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For many people, making the transition to entrepreneurship after being programmed your whole life to earn your living as a traditional employee is a very difficult life change to undergo.
However, the worker-to-entrepreneur process can be simplified when the individual pursuing that process takes certain measures prior to striking out on their own to secure financial freedom. When it comes to black women in America who are taking these steps, positive strides are being made.
However, according to a recent study conducted by researchers working on behalf of Northwestern Mutual, 49 percent of black women who were surveyed that have businesses disclosed that they are not as savvy at financial planning as they are at being businesswomen.
The main factor behind this deficiency was the cost factor. However, whatever the price is to hire one, enlisting a certified financial planner is a must when you are starting to turn a profit in your business.
Andrea K. Williams, a certified financial planner with Northwestern Mutual recently conducted an interview with Black Enterprise Magazine. Williams, a successful black woman in her own right, gave some good insight into what it takes to be well-prepared for entrepreneurship.
Below are her four “quick money tips” for black women who are leaving their lives as 9-to-5ers.
Check your motives for transitioning and prepare while working, not after a rash decision.
Invest in a good, certified planner.
Think beyond what your employer usually offers when it comes to the products you include in your financial plan
Know your financial habits and keep it real with your adviser.
In addition to having the proper human capital on your journey toward true financial independence, having more financial capital than you need in the beginning is also crucial. Emergency money should be set to the side before going into business, which can be used to cover expenses when revenue dips.