How many people are willing to give up their day job to risk a startup?
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Re: How many people are willing to give up their day job to risk a startup?
#2Nope, that's why I'm doing one right after graduating college. That's before getting a day job, so I won't have to give one up.
Re: How many people are willing to give up their day job to risk a startup?
#3I wish I had a day job :(
(actually, I'm a student, and I'm starting co-op in 2 weeks)
Re: How many people are willing to give up their day job to risk a startup?
#4I find it hard to escape my comfort zone when I'm comfortable. When I had a "job" I would set a goal each year of setting up a small internet business. I called it a cyber lemonade stand. I wanted something small that I could learn from and experiment with different types of promotion. It wasn't until I left that job this happened. The years I was in my comfort zone I couldn't be pushed to do the uncomfortable thing of working extra to make a small business to learn from. Having my back against the wall seems to be a good motivator for getting things done.
Re: How many people are willing to give up their day job to risk a startup?
#5Maybe I have been extremely lucky my whole life, but I have never thought of a startup as being risky.
Financial risk is all about investing your personal human capital and looking for the highest expected value.
When I approached the end of college, I looked at what I was given (mediocre programming skills, some street smarts, a knack for bs) and I realized that my expected financial return was much higher in a startup.
Take 5 years out for example.
Assumptions:
- 10% at 20 M = 2 M - 10% at 10 M = 1 M - 10% at 5 M = 500k - 10% at 500,000 = 50,000 - 60% at nothing = $0 - Total of 3.55 M expected return on my personal human capital
- 100% at 500k (salary over 5 years, being generous) - Total of 500k expected return
3.55 M > 500k. Of course these numbers are personal, and everyone is different, but I don't think they are unrealistic.
Re: How many people are willing to give up their day job to risk a startup?
#6Me.
I had kept a day job and worked on my startup only in (all) my spare time for more than 2 years, that _is_ challenging, kind of keeping-an-out-of-marriage-affair challenging -- you get the idea. (or do you? :)
Re: How many people are willing to give up their day job to risk a startup?
#7I think the answer is surprisingly few. This makes it hard because you need to have the ganas enough to a) quit b) devote most of your time. On top of that, you need to have a co-founder who is willing to make the same sacrifice. Having a co-founder who isn't on the same page isn't completely worthless but it can be terribly frustrating.
Re: How many people are willing to give up their day job to risk a startup?
#8Maybe I have been extremely lucky my whole life, but I have never thought of a startup as being risky. Financial risk is all about investing your personal human capital and looking for the highest expected value. When I approached the end of college, I looked at what I was given (mediocre programming skills, some street smarts, a knack for bs) and I realized that my expected financial return was much higher in a star…
Could you clarify how you arrived at the numbers for the five year expected return?
Re: How many people are willing to give up their day job to risk a startup?
#9I've had opportunities to leave a comfortable day job to work on startups. What kept me from joining up wasn't just risk but I didn't believe it would be a success. That's most important. Bootstrapping my own startup has taken more time but I've been completely relaxed on it and able to really set my launch up well without having to worry about supporting my family through a risky situation.
Re: How many people are willing to give up their day job to risk a startup?
#10After seeing my parents slave for other people, all their ideas wasted or stolen, why would I think it is the easy route not working on my own thing?