Ask HN: Has anybody develop their own business while on a job? got tips?
4 comments
I agree on most parts, except the service business point. A service business will work if you price it accordingly. Just make sure that you can hire someone to replace you out of the service part (get people to do it for you and you get paid). But a product-focused business is simpler to deal with.
Good Points
I advise you to check with your human resources department that you are contractually allowed to undertake your business on the side. If they give you the go ahead then get it in writing, and then make sure that you NEVER use their time or resources for your business.
You will be watched, especially by big corp. You have no privacy when you work for large companies and use their network. If your project uses any technology that in any way resembles that of your employer, then you are running the risk of being fired or sued, or both.
I ran into this issue. I sent a private email on their time and using my work PC and my personal email server. Also, I did not explicitly declare my company directorship. My lesson was learnt very quickly.
In hindsight, I would save up to give myself some runway and then quit my job before starting my project. Focus, focus, focus.
You will be watched, especially by big corp. You have no privacy when you work for large companies and use their network. If your project uses any technology that in any way resembles that of your employer, then you are running the risk of being fired or sued, or both.
I ran into this issue. I sent a private email on their time and using my work PC and my personal email server. Also, I did not explicitly declare my company directorship. My lesson was learnt very quickly.
In hindsight, I would save up to give myself some runway and then quit my job before starting my project. Focus, focus, focus.
Sure. Here are some thing I've learned:
-- Stuff takes more time than you think.
-- Get everything in writing.
-- Make sure you are legally clear to build a business on the side.
-- Schedule and plan in advance so you dont waste time.
-- Schedule free time so you can relax.
-- Remember to eat well/exercise. Good health is important.
-- Dont talk about your business to your co-workers/boss. Tell them you are taking a pilates class or whatever kids these days do.
-- A business is 99% business and .5% coding with a .5% margin of error.
-- Remember to smile and listen. :)
-- Hire contractors instead of employees. Cheaper, less hassle.
-- Get a lawyer and acocuntant involved ASAP.This is all good advice, but a couple notes:
1) Don't lie to your co-workers or boss. You shouldn't talk about your business all the time, but don't be afraid to let them know what you're doing. This is really a context dependant situation, but personally, when I was starting my company while I was still working a 9-5, I didn't hide that fact which made it much easier to leave the company amicably when the time came to do so.
2) Make sure you have a lawyer you can run things by, but you don't necessarily need the accountant right off the bat. It depends on how quickly you'll be generating revenue and how, but you can do without an accountant for a while.
The contractors point is a very good one, and I can't stress it enough. If you can get away with bringing everyone on board as contractors, you can save yourself a ton of hassle and costs in HR, taxes, etc.
1) Don't lie to your co-workers or boss. You shouldn't talk about your business all the time, but don't be afraid to let them know what you're doing. This is really a context dependant situation, but personally, when I was starting my company while I was still working a 9-5, I didn't hide that fact which made it much easier to leave the company amicably when the time came to do so.
2) Make sure you have a lawyer you can run things by, but you don't necessarily need the accountant right off the bat. It depends on how quickly you'll be generating revenue and how, but you can do without an accountant for a while.
The contractors point is a very good one, and I can't stress it enough. If you can get away with bringing everyone on board as contractors, you can save yourself a ton of hassle and costs in HR, taxes, etc.
Totally agree, never lie to anyone about what you are doing. In fact, I agree that letting them know at the right time and doing so in a way they know you are giving them 100% while you are in the office does ease the transition later.
Also second the attorney, accountant advice. I would add to that find another person that is further along in the process, or an exec, or other mentor you can ping for questions ideas. And when it comes to any attorney, question what they tell you, don't think just because they have the JD they know what is best for your business. I have found most respect that I ask lots of questions. And I also found it helps to have different attorneys that specialize in specific areas of law. i.e. Copyright/Patent is different than general council for everyday stuff.
Also second the attorney, accountant advice. I would add to that find another person that is further along in the process, or an exec, or other mentor you can ping for questions ideas. And when it comes to any attorney, question what they tell you, don't think just because they have the JD they know what is best for your business. I have found most respect that I ask lots of questions. And I also found it helps to have different attorneys that specialize in specific areas of law. i.e. Copyright/Patent is different than general council for everyday stuff.
I did not tell him to lie. I suggested he not tell them about it. It is different. One cannot guess how people will react to such news, and he wants to keep his job for the time being. Best approach is to change nothing about the job. Once he mentions the word business, everyone/everything will change. The job is no longer priority #1, and people will react to it in different ways. He doesnt want to go and deal with a boss who envies him. Trust me on that one. :)
My bad, didn't mean to imply you did. Just that it is a valid and important point to not lie. I also agree it is best to keep it reasonably quiet.
And I will take your word on the boss thing. :)
And I will take your word on the boss thing. :)
Good points. Though I still think he should avoid telling people about it. Envy makes people so shitty things. Beware of that.
I'm interested in hearing success and failure stories on this topic. Thanks for asking!
My 2 cents: 1) First, I agree with most of things orangethirty said, with a couple of differences.
2) The services model doesn't work well while you are working a job. It is too demanding and you will fail someone.
3) I found setting a schedule is the best thing. Give yourself at least 2 nights a week where you do nothing. That isn't much, by the time you get out of work, eat dinner and unwind you will find it amounts to only a few hours. In reality if you are like most, you'll still write stuff down, and be thinking about concepts idea's etc. But avoid the keyboard if at all possible.
4) Layout your plan in detail. I created a task list and am working it every chance I get.
5) Outsource things. Don't try to do everything, if you need logo's, design work etc, find freelancers or some of the online groups. It is worth it. Use the money your "job" is paying you to make investments in people and things you need for the business.
6) Enlist family or friends to help you with details. I have a Google Voice number we forward to our cells and trade who is answering. That way if a client is calling they get a person most times, not a voicemail box. Seems small, but I think it pays off.
7) I talk to everyone I can about my idea, and any questions I have. 7a) I do avoid talking to anyone at the office in regard to my business in general as I feel I owe it to them to do the job they hired me to do. Some people that know I will talk to some, but I try to keep it minimal. 7b) I do however talk to executives in the business and people in key positions that might have insight or knowledge. So I will ask questions about problem domains or how they solved issues etc. I am not asking them for secrets or asking them to violate any company policies. But smart people always have opinions, and I do not say hey I have X business and how would you do Y. I will simply ask how did you solve problem Y (no different than a forum)? Also in my case, my "job" and my startup project/business are not in the same domain and in fact I sought a place so I could avoid conflicts, and ensured my non-compete etc would not cause issues.
8) Ok cause I can't seem to write anything short. Last thing. When you get a little traction dedicate yourself to the business or it won't go anywhere.
tl;dr --
Do's: make a plan, set a schedule, take time off weekly, enlist family/friends and talk to everyone.
Don't: Make it a Service business, talk out of turn at work, break confidentiality rules etc.
Updated to fix the formatting.