Giving up a full-time job to co-found a zero funded startup!

reni10

Has anyone on here gone from a decent salary paying job to founding a startup that has had no funding or investment?

I would be interested in anyone that has gone through this and how they faired etc.

Also any supports that the Government might provide or not!

I believe I have a very good idea for an online service and have already developed a MVP using spare time so the next step is to look for some sort or funding or investment.

The dilemma obviously comes in the form of I have family and bills etc. that I need to also take care of and if I was to leave the full time job then how would I support myself and them for a period of time until I actually either had some investment or sales or realised I cannot make this work?

Anyone got any stories to tell either successful or otherwise???

Joseph

No disrespect to how good your idea might be but the adage that ideas are worthless is true.

Excellent work creating an MVP in your spare time, can you start using that MVP to generate revenue and customers? Do you absolutely have to have funding / investment?

There is an unfortunate misconception that startups are only as successful as the amount of funding they raise. Remember any money you raise means you are forfeiting part of your company to someone else.

Don't start off with the aim of fund raising, start with the aim of building an actual business.

jimmii

It's advisable to have 6 months personal expenses and 6 months business expenses at the start so you don't have to worry about money for a while. Hopefully after that period you'll be able to get people coming on board without having to give up as much equity.

There's only limited supports. If you go to your LEO they'll have a look at what you're thinking and should be able to let you know if there is anything suitable for you.

ironclaw

I have a few projects that tick away in the background but none are near the revenue generation that would allow me to pursue them full time. That said, I would need full time to pursue them fully, so it's a chicken and egg problem. I've come to the realisation, along with a few of my friends that have done similar lines of work:

- Take the plunge in the full knowledge that you may be flat on your back in 6 months or a year, and you'll need to go back into the job market, likely needing serious investment of your time and efforts to reach the same level you may have left. However if you have that sprit in side of you, you can look back at 40 and say you tried, and for me at least, that makes it worth it.

OR

- Run the projects in your spare time, and view the revenue. Ask yourself, and ask someone who won't be bias, to run the numbers and see can you scale it up. Do an absolute worst case and see does it come close to your current salary i.e. Can you keep food on a plate and roof over your head. Have a minimum of a years salary saved up. That will cover your business expenses and your personal living expenses. Be prepared to do without i.e. If you have a car, factor that into your costs. Undertake a scrum methodology, dont' fall into the gamblers paradox. If its not working, see why, if it's still not working, cut your losses and get out. On that note, have an exit plan, what are your steps if you've lost and it's not working? My personal suggestion here is constantly be up skilling in an area that will get you employed again. Do a Diploma, Certificates at night etc. At least if all else fails, you can likely jump straight back into the jobs market. Only when you are in profit for a minimum of X months, do you consider leaving full time employment.

I am in the middle of this process myself but from my own research and deep conversations with others, no matter how brilliant you think your idea is, execution is absolutely key and before that, planning. And by planning, I mean week by week, milestones, cut offs etc. Its all to easy, and I say this from my own project experience, to come back 6 months later and say 'Jezzz. THat was supposed to be done in a week'

gargargar

Biggest problem you will come across is selling your service. It's not really a funding issue. In fact, as others have said, raising funding is not a step to starting a business. Most people will not give you money to try and prove your business. You will, in most cases, have to prove interest in your business first.

Could you work doing consulting in your current field, and also work on the new business? It's not 100% but it will free a bunch of your time for your new venture, while keeping a hand in.

ironclaw wrote: »

My personal suggestion here is constantly be up skilling in an area that will get you employed again. Do a Diploma, Certificates at night etc.

Wouldn't really be something I would consider as it will tie you time up doing courses instead of building your business.

ironclaw

gargargar wrote: »

Wouldn't really be something I would consider as it will tie you time up doing courses instead of building your business.

If you build your business 9 - 5, you have another 16 hours of your day to create a safety net. Going to a job interview with even a 6 months gap can be the exact same as going there with no qualifications at all. HR do not like gaps, so at least if you have something to your name, its one step above the next candidate. The end goal is to have a safety net and a path out of a potential hole. A certificate can easily be studied in your spare time and while not applicable to every business, in the IT world can be a significant stepping stone to getting back into the workplace if your venture fails.

Its not very prudent to not have an exit or back up plan, and its even more foolhardy to think you can walk back into a job having taken 6 months to a year to develop something that may not work out. Remember, there are 1000's of people who by the time you come back, will have 6 months to a year more experience than you.

LHPHB

ironclaw wrote: »

If you build your business 9 - 5, you have another 16 hours of your day to create a safety net. Going to a job interview with even a 6 months gap can be the exact same as going there with no qualifications at all. HR do not like gaps, so at least if you have something to your name, its one step above the next candidate. The end goal is to have a safety net and a path out of a potential hole. A certificate can easily be studied in your spare time and while not applicable to every business, in the IT world can be a significant stepping stone to getting back into the workplace if your venture fails.

Its not very prudent to not have an exit or back up plan, and its even more foolhardy to think you can walk back into a job having taken 6 months to a year to develop something that may not work out. Remember, there are 1000's of people who by the time you come back, will have 6 months to a year more experience than you.

This is some awesome advice.

LHPHB

Thought you might like this, the start really applies to you. https:// www .youtube. com/watch?v=VRMybKaNSus&nohtml5=False

La_Gordy

Hey Op,

Salesforce have a guide to startups that I found an enjoyable read (it's a bit American, but not completely dry) - https://startups.salesforce.com/article/The-SaaS-Startup-Founder-s-Guide

experiMental

OP : There are over 1200 start-ups registered in Dublin, so why not have a look at a list of them and see if any of them are similar to your idea :
https://docs.google.com/spreadsheets/d/1QcZEzNsJokveBZxUTzd2JO07wpn1ciP1q6xlGJ7wIy4/edit#gid=573837181

ironclaw

experiMental wrote: »

OP : There are over 1200 start-ups registered in Dublin, so why not have a look at a list of them and see if any of them are similar to your idea :
https://docs.google.com/spreadsheets/d/1QcZEzNsJokveBZxUTzd2JO07wpn1ciP1q6xlGJ7wIy4/edit#gid=573837181

Thats a really good list. Its a pity it doesn't give a short note of what each one does as the sectors are quite broad