Steve Jobs once famously said during a Stanford Graduation Speech that:

When I was 17, I read a quote that went something like: ‘If you live each day as if it was your last, someday you’ll most certainly be right.’ It made an impression on me, and since then, for the past 33 years, I have looked in the mirror every morning and asked myself: ‘If today were the last day of my life, would I want to do what I am about to do today?’”

“And whenever the answer has been no for too many days in a row, I know I need to change something.”

“Remembering that you are going to die is the best way I know to avoid the trap of thinking you have something to lose.”

These quotes always stick with me.  They did before Steve Jobs recently passed away, and they do now following his untimely death.  I think they struck such a chord with me, because I read them during a period in my life where I hated my job.  And were I to look in the mirror, I could not honestly saying I was doing something I loved, spending time with people who cared about me or vice versa, or that I was even making a positive difference in people’s lives.

But that advice is also a lot easier to say when you’re a millionaire, like Steve Jobs.  They are a lot easier to say when you have already made it.  We all know that making a life change is difficult.  It’s not easy to quit the dead-end job, or end that negative relationship.  It’s not easy to go out on a limb and make a big change in your life.  Because what if you do, and you realize that all along the problem isn’t that job–or that significant other—but rather yourself?

I know someone who insists they would be 100% happy, if only they lived on the west coast.  I’ve often thought the same thing about myself, and Paris.  But when I was traveling recently in Europe, I met an expatriot–a professor from the United States who now lived in Germany.  Here’s what he said:

“For a while, everything was different.  I was never happier, and I felt like a knew man.  But over time, those same old problems, worries, and personal neurosis started seeping back into me.  So now I’m just the same man, and no more happy than before—I’m just the same man, only 3,000 miles away on a different continent.”

And deep down, we know on some gut level that this has to be so.  That the old study about lottery winners not finding happiness is true.  That we are who we are, and there’s not a hell of a lot we can do with it.  And if that is so–if we are all, by birth or nature happy or just miserable bastards, then what is the point in striving?  In short, if, regardless of our accomplishments, we’re going to wind up with the same issues/fears/ and, yes, Neuroses, then what is the point in changing jobs, or leaving negative relationships?

And yet, from my perspective I feel that this cannot be so.  Because I have never felt happier since leaving the job I didn’t like and starting my own business.   Sure, I’m not a totally different person, and there are moments where the old tendencies come back or, in some circumstances, never even left, but at the same time I am thus far a happier person because of my happier surroundings.

So how does this fit all together?

How can we think that striving will help, if we are ultimately cursed to never really change?

Thoughts?

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I can now officially say I have been in business for myself, one month.  Although that’s such a small period of time for any business, I thought I would review some of the things I’ve learned thus far.

As you know, just over a month ago I “quit the rat race” to start my own business.  I took $5,000 of my savings (it eventually turned into more than $7,000) as start-up costs.  Then I just went after it, and worked towards building my business 100% of my waking hours.  I’m both exhausted and exhilarated–as they say, it doesn’t feel like work when you’re building something all your own.

My first few days as a “business owner” were spent as a furniture builder, a marketing student, and a telephone harasser of various venders.  I was lucky to procure great office space from a friend, which enabled me to transition faster than expected.

Get Over Your Issues With Money

The toughest part of being the owner of a business offering professional services, is that you have to believe in what you’re offering. Early on, there have been many instances where clients have tried to haggle me on prices.  I sometimes have a self-defeating tendency towards money, but I have to date fought it off.

I believe that I get to pick my own charities.  I also believe that if I do not hold firm, I will myself become a charity.  This is sometimes easier said than done, particularly because so many people are hurting right now financially.  As the saying goes, however: “It’s better to not work, and not get paid.  Than to work, and to not get paid.”

My firm pricing is a great way to separate true prospective clients from pretenders.  That said, I’ve also done some free or charitable work.

Maybe You Should Charge More 

It may seem counterintuitive, but sometimes charging more can help attract clients.  In the first few days of my business, I was offering just about the lowest price in town.  Unfortunately, this wasn’t helping me close deals with prospective clients.  The only clients it was helping me with were the clients I least wanted to work with–those who only cared about price.  (and thus, those most likely to stiff me later on).

A mentor-type figure suggested that my price was too low.  He said that people might be suspicious by how low my price was. Again, this was likely just me having my own issues with money.

I raised the price so that it was more in line with market expectations.  Thereafter, I have been signing up a much higher percentage of prospective clients.  Although this advice may not work with every industry, in mine it appears there is a feeling amongst clients that you only get what you pay for.

Don’t Panic 

This is easier said than done.  It’s something I have to tell myself every day hour.  When you first start a business, the telephone won’t be ringing off the hook.  There will be days where you don’t make any money.  There will be weeks, months, and maybe even a year or two where you simply break even or even lose money.  If you’re like me, you’ll already know this in your heart.  And yet, if you’re like me, you’ll still feel waves of self-pity and self-doubt.  Leaving behind a comfortable and steady paycheck for an uncertain future is not easy to do.  Even the most successful of businesses have lulls or quiet spells.  Learning to “maintain,” mentally, can be the difference between success and failure in a new business.

But Be ProActive 

There’s a difference between maintaining a cool confidence and simply not pushing hard enough.  If you don’t have any clients, then your time should be spent finding clients.  You may have to spend some money, and make advertising, direct mailing, and other marketing attempts.  A press release and/or a “grand opening” celebration may help get the word out.  And don’t forget to rely upon your natural network of friends, former colleagues, and family members.

Common Sense

There are certain things we’ve all heard so many times that they are cliched.  These old standards have been overplayed more than Jay-Z’s “New York,” and yet should be obeyed.  I recently learned firsthand that the reward for “not burning bridges,” with your former employer really can be referrals.  Having a “solid business plan” and adequate startup capital are necessary to success.  Don’t forget the basics, even as you push towards new and creative solutions.  And don’t forget to call on friends or mentors when you’re feeling down or need advice.

Conclusion 

The revenue for my first month was much higher than I ever expected.  It didn’t match the $7,000.00 I spent in startup costs, but most of those costs are one-time or once a year expenses.  If my revenue stays the same moving forward, I should be well on my way to a successful business.  So far, I’m loving every second that I’m out of “the Rat Race.”

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As you know, I’m a freelance writer focusing on personal finance related posts.  What you may not know–although I address it from time to time–is that I also recently quit my day job (I am a professional but I’ll never admit what kind) to start my own business/practice/firm.

The Financial Blogger recently completed the Rat Race, an epic e-book, an amazing e-book that is now for sale for only $27.00 and that just might change your life.

I want to write a little about this book.  Not because I have been told to–in fact I hope I don’t get in trouble with the boss for writing about it.  But rather because I feel it’s an important work.  I know it changed my life.

The Rat Race

I was hired by TFB and Company to proofread and edit the Rat Race.  That’s right–any typos or grammatical errors in there are largely my fault.  Usually when I’m proofreading something, I’m all business.  But this time I kept getting engrossed by the text.  I had to remind myself to stay focused as a professional reader rather than a reader for pleasure.   When it was all said and done, I refunded some of the money due for my services, because I thought it would be unfair to get paid to read such a great work.

Why I Responded to the Rat Race

The Rat Race is the tale of humanity.  We all walk around with hopes and dreams.  But few of us break through the red tape and strive for something better.   There’s always an excuse to “wait until later.”  To “delay action.”  And to “give up on our dreams.”  I know because I’ve been there.

My whole goal in life was to start my own business.  But I kept putting it off because the timing wasn’t right.

“I have too many student loans.”

“But we just bought a house.”

And a number of other excuses would always be my way out of following my dreams.  The strange thing–and the Rat Race notes this–is that our friends and family are often all too quick to advise us not to follow our dreams.

Dream-killers are all around us, many of them friends rather than enemies.

It’s Not Easy Breaking Out of the Rat Race

As I’ve indicated here in prior posts, it’s not easy “Escaping the Rat Race.”  There will be times where you feel like you don’t have a single friend in the world.  There will be moments of intense self-doubt.  But every success story has had elements of failure.  Go Google failure quotes from famous people and you’ll understand that this is so.  Even Ted Turner is quoted to have said: “My entire life people have been doubting me.”

Conclusion 

If you’re serious about making a real change, the first thing you need to do is look inside and see if you’re ready for it.  If you are, then I would recommend shelling out the $27.00 to read Escaping the Rat Race Part 1.  If you do, it will be money well spent, and it could change your life forever.

And that’s just my objective opinion.

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Getting the word out about your new product or service is one of the most important parts of starting a new business/endeavor.  Networking is one of the most effective (and cost effective) methods of advertising both you and your business.  At the same time, you’ll have to be careful in planning your networking activities.  You will have a limited amount of time and money to accomplish your networking goals.  This post will discuss Networking on a Budget.  By budget, I mean budgeting both time and money–as we’re often short on at least one or the other.    

Networking on a Budget, Tip #1 – Plan in Advance

And make the planning part of your networking.  Call up important people in your industry, and see if you can take them to lunch.  While there, ask them what activities they find useful and who you should talk to.  At the same time, you’ll be letting an important figure in your industry know that you exist and have a business.

You would be surprised how willing people are to help you, even in a bad economy.   If not, then they’re not worth having on your side in the first place.

Once you have an idea of the types of activities, clubs, charities, and other networking possibilities, you can figure out their cost and the budget.

Networking on a Budget, Tip #2: Make Effective Use of the Internet

The internet can really level the playing field between you and the larger companies.  If you utilize an effective website, use the internet to communicate with people who might otherwise be outside your current social reach, or blog regularly, you may be surprised at the results.  The best part about the internet is that it can be effectively utilized even with the smallest of budgets.

Networking on a Budget, Tip #3: Make Use Of Your Own/Natural Network

(Hopefully) There is no easier sell than to the people who really care about you: your family and friends.  Even if they might not have a direct need for your product or services, you might be surprised at just who they know.  Having a solid team of unpaid yet committed “cheerleaders” is quite a privilege.

Before going out and trying to network with strangers, make sure your extended natural network of family and friends is aware of your latest endeavor, and how passionate you are about it.  Give them an elevator pitch just like everyone else, so they can parrot it later on to potential customers.

Networking on a Budget Tip #4, Decide on Whether You Have Money or “Sweat Equity” to Offer

There are some networks that you can buy your way into.  Other networks require “sweat equity” for positive results.  Determine which asset you have more of, time or money.

If you have more time then money, then you can try volunteering to take on roles within the organization that will put you into contact with a lot of different people.  If your greater asset is the almighty dollar, then see what types of memberships could be valuable in raising your profile and connecting with your target audience.

Networking on a Budget Tip #5 – Don’t Just Participate–Lead

Leadership roles require you to participate regularly in an organization.  They also, by their very nature, put you into contact with a lot more people (and in a much less forced setting).  There’s no easier way to network than by having people come to you.

Finally, a leadership position gives you instant credibility.  The more you take on leadership roles, the quicker your profile will increase.

More importantly for this blog post, it will increase the rate at which everyone knows who you are, and what you do/your company has to offer.

Conclusion 

What are some of your additional tips for networking on a budget?  How long does it take for networking (if done correctly) to start developing consistent leads?  What are some of your networking success stories?

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The other day I went over my parent’s house and told my mom about a serious career decision I had made.  My mother’s lips move: and an equal mix of negativity and concern spill out. I am transported to my youth, specifically, the time when I was eight years old and she told me not to climb the monkey bars. “They’re dangerous,” she said. I didn’t listen. But she was convinced I learned a lesson when just seconds later I fell and broke my wrist.

But even to this day, I’m not sure if I fell because they were dangerous, or if I failed because a kernel of doubt was planted in my brain.

The Past

I had a great childhood and wonderful parents. I was and am blessed. But even I can think of times, like the example above, where I was doubted. Where my dreams were met with negativity. Where a kernel of doubt was planted in my brain, making me question myself or my worth. I have no doubt these ancient memories affect who I am and how I react to different scenarios today.

The Present

Whether it be growing up with a negative parent, or being teased in the schoolyard,  these childhood memories were painful. But such dynamics still often exist well into adulthood. A friend who doesn’t believe in your dream project. A boss who tears you down or doubts your competency. A spouse who, in a moment of anger, points out one of your flaws.  And nothing is worse than thinking about the times you’ve been the one tearing down another’s dreams, even if you have the best of intentions.  At different times in our lives we are both victims and complicit.

How does your parent’s relationship with money affect your own? To what extent does your financial upbringing–usually learned on a subconcious rather than concious level–affect whether you will be a “spender” or a “saver?”

If your mother was entrepreneurial, to what extent will that provide freedom or confidence in your following a similar path? If your parents were pure 9 to 5ers, how will they react if you decide to quit your 9 to 5 and open your own business. Will they be supportive, or will they be planting a kernel of doubt–good natured though it may be–but still pushing you towards failure…

The Future

Our lives aren’t–even can’t–just be a snapshot. They must be a moving motion picture. I believe we carry our past with us, for better or worse, and that it colors are opportunities, financial patterns, and chance of success in pursuing entrepreneurial ventures.

At the same time, if we can learn to isolate negative memories–or at least accept their existence; then perhaps we are capable of moving beyond our subconscious limitations. The indelicate noise surrounding us and subtly attacking our hopes and dreams. I write often about the concept of “dream killers,” those that will speak or act for the purposes of making you not follow your dreams. I often define the concept as an exernal force or forces–usually in the form of those closest to us.

But of course, there is likely a bit of an internal dream killer inside all of us, lying in wait, and strengthened from the negative elements of our past.

This is not to say that we shouldn’t be afraid, because who hasn’t seen ambition lead to ruin. Every for sale or closing sign on a business started with a dream. Playing it safe is the default for most people for a reason. The fact that even the “safe” opportunities feel dangerous today may be besides the point.

Conclusion

Past failures and successes color our perception of ourselves and the world around us , but if they affect the outcome of our present or future, it is only because we allow them to.

Maybe you got “killed in the stock market” right out of college, and have since been afraid to invest. Perhaps your first business was a total failure. That’s alright, most people have a bad first experience with the stock market. Most people’s first businesses fail.

But in the end, it’s your ability to dust yourself off, and get back on the monkeybars, that really matters.

The above post was by Chris Thomas, owner of the online freelance writing and web-copy company, FreelancePF. Chris’s interest in personal finance stems from his leaving grad school with six figures in student loan debt. Aside from FreelancePF, Chris is working on a personal finance encyclopedia website/blog, called What Is Personal Finance? In his free time, Chris is an avid baseball fan.

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