Entrepeneurship is crazy expensive

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This is a two-part series of blog posts - playing the good cop/bad cop.

We start with Part 1: Entrepreneurship is crazy expensive - which plays the role of the bad cop in the room. Then we take some of the learnings from Part 1, and see how they relate to Part 2: Losing money can be awesome.

Part 1: Entrepreneurship is crazy expensive

➡️ The small investment: Sometimes you put €2000 - €3000 in your startup which you never flow back to your bank account - at least not for years.

➡️ The lost opportunity: The compromises that you will make as a founder are expensive too. Sometimes you choose to walk away from a job that pays €5000 a month to work full-time and carry many responsibilities on your shoulders for €800. This decision brings you a loss of €50 400 per year.

➡️ No side gigs: The time you invest in your company is time which you could have spent working as a freelancer. Say that you make €40/hour as a freelancer. Say you are serious about doing business - having a startup. Say you work on it for 1.5 years (even if it is twice a week, or 1248 hours in total) and stop freelancing. The loss of potential income here is €49 920. Most likely you do not get any salary from your startup at the beginning - when you are working part-time on it. So you have made €0 during these 1.5 years.

There are many easy-to-get-into way of doing freelancing work online. Ping me for suggestions if this is what you want to do.

➡️ Paying to become healthy again: You have more stress and less time to rest. It is VERY important that you do not stop taking care of yourself. If you do, you might develop a health related problem. Treating it means you spend the money you have worked so hard for after paying taxes on. This could be €5000. If things have really gotten bad, you might need to spend this money AND ALSO close the company because you are too unwell to continue running it. That’s bad. We should never reach this stage of stress and exhaustion.

Tip on self-care: ask other founders for advice on how they take care of themselves, and what they did to get better (if things had takena wrong turn). We will help!

Part 2: Losing money can be awesome

[Coming soon….]

Image Credit: J.P. Valery on Unsplash