Ask HN: quit job and dive into the deep end? | Hacker News Reader

Ask HN: quit job and dive into the deep end?

hi hn,

i'm at a situation where i am about to quit my job, and just dive head on into starting a startup.

We have about $50k saved between the two of us. Is that enough?

I realize this isn't an exact science.. but how do full timers make the transition to a real startup?

I dont have any long-term expenses (no mortgage, no car payment, etc).

I quit my job few months back. How much money you have in the bank has no bearing on how you feel about not having constant income. (fyi, I saved up lot more than your number). On a day without much progress, I stress myself that had I been at my job and goofed off, I would still make the money.

Here are a few tips: 1. Have a project that you are ready to launch. 2. validated from users/customers that they are interested in it. 3. Figured out how to market your project/product.

I had 1) but not 2 and 3. It is a long process to learn what customers care about and what channels you need leverage to market it.

I read everything about startups over the years , worked at one and still wish someone told me specific things like 1. How to validate a project idea before you spend too much time on it. 2. How to effectively market it.

Goodluck.

What is your burn rate? Take the average of the expenses over the last year. That will dictate how long you can continue without having to worry about outside income.

Now, I assume you have the idea already, so do you expect to turn profitable (or large enough to raise angel/vc money) by the time youve burned through the savings?

Do you have kids? If so, you need to worry much more about the buffer

But even if all of that is squared away, natural instincts will tell you its a bad idea. Especially if you have been in the working world for a long time. This is natural, and expected, that you would be nervous about making the jump. That being said, there are many people (do a search) that have done the same thing on weaker bases.

I recently have switched to half time at work so I can push forward with my startup. Worked out well for me (still have some outside income), and for my company (they were dependent on me as a single point of failure, so me leaving over 6 months means I can train my replacements).

Most importantly, I've felt a renewed sense of purpose. I can't emphasize enough how much my productivity has soared and my spirits have risen.

It's scary as hell, but I've never felt more alive.

I wouldn't do it unless my webapp made at least $0.25 a month (but I've been accused of hastiness before).

if you're seriously considering it, shoot me an e-mail at jdsadow@gmail.com.

we're looking for someone to start prototyping and are about 2-3 months into things and have vetted the concept about as thoroughly as possible.

would love to share and chat.

I would ask how much of a runway that gives you and do you think you can get to profit in the time estimated? The answer depends in part on how much you spend each month and in part on how well developed your concept is, plus a few other factors. For example: Is $50K something you can live on for 2 years or is that six months living expenses? (etc)

thanks mz...

the runway would likely be a year. id imagine that it should be doable.. to get a webapp running (im a great programmer) and profitable right?

i havent got a concept yet, although i have a lot of ideas (6+) that im starting to build the case for.

Whatever your estimates, usually double it or reduce it in half against your favor. Clearly that formula doesn't always work for everything but estimates are often off and things happen, you need to pivot, shit comes up and money runs dry, whatevers... So if you think it takes 3 months to launch, assume 6 but strive for 3 or sooner. If you think you got 12 months run way, assume 6 but strive for 12+. It'll help ground you in case shit happens. 6+ ideas is too many (but I think you already know that). Before jumping ship, I'd recommend getting somewhere with iteration, MVP, anything... that gives you indication that this is a good bet to jump ship for (to an extent). Run with it and hope for the best (READ: work your ass off). Good luck

Then I guess it depends on a) how risk tolerant you are b) how confident you are. If you can psychologically and practically tolerate the risk and rise to the occasion to earn money on the side if/when necessary (should your main gig not be adequately profitable in time), hey, jump. I would love to be in a position to jump.

Best of luck.

Go for it. Really.

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