You leave home for work smiling and happy. On the way, your favorite morning show is playing. You are laughing at the morning jokes and listening for the latest news. You arrive at the office and begin planning your day. You walk into your office and your boss says hello and literally welcomes you to work. You are thinking,”This is a good day!”

Your boss sends out an internal office memo at 9am announcing a meeting with all employees in 30 minutes. What could this be about? You walk into the meeting and your boss gets straight to the point…he informs the workforce that 1/3 of them have been laid off immediately and will be escorted out. You are then told that you are included in the list. Where do you go from here?

This scenario has become reality for many of my friends. Laid off without notice!? What do you do? I want to offer some ideas on how to transition from being laid off to hiring yourself. Here are things to consider…

1. Were you given a severance package?

If your company offered you a severance package, you can utilize this income as a starting point to build your business without worrying about income. You need to consider how long the money will last and if it will cover your bills. The proper way to use a severance package to start a business is to ensure that you can start to gain income from your business half way into your severance allowance. If you were not given severance, your first goal is to find a source of income that will cover at a minimum your bills. Can you work at night and prospect during the day? Can you work a couple of days a week and prospect for your business on the other ones? Be creative!

2. Do you have a family to support?

If you are single, you have a lot less to lose by starting over. Basically, you can take more risks. If you have a family to support, it is important to consider their needs before your own. Are you married? Does your spouse work? Can your spouse’s income cover the bills while you are building a business. Is your family supportive? Discuss openly with your family your desire to start a business and what it will require of them. Especially discuss it with your spouse to make sure you are on the same page.

3. What was your specialty at your previous job?

Sometimes the best place to start when considering what product and/or service to sell in a new business is looking at what you did for your previous employer. Look at your skill set and think about ways you can offer that to new clients. You must be realistic when evaluating your skills, because clients can see through incompetence.

4. Did you sign an intellectual property clause?

Many companies, especially technology firms, require employees to sign an intellectual property clause. This clause can be restrictive because it often includes something to the effect of ,”Any ideas you come up with while working for us belong to us” or “you can not work for any of our competitors during the next two years after employment is terminated.”

Some companies will make you sign such a clause to recieve your severance package. You must know your legal restrictions from your previous employer before you venture out to start a business.

5. Are you serious?

Are you serious about starting a business? Have you really considered what challenges it requires? If you are not determined to be successful, you won’t be!

6. Have a plan

Make sure you write down a clear plan considering all of the factors mentioned above. Be specific! Write down when you want to close your first deal, how many customers you would like to have in three months to five years.

If you think about these things, after the initial shock of being laid off, you may be able to hire yourself!