For the First Time Entrepreneur

Personal Life, Finances and a Startup

Posted by Vijay on August 19, 2006

If you are married and have a family to support, the one thing you should consider carefully is whether you can support your family and maintain your current lifestyle while you are busy with your startup. For most of us, starting a business meant going without salaries while at the same time ensuring that employees and bills are paid on time.

It is a tough call to make. Especially when you know that there are jobs out there that will pay good money. This is where the “passion” aspect comes into play.

1. Are you willing to compromise on your lifestyle? In my case, I went from a job that paid me a six figure salary to zero. My savings were the “saving grace” so to speak. I went from being able to spend $1000 on a whim to where I was doing a double take on spending $100.

2. Be absolutely frank with your family. Don’t do anything that involves personal finances without consulting your better half.

3. Make sure that you have enough money to last a year without any cash coming in (mortgages, school fees etc).

4. Try not to have any ongoing “big spend” while you start. In my case I was finishing up a house (and that takes money) while I started. BIG MISTAKE. I ended up compromising on the house.

5. Never underestimate the sacrifice your family has to make. Too often one gets caught up in the business and it’s easy to ignore the support the family is giving you.


3 Responses to “Personal Life, Finances and a Startup”

  1. rk said

    great to read this blog. your stories are really inspiring. i am imagining the tension-filled phase when you initially started.
    eager to know more about an entrepreneur’s life.
    good luck

  2. Hmmmmmm.. I could relate this to my life. When prashanth wanted to persue his studies, it was just after 6 months of our married life.. All these held true then.. For Doctors, their PG, their hospitals, their freelancings are these startups!
    We s/w guys working for a good company paying heavy perks can’t really understand their plight! I have tried to understand a bit of it till now not completely yeah!

  3. Vijay said

    Veena: I feel Doctors work the hardest but wait the longest to see the fruit of their labor.

    Its a worldwide phenomenon.. the Doctors plight…

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