This is a guest post from Dog of dogatemyfinances.  This year she’s experienced her fiancee starting his own business and wanted to write about what to consider before leaving a standard salary job.

I think it’s great. It’s tough to leave behind a steady salary and make a leap into being your own boss. The statistic is 99% of small businesses within 5 years, probably because the transition can be tough and because of lack of foresight and planning.  But onto her post…

Things to Consider Before you Quit your Day Job 

Hey, I’m Dogatemyfinances!  I’m just a cubicle monkey, but my talented entrepreneurial boyfriend just started a solo business.  He works for himself now.  This list of things to consider when starting your own business is intended for would-be entrepreneurs with their heads in the clouds, or should I say too far up their brilliant ideas.

THINGS TO CONSIDER:

(1)  You will need health insurance.  In the US, health insurance is one of the biggest problems small business owners face.  If you’re in your twenties and in good health, you could get a high-deductible plan like my fiance.  If you’re married to a cubicle monkey, you might be able to use their plan.  If not, the cost might make your head spin, or you might not qualify at all.

There are other options.  In our city, there are many organizations of entrepreneurs that offers group health insurance.  If you want to paint, see if there is an artists’ group.  Look into unions, trade organizations, anything that might offer a group health plan.  Keep asking, you’re not the first one with this problem.

(2)  You will have to keep good books.  If you’re the creative type, this might be painful for you.  It might even be so painful that it gets you in trouble.  You need to separate your business entirely with its own checking accounts and credit cards.  Keep everything.

You’ll have to keep track of who has or hasn’t paid you.  You’ll have to write down when and from who you get your checks.  You’ll have to keep every receipt for every Sharpie and ream of paper you buy for your business.  Even with an accountant (which I highly recommend!), you will have be diligent about your books.  They don’t keep track of themselves.

(3)  It will be harder than you thought.  Everything will take longer, be more expensive, and be more difficult than you expected.  If someone tells you about how easy it is to run your own business, be skeptical.  Working for yourself you will work harder than ever before if you really want to make it.  Every problem will be yours.  But every victory will be as well.

If you’ve got a brilliant idea, go forth and rock it!  But expect problems, many problems.  And expect to ask for help.  You can go it alone, but not too alone.