of going out on your own on those around you. You may be a risk-taker but is your spouse?
  2. Are you self-motivated? If you work at home can you put aside distractions and focus on the tasks you must accomplish?
  3. Are you a planner? Do you have a financial plan for getting started and for getting where you want to go? Most small businesses fail because they are undercapitalized or fail to anticipate cash needs.
  4. Are you willing to sell and market your business? How do you feel about making cold calls and knocking on doors? Entrepreneurs have to be good at selling and marketing as well as managing their businesses.
  5. Are you passionate about your service or product? If you are going to work for yourself you have to be passionate about what you are doing. There is no place to hide.

Still rarin’ to go? Great. Get your plan in place and move forward!