Should I go to college or start my own business?

[Equilibrium]

Hey jacob.

The advantages and disadvantages of college?
If it's your goal to go to college to climb that corporate ladder only to waste your life away doing meaningless nothing in a cubical for 10 to 20 vacation days a year, you've got a rock-solid plan.

But this is an entrepreneur forum, not a college admissions club. And I'll tell you secret worth its weight in gold. You don't need a college degree to get a good job. You think you do because other people think you do, but it is possible to work for a respectable company that pays what others consider ''rich.''

The rich thing is people don't wake up from this fallacy of working until you die.
And when you get in the liquor club of the people with money, you will realize they have crystal glasses while you are drinking from a glass, because greed is never-ending, so don't try to out-pace it.

If you wanted to be a doctor, I could understand needing college. But you plan to ''start a business.'' This is a waste of time.

What you SHOULD do is stop focusing on getting ''A college degree'' and find a way to make bank while you enjoy life.
Note that I said while you enjoy life, not in between the 15 minutes your job permits you to pee.

Let's take Grammarly. I can't write worth a crap, so Grammarly gets my money,$139.95 annually without even thinking about it. So do many people who use that software meaning means Brad Hoover, The CEO of Grammarly, has a net worth of $60 million.

Brad went to Cornell University and studied operations research then Industrial Engineering. Neither of which has very much to do with a spell-checking software.

Do you know what brad has to do to make that check? Nothing. It comes to him from me and every one of the many people who use the service he created. Hell, he probably made a few hundred while I was typing this on his system.

Had Brad stuck to his current path he would have carved out a decent living with an average salary of $143,850 instead he has millions.

Take a look at your post.

My ultimate goal... going to college.
After financial aid would be awarded
I could pay $35k from savings, and probably another $20k as I worked throughout college
That will leave me with $15k in debt if all goes well.
My goal is to go into business
ultimately own my own business, which does not require a degree.

You are a sheep wondering if it's better to eat the grass or the pellets fed to you before you are snipped for wool. Neither choice matters, and you are stuck in a pen.

With that said, I hope you listen to this advice and find a way to make some real money, not play with plans to have fifteen thousand dollars of debt if all goes well.

 

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[juresesko]

I have a good friend that comes from a rich family.

Few days ago I saw him post his vacation photos of the beautiful villa with a few acres of land with a view of the sea.

We talked for some minutes which sparked a question inside me. Who owns that?
It is his uncle, a doctor with his own clinic making millions.
Then we started talking about his father owner off a multi-million dollar business of Load Banks for airplanes.
Short script
Me: And to what school did your father go to?
My friend: He didn't
Me: How did he start
My friend: He started selling electricity generators and got the idea about Load Banks, we had some rough times few years ago but we pulled through

Elon Musk said: college is ‘for fun’ and not for learning

 

[jacob.frenzen]

Thank you everyone for your responses! Some of that was tough to hear, but I needed to hear it. After seeing hundreds of responses across multiple forums and doing through research and analysis, I think I’ve reached a decision.

I used something called the Weighted Average Decision Matrix from The Millionaire Fastlane by MJ DeMarco. For those who are not aware, it involves ranking the factors that go into a decision by most important to least important. Then, rate the two separate decisions for that factor from 1-10. You then multiply the factor by the rating and tally up the results. After doing this, I decided that I will be going to college. The results showed 384-277 in favor of going to college over not going to college. In addition, the vast majority (80%) of responses to this thread advocated for college. I was able to find 11 reasons to go to college, and 5 reasons not to go. So across the board, everything was in favor of going to college.

I still believe that you can succeed without a college degree. You can learn everything you need to know outside of college and you can gain experiences in other ways than college. Nonetheless, I have a feeling that I would regret not going to college in some way or another.

It’ll be good to put my good grades and test scores to use along with my fortunate life situation to good use. A degree will be helpful for getting jobs and establishing a backup plan. The education and experiences that come from college will be unparalleled. I’ll have networking opportunities to meet future colleges, friends, and hopefully a wife. Most of all it’ll be fun!

While it may cost me money in the short term, hopefully in the long term I’ll earn more with a college degree. Plus, there will be tons of time during college and after college to travel, start businesses, and experience life.

Thank you all for being patient with a young kid like me. I really appreciate the advice that you all gave and please know that it helped in my decision making process.

Thanks,
Jacob

 

[kleine2]

I love the way that you are thinking about this and planning ahead.
The one thing that I don't think is a consideration is this "The reality is that with my GPA and test scores being so high, I would almost feel like I was wasting all of that hard work if I didn’t go to college"
What is past is past (it's called the sunk cost fallacy), now it's all about the future.

 

[RazorCut]

My ultimate goal is to hear people’s feedback on my situation to better weigh the advantages and disadvantages of going to college.

As I mentioned, my goal is to go into business and ultimately own my own business which does not require a degree.

So your ultimate goal is to own your own business? The one thing you can't buy in this world is time. You are looking at investing 70k plus, more importantly, 4 years of your life towards a goal of retiring at 40.

And what you will receive in return is a degree that will still see you looking green in the real world as all a degree really does is show a potential employer that you are teachable. Most of the stuff you learn at college will have very little practical use or be so basic you might as well start from scratch.

What sort of business do you want to own? Work backwards. Figure out what your perfect life would look like. Then figure out a business model that would allow you to live that life. Then build a road map to get you there including what skills and finances you would need. If a degree is essential for that plan then you have your answer but I very much doubt it would be.

Remember that you can hire in pretty much every specialist skill required. You don't need to be a coder or have a degree in economics or math, or be trained as an engineer to start and run a business. Start small, and pick up relevant skills as you go.

 

[rocket99]

Based off of your situation and age, I would say go to college. You'll still be young AF when you get out. College was the best experience of my life. I still say that even though I wasted 7 years of my life for a degree I no longer use, racked up $55k in student debt and got laid off one year after I graduated, which just happened to be 2 days after I bought my first home.

There is no major rush to go out and strike it rich. I was in my 30's when I started my first business and now I am in the process of selling it just 5 years later for 7 figures.

As a side note I did not have the maturity to start a business when I was your age. Maybe you do. I was concerned with girls, partying, and girls (I went to ASU). Also, maybe go to a more affordable school, because ultimately it doesn't make a huge difference which university you attended (unless it's an Ivy League school). If you want to be an entrepreneur after college perhaps study something that will be useful like business, finance, or marketing. That's what I would have done if I could go back instead of being an idiot and choosing architecture.

Now if you have an idea for a business then I say go for it. Skip college and launch your business ASAP. You can always fall back on college should it not work out. Hope that helps.

 

[100k]

Why are you going to college?

Is it to get a job? What job is that? Do you actually need a 4 year degree to work in that industry? Or would they still hire you -so long as you brought them the results they wanted?

I can't tell you what to do, but I would personally not waste my time with college.

Get certification in Amazon Cloud or Microsoft Azure - and you can make 6 figures within 6 months and it won't cost you more than $2k to get fully certified ... $5k max.

Then down the road buy a business from a boomer looking to retire... give him $50k as down payment, ask for $150k to be in seller financing ... ask for another $50k from AMEX for cashflow and you'll have a business making $70-$120k profit year.

Or build a business from scratch using the industry knowledge you have gained and the problems/inefficiencies/inconveniences/over-capitalization you've discovered.

I think you should listen to MJ's Unscripted . It might help ya make a decision. #HyperReality

 

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[LordGanon]

Hm. Really hm. It depends a lot on the industry you want to get in. I got free education, therefore it was a no-brainer for me.

College is not only about the learning (but a lot of people certainly don't get enough of it), but also about the experience. But would I pay for that if it came with US price tags? I don't think so.

These days, you can learn literally everything from books and the internet only. The only problem is the accreditation.

It's a very different situation in Germany: Here, you need a piece of paper for absolutely everything in every industry. And even if you're better than the person with the piece of paper, they'll always use the lack of the piece of paper as a justification to pay you less.

Seriously: If I could do it all over again, I'd a) learn a trade (because every man should be proficient in one, in my worldview) and teach myself programming on the side b) if I'd go to university, I'd get a specialized degree for my industry and c) would never ever write a Ph.D. again (waste of time and the only thing it got me was the cops being much friendlier).

 

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[SEBASTlAN]

Start your own business

 

[Odysseus M Jones]

Well it looks like you’ve made your mind up. College it is. Good luck.

Yay!
Another one saved from the cult of no college.

 

[jacob.frenzen]

Hello, my name is Jacob and I am currently a high school senior. My ultimate goal is to hear people’s feedback on my situation to better weigh the advantages and disadvantages of going to college. First, a little about me. By graduation I will have a 4.1 GPA with a 1400-1500 SAT score. While both of these are pretty good, it still doesn’t make college free at the schools I’m looking at. I have roughly $25k in a 529 right now, and estimate $30-35k by the time I would enroll in college. I’m looking at public 4 year schools in Colorado with a good business program. Most schools I’m looking at have sticker prices of $25-30k/year. After financial aid would be awarded, I would be looking at $15-20k/year. Unfortunately merit scholarships will be the only ones I get most likely (I’m a white, third generation student). If we assume that the total cost will be $70k, I could pay $35k from savings, and probably another $20k as I worked throughout college. That would leave me with $15k in debt if all goes well. As I mentioned, my goal is to go into business and ultimately own my own business which does not require a degree. My goal is to use coasting FI/RE to save enough money in my 20’s and 30’s to semi-retire before 40. Financially speaking, I’m wondering if it would be better to take the 35k in the 529 and invest it, work while others are in college, and avoid student loan payments of $200-300/month. I know that a graduate might make more money post-graduation, but the opportunity cost of those loan payments could help catch me up. I know that it’s good to get the education, have the experience, network, and get a degree. The reality is that with my GPA and test scores being so high, I would almost feel like I was wasting all of that hard work if I didn’t go to college. I’ve read/watched a lot about this topic and over and over again I see people regretting their financial decisions in their early years. That’s why I’m trying to seek advice from the older generation and avoid those mistakes. I sincerely appreciate you all taking the time to read this and comment your thoughts. Thank you!

 

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[jacob.frenzen]

I love the way that you are thinking about this and planning ahead.
The one thing that I don't think is a consideration is this "The reality is that with my GPA and test scores being so high, I would almost feel like I was wasting all of that hard work if I didn’t go to college"
What is past is past (it's called the sunk cost fallacy), now it's all about the future.

Thanks! I’ll keep that in mind.

 

[Kraelog]

Since you're from the US, can't you identify as a transexual black woman to apply for free college ? (jk, kinda kidding?)

On a more serious note, the decision to go to college or not should be based on the Skills that you can acquire there and whether they provide sufficiënt ROI for the cost. Just knowledge about economics or business has very little to zero value in today's world.

If you can obtain these Skills outside of college without paying a house, then there is no reason to go there. Furthermore, since you are convinced of your own intellectual capabilities, I can tell you that college is 80% holding your hand for stuff you can easily do yourself. So in that sense college is often the easy path.

 

[Cyberthal]

Two highly relevant books for you:

Aaron Clarey's Worthless (other books by him are relevant to a young man's life as well.)

Wall Street Playboy's Efficiency.

Read those and you'll have enough to make the decision you're facing.

I would highly recommend Reconnaissance Man by Aaron Clarey as well, as part of this decision is where to live, which has major life impact. You may decide to delay college to decide this first.

 

[RazorCut]

Thanks, that's a good point. The thing is I don't know what business I want to own. I will find a business that fulfills a market need. It's hard to determine what that will be 5-10 years from now.

You intend to wait 5-10 years before starting your business?

 

[RazorCut]

Well, yeah if I go to college. College would take up the next 4 years, and then I would be looking to do it soon after I graduate. I'm sure I'll have some sort of business while I'm in college, but I'm talking about gettting serious in 5-10 years.

Well it looks like you’ve made your mind up. College it is. Good luck.

 

[Odysseus M Jones]

Hello, my name is Jacob and I am currently a high school senior. My ultimate goal is to hear people’s feedback on my situation to better weigh the advantages and disadvantages of going to college. First, a little about me. By graduation I will have a 4.1 GPA with a 1400-1500 SAT score. While both of these are pretty good, it still doesn’t make college free at the schools I’m looking at. I have roughly $25k in a 529 right now, and estimate $30-35k by the time I would enroll in college. I’m looking at public 4 year schools in Colorado with a good business program. Most schools I’m looking at have sticker prices of $25-30k/year. After financial aid would be awarded, I would be looking at $15-20k/year. Unfortunately merit scholarships will be the only ones I get most likely (I’m a white, third generation student). If we assume that the total cost will be $70k, I could pay $35k from savings, and probably another $20k as I worked throughout college. That would leave me with $15k in debt if all goes well. As I mentioned, my goal is to go into business and ultimately own my own business which does not require a degree. My goal is to use coasting FI/RE to save enough money in my 20’s and 30’s to semi-retire before 40. Financially speaking, I’m wondering if it would be better to take the 35k in the 529 and invest it, work while others are in college, and avoid student loan payments of $200-300/month. I know that a graduate might make more money post-graduation, but the opportunity cost of those loan payments could help catch me up. I know that it’s good to get the education, have the experience, network, and get a degree. The reality is that with my GPA and test scores being so high, I would almost feel like I was wasting all of that hard work if I didn’t go to college. I’ve read/watched a lot about this topic and over and over again I see people regretting their financial decisions in their early years. That’s why I’m trying to seek advice from the older generation and avoid those mistakes. I sincerely appreciate you all taking the time to read this and comment your thoughts. Thank you!

Why can't you do both?
I'd get the degree in any case.
They're useful in many ways.
How I've used mine:
Get a higher paid job to quickly accumulate cash for ventures.
Higher pay means more credit, mortgage eligibility.
Easily get jobs that allowed me to get paid for studying business models/industry sectors I wanted to pursue.
In short a degree is a tool, a job is a tool.
Better tools better results.
Use the former to get the latter.
Use the latter for cash, building credit lines, getting a mortgage, acquiring INSIDERS knowledge.
And if all your plans fail, you'll get a decent slowlane job instead of flipping burgers.

 

[jacob.frenzen]

Two highly relevant books for you:

Aaron Clarey's Worthless (other books by him are relevant to a young man's life as well.)

Wall Street Playboy's Efficiency.

Read those and you'll have enough to make the decision you're facing.

I would highly recommend Reconnaissance Man by Aaron Clarey as well, as part of this decision is where to live, which has major life impact. You may decide to delay college to decide this first.

Thanks! I'll be checking those out!

 

[jacob.frenzen]

Why can't you do both?
I'd get the degree in any case.
They're useful in many ways.
How I've used mine:
Get a higher paid job to quickly accumulate cash for ventures.
Higher pay means more credit, mortgage eligibility.
Easily get jobs that allowed me to get paid for studying business models/industry sectors I wanted to pursue.
In short a degree is a tool, a job is a tool.
Better tools better results.
Use the former to get the latter.
Use the latter for cash, building credit lines, getting a mortgage, acquiring INSIDERS knowledge.
And if all your plans fail, you'll get a decent slowlane job instead of flipping burgers.

Thanks for the feedback! That was helpful!

 

[jacob.frenzen]

Yay!
Another one saved from the cult of no college.

Looks like you're really open to the ideas that I brought up.

 

[humananalytics]

I would suggest getting your degree. There are several reasons why, but many of these depend on your end goal. So, I'll just list the reasons why it can be beneficial and you can decide for yourself if these make sense for you.

1) Structured development. You can learn on your own without college, but there is value in a structured setting. The very hard quantitative courses I've gone through would not have been completed if I wasn't forced.

2) Enjoyment. There are definitely fun things you can do besides a 4 year college degree. But I've genuinely enjoyed making great, like-minded friends, and learning.

3) Start-up Fundraising. This will vary significantly on the school you go to, as well as the business you want to run. However, people from prestigious schools can raise ridiculous amounts of capital. When I was applying to start-up jobs, the overwhelming number of founders came from ivy league schools, with traditional backgrounds. Many with advance degrees (PhDs, MDs, JDs, MBAs). Last I checked, Stanford's most recent MBA class raised something like 1B with something like 30 start-ups. You can raise money without a college degree, but the large majority who successfully raise have very traditionally successful backgrounds. Fundraising, of course, is only necessary for some businesses.

4) Optionality. The college degree helps buy you options, and provides a minimum floor of what you'll earn if you'll ever need to get a job (let's say your business fails). With a STEM/business degree, that will probably be around 50k right out of college, which will be better than most backup options with no degree. I'm 3 years out of college, with a few failed attempts, but never stopped working a job. I earn six figures at my job and still learning a lot. Thanks to my job, I've saved up 60-80k since graduating that I can use as ammunition for my business. One of my friends made close to 200k with his STEM degree out of college, worked 1-2 years and saved up money to start his business. From his college degree and working, not only does he have over 1 year of living expense, he also has the prestige of graduating from a good school and a good job. He's still working at his start-up, but it has turned a profit and looking very promising. If all else fails for him, he can go back to a cushy 200k/year job and regroup for the next attempt.

5) College doesn't take that much time. It really doesn't. You don't even go to class that much. You can always use your free time productively if you want. I had about 20 hours of class per week.

6) Buys time. It's 4 years where you can spend all your free time building a business, without your parents bothering you. This might not matter to you, but for some families this might be huge. Michael Dell sold validated his business model in college, so by the time he went full time, he had much less risk.

 

[Ocean Man]

Jacob, you need to evaluate a couple of things.

- Why are you trying to go to college?
- Will the degree be worth spending thousands and up to four years (if you're planning to get a bachelor's.)?
- Can you learn what you need to learn without getting a degree? And if you learn it, are you able to get a job then without the degree?
- Is there any other reasons why you want a degree?
- Have you considered doing both? Going to school and starting a business on the side? This goes hand in hand with getting a job, learning at the business owner's expense, and starting your business on the side having acquired knowledge and skills.

Everybody has a different reason for pursuing or not pursuing a degree. Figure out your reason. Also considering checking out this thread by MJ: Tough Decision Ahead? Get Decision Clarity at HelpMyDecision.com + https://www.helpmydecision.com/ which is a decision matrix.

Business might be your ultimate goal but the reality is a lot of businesses fail. Having a backup is never a bad idea. It's a lot easier getting a degree right now (assuming you're a fresh high school graduate and don't have a lot of responsibilities at the moment) than when you have a family, bills, a mortgage and a full-time job.

 

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[Deleted78083]

This theme is quite popular, it depends on what you study. If it is to do computer science, engineering, medicine, math, physics etc, go study. If it is to do gender studies, build your own business.

 

[jacob.frenzen]

Why are you going to college?

Is it to get a job? What job is that? Do you actually need a 4 year degree to work in that industry? Or would they still hire you -so long as you brought them the results they wanted?

I can't tell you what to do, but I would personally not waste my time with college.

Get certification in Amazon Cloud or Microsoft Azure - and you can make 6 figures within 6 months and it won't cost you more than $2k to get fully certified ... $5k max.

Then down the road buy a business from a boomer looking to retire... give him $50k as down payment, ask for $150k to be in seller financing ... ask for another $50k from AMEX for cashflow and you'll have a business making $70-$120k profit year.

Or build a business from scratch using the industry knowledge you have gained and the problems/inefficiencies/inconveniences/over-capitalization you've discovered.

I think you should listen to MJ's Unscripted . It might help ya make a decision. #HyperReality

Thanks for your feedback, I appreciate it. I guess the goal of college would be to learn more about business and have a degree that would allow me to get a job in the business field if I chose to get a job instead of start a business. I’ve read both of MJ’s books, however, there wasn’t a ton of clear cut advice on this topic.

 

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[jacob.frenzen]

So your ultimate goal is to own your own business? The one thing you can't buy in this world is time. You are looking at investing 70k plus, more importantly, 4 years of your life towards a goal of retiring at 40.

And what you will receive in return is a degree that will still see you looking green in the real world as all a degree really does is show a potential employer that you are teachable. Most of the stuff you learn at college will have very little practical use or be so basic you might as well start from scratch.

What sort of business do you want to own? Work backwards. Figure out what your perfect life would look like. Then figure out a business model that would allow you to live that life. Then build a road map to get you there including what skills and finances you would need. If a degree is essential for that plan then you have your answer but I very much doubt it would be.

Remember that you can hire in pretty much every specialist skill required. You don't need to be a coder or have a degree in economics or math, or be trained as an engineer to start and run a business. Start small, and pick up relevant skills as you go.

Thanks, that's a good point. The thing is I don't know what business I want to own. I will find a business that fulfills a market need. It's hard to determine what that will be 5-10 years from now.

 

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[jacob.frenzen]

Hey jacob.

The advantages and disadvantages of college?
If it's your goal to go to college to climb that corporate ladder only to waste your life away doing meaningless nothing in a cubical for 10 to 20 vacation days a year, you've got a rock-solid plan.

But this is an entrepreneur forum, not a college admissions club. And I'll tell you secret worth its weight in gold. You don't need a college degree to get a good job. You think you do because other people think you do, but it is possible to work for a respectable company that pays what others consider ''rich.''

The rich thing is people don't wake up from this fallacy of working until you die.
And when you get in the liquor club of the people with money, you will realize they have crystal glasses while you are drinking from a glass, because greed is never-ending, so don't try to out-pace it.

If you wanted to be a doctor, I could understand needing college. But you plan to ''start a business.'' This is a waste of time.

What you SHOULD do is stop focusing on getting ''A college degree'' and find a way to make bank while you enjoy life.
Note that I said while you enjoy life, not in between the 15 minutes your job permits you to pee.

Let's take Grammarly. I can't write worth a crap, so Grammarly gets my money,$139.95 annually without even thinking about it. So do many people who use that software meaning means Brad Hoover, The CEO of Grammarly, has a net worth of $60 million.

Brad went to Cornell University and studied operations research then Industrial Engineering. Neither of which has very much to do with a spell-checking software.

Do you know what brad has to do to make that check? Nothing. It comes to him from me and every one of the many people who use the service he created. Hell, he probably made a few hundred while I was typing this on his system.

Had Brad stuck to his current path he would have carved out a decent living with an average salary of $143,850 instead he has millions.

Take a look at your post.

My ultimate goal... going to college.
After financial aid would be awarded
I could pay $35k from savings, and probably another $20k as I worked throughout college
That will leave me with $15k in debt if all goes well.
My goal is to go into business
ultimately own my own business, which does not require a degree.

You are a sheep wondering if it's better to eat the grass or the pellets fed to you before you are snipped for wool. Neither choice matters, and you are stuck in a pen.

With that said, I hope you listen to this advice and find a way to make some real money, not play with plans to have fifteen thousand dollars of debt if all goes well.

Thanks for the feedback. I think you said it well. This is the whole reasoning why I want to be an entrepreneur and avoid a 9-5.

 

[Chx]

You have until May (?) to decide. So start something now. You'll probably fail, but the experience will give you a lot more clarity on what you actually want in career and life.

Also - if you have 35k in savings and good grades & scores you can probably figure out some way to go to college for free. Off the top of my head I think UofAlabama gives $26,000 per year for a 3.5+ and a 1450+. If you put some effort in, you can probably find a deal that covers nearly everything for people with your profile. Are you National merit by any chance?

 

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[jacob.frenzen]

You have until May (?) to decide. So start something now. You'll probably fail, but the experience will give you a lot more clarity on what you actually want in career and life.

Also - if you have 35k in savings and good grades & scores you can probably figure out some way to go to college for free. Off the top of my head I think UofAlabama gives $26,000 per year for a 3.5+ and a 1450+. If you put some effort in, you can probably find a deal that covers nearly everything for people with your profile. Are you National merit by any chance?

Thanks for the feedback, that was helpful! Most schools open applications in November, and financial aid runs out pretty quickly in the Spring, so I'm looking to make my decision before Christmas for sure. I need to look into more merit scholarships for sure. And no, I barely missed the cutoff for national merit.

 

[jacob.frenzen]

You intend to wait 5-10 years before starting your business?

Well, yeah if I go to college. College would take up the next 4 years, and then I would be looking to do it soon after I graduate. I'm sure I'll have some sort of business while I'm in college, but I'm talking about gettting serious in 5-10 years.

 

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[jacob.frenzen]

Well it looks like you’ve made your mind up. College it is. Good luck.

That's not at all what I said. If I go to college, I'll start a business 5-10 years from now. If I don't go to college, I'll start a business right after I graduate high school.

 

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