How to know if your business can support you — before you quit your job
Quitting your job to run your business full-time is a major milestone — but how do you know if you’re really ready?
Instead of guessing, use data. The right financial metrics can give you the confidence to leave your 9–5 with clarity, not chaos. These five numbers will help you determine whether your business is truly ready to support your personal income, pay its own expenses, and grow sustainably.
If you can check most (or all) of these off, you’re on solid ground.
1. Consistent Monthly Revenue
You don’t need to be hitting six figures, but you do need to know that your income isn’t a fluke. If your business is generating stable revenue for at least 3–6 months in a row — even if it’s modest — you’ve shown that you have repeatable systems for selling.
Look for:
-
At least 3 months of consistent income
-
Revenue from multiple clients, customers, or sales
-
Confidence that next month’s income is on the horizon
If your numbers are still all over the place, focus first on stabilizing your sales.
2. Personal Expenses Are Covered
Before you quit your job, your business should be able to pay you.
Start by calculating your personal take-home needs — rent or mortgage, food, insurance, debt, and other essentials. Then determine if your current business income can cover it consistently, after taxes and business expenses.
Use The Small Business Planner to reverse-engineer your revenue around your personal pay target.
3. Business Expenses Are Predictable
Every business has costs, even if you’re a solopreneur. Make sure you understand and can reliably cover your ongoing business expenses, such as:
-
Software and subscriptions
-
Contractors or team
-
Marketing and sales tools
-
Professional services like bookkeeping or tax prep
If your business can support these expenses without eating into your salary, you're in a healthy place.
4. You Have 3–6 Months of Savings (Runway)
Even with solid revenue, having savings gives you peace of mind and flexibility to weather slow months or invest in growth. Aim for:
-
3–6 months of your personal expenses saved
-
A separate business buffer or emergency fund
-
Tax savings set aside in a dedicated account
Runway reduces pressure — and gives you breathing room to lead strategically, not reactively.
5. You Understand Your Numbers
You don’t have to be an accountant. But you do need to know how to read your Profit & Loss statement, track cash flow, and make decisions based on real data — not hope.
If you know:
-
Your average monthly income
-
Your owner pay target
-
Your tax obligations
-
Your business margins
…you’re ahead of the game. If not, get support and education first. The Small Business Planner is built to teach you exactly this.
Final Takeaway
Going full-time in your business isn’t about taking a leap of faith — it’s about making a clear, confident decision based on numbers you can trust.
Track these five metrics inside The Small Business Planner and use them to create your transition plan. Whether you’re just getting close or already checking the boxes, the right financial foundation will support you every step of the way.
Explore the planner now → https://smallbusinessplanner.com/products/planner