Strategies: Now may be the time to start your business

• Good or bad economic times each have merits for taking the plunge
• A severance package from a recent job loss could be a cushion until revenue begins to come in
• Your fantasy about a take-this-job-and-shove-it moment may be telling you to work for yourself

Have you been thinking about starting a business, but you've been dragging your feet, waiting for just the right time?

Do you think conditions have to be completely perfect before you can move forward?

Are you wondering when, exactly, is the best time to launch a new enterprise?

When I began my first company, it certainly wasn't the result of figuring out the ideal moment. I was burned out in a job but didn't know what I wanted to do next.

Then, my mother died. Suddenly.

That made me realize that I shouldn't waste time and needed to move on with my life. I resigned my job and traveled for a while. Soon after I returned home while walking my dog, I met a man who needed help developing a business plan.

Eureka! I had found my calling.

That's not exactly the way I'd advise anyone else to choose the right time and way to start a company. But looking back, I realize I was a prime candidate for it being "just the right time" for me.

I was facing a turning point in my life, and personal factors were far more of a motivation than any external issues, like the strength of the economy or the financing environment.

How will you know it's the right time to become your own boss?

• The economy is hot. In a booming economy, investors have more money, customers have more money, and you probably have more money.

It's easier to get financing, secure sales, and stay optimistic. Sure, the downsides are higher rents and wages.

But your own services or products are likely to sell well to customers who are likely to be less price sensitive. As legendary venture capitalist Eugene Kleiner famously put it: "The time to take the tarts is when they're being passed." In other words, when times are good, reach for the goodies.

• The economy is cold. Surprise! Bad economies often lead to the formation of good businesses.

According to a study from the Kauffman Foundation, more than 50% of the Fortune 500 companies were started during recessions or economic slumps.

In bad economies, existing companies are weakened, customers are more open to alternatives, and you'll probably pay lower rents and wages.

• You've lost your job. If you can't find another good job or can't figure out what to do next, consider launching your own company.

After all, you aren't giving up job security; you've already lost it. If you've been downsized with a severance package, that's a particularly good time to take a chance.

• Your skills are in great demand. When your boss can't afford to lose you is when you can most afford to lose your boss.

If a lot of companies need people with your abilities, it may be an ideal time to start your own consulting or service company. If your skills are at a high-enough level, you may find other entrepreneurs who'd like to partner with you in their new companies, so you don't have to start completely on your own.

• You're going through life changes. Sometimes the best time to start something new is at a turning point.

Perhaps you've just moved, finished school, lost a family member. Of course, it all depends on how much you can handle emotionally and financially. If you've gone through a recent divorce, you may need the stability and security of your current job.

But if your kids have left home, you may be able to put your new freedom and energy to use starting a business.

• You can't take it anymore. Can't stand your job? Unchallenged and bored? Frustrated by the commute? Hate your boss?

You may be a good candidate for starting your own company. Some of the most successful entrepreneurs I know are people who just couldn't stand working for other people. So they were highly motivated to succeed in their own business.

No matter what external conditions are, if you just can't stop thinking about running your own business, it may be the right time for you to take the plunge.

Rhonda Abrams is president of The Planning Shop and publisher of books for entrepreneurs. Her most recent book isEntrepreneurship: A Real-World Approach. Register for Rhonda's free newsletter at PlanningShop.com. See an index of Abrams' columns here. Twitter: @RhondaAbrams. Facebook: facebook.com/RhondaAbramsSmallBusiness.Copyright Rhonda Abrams 2012.