Corporate Money Storm or Business Baby? How to choose what's right for you.

Hiya,

Happy Monday!

"Hey Bella, I got my first client...how much should I charge?"

After discussing with a client how to price up her proposal I asked her this...

"What are you going to do with the first money you make in your business?"

To my surprise, she said, "Pay an unexpected tax bill". 

I was like "really, this money is symbolic, it's the first money you've earned as BRAND YOU, surely there's a better use for it than paying it to the government".

Of which she replied, "you're right, I'll get my thinking cap on".

This Smart Girl is joining the ever-growing trend of people taking the courageous leap to start their own consulting practice or business. 

According to the Independent Newspaper 40% of UK workers have a side hustle, and Forbes cites near on 50% of workers in the US will be freelancers by, (wait for it), 2027.

Yes.

This means if you're not thinking about your first 'client' and what you're going to do with that money post your day job (even if it needs to be years off), you've got your head in the clouds and quite frankly hampering your future earning potential.

So when is a good time to get on trend?

According to Author of 'Algebra of Happiness' Professor Scott Galloway, the best time is when you've busted a move towards economic security (e.g. your basic needs have been met for housing, health care, holidays and that you can absorb an economic shock).

Why? 

Because beyond this it's proven the correlation between incremental money earned and happiness flatlines and the desire for meaning takes over.

Scott says, 'additional money is ink in a pen, it can write different stories and make current chapters burn brighter but it's not your story'. 

Great metaphor. 

If you're at that point, you'll find you'll spend a lot of time debating with yourself...

Is it easier to stay on the hamster wheel (my soul says probably not but my head says probably yes because what would I do if I didn't do this?).

How do I figure out what's meaningful and where to focus my efforts?

Or for the more fatalistic types... do I just trust and let go and hand it over to the universe? 

Questions, questions, questions...

So how do you get answers?

I think a bit like Scott and advise all of my clients and Founders I mentor to do so as well. Whilst there are exceptions like Zuckerberg and Jay Z they are not the norm and all those people out there telling you to chase your dreams have clearly never lived what it's like to not be able to pay your rent or mortgage.

My recommendation (if you want to stay sane) is to get your vision of economic security clear before you make fundamental changes to your career.

I also recommend plan any change in your career or your transition to start a business venture at least 18 months to 3 years in advance. The reason being is you need very different skills to start and run a successful business than you do in your corporate job like the ability to sell and nurture bulletproof resilience.

But start, because we know what being on the wrong side of a trend looks like. ??

In my years of working with executives supporting them to make these decisions and tracking who succeeds and who doesn't, the majority that plan well and have funds to absorb an economic shock tend to survive the first few years or business.  

The others often find themselves back in the 'corporate money storm' even less financially secure and more disillusioned than they were before. 

So how much cash do you need to make a change?

Each person's view of what economic security looks like is different. Some want a paid-off house, some want a year's worth of living expenses in the bank and others, are happy to eat baked beans.

So if you're in the throws of planning to get off the corporate money storm and get future of work ready here's some questions to help you think about how you spend and invest wisely.

1. Behind the money you spend, what are your broader goals? (for instance is it to be fit, create a happy home, a supportive mind)

2. What aside from money is important for you to achieve your objectives? (often our goals don't need as much money as you think they do if you take the time to really think about it)

3. What role does money play in achieving your objectives?

4. What's the real need you're satisfied with your money? 

5. Is this need truly your own or something you think you need to keep up with others, society, blah?

So whilst it may sound obvious, if you pay attention to these questions and use them as a guide for your spending (and investing) you can be working towards your first client payday like Angela, soonest.

Stay tuned as next week I'm going to launch the first of a four-part Career Alignment Masterclass series. It's for you if you want to start 2020 planning a longer term career strategy. 

Bella

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