Side hustles are essential to many Americans. The Penny Hoarder reports that 53% of Americans would struggle to cover their bills if they didn’t have a side hustle.

However, some side hustlers’ aspirations go beyond just earning extra income . Bankrate found that 16% of side hustlers want to make it their full-time business. And this desire is even stronger for Gen Z side hustlers, at 21%.

So, when is the best time to do this? The short answer is that there’s no standard time or “right” path for turning your side hustle into a full-time business. Everyone’s situation is different. But some signs may indicate you’re ready to leap. These are important to consider before you do - especially if you’re going to quit a job in the process.

Here are five signs that you may be ready to go all-in on your endeavor.

Firstly, the numbers have to be consistent. You should be hitting your revenue targets each month - not experiencing major revenue turbulence. Ideally, you’ll have experienced a few months of consistent revenue from your side hustle before quitting your job and going full-time on the business.

Going full-time also needs to make sense for your financial goals and lifestyle. Would your current revenue cover your living expenses? If not, do you have a plan for growing the business and reaching your goals? Consider what revenue you need to hit to consistently cover your living expenses, business costs and taxes.

2. Strong Demand For Your Product Or Service

Demand is one of the most important traits of a business’ long-term survival. Consistent monthly revenue is a good indicator that there’s decent demand for your product or service. Here are a few more ways to assess whether demand is likely to stay consistent:

  • Is the industry experiencing growth or projected to grow ? On the flip side, do you foresee any potential obstacles to growth?
  • Do you have repeat customers? Customer stickiness and loyalty indicate you have a quality product or service.
  • Do you currently have to turn customers away? This applies more to service-based businesses and freelancers; it can be a signal that it won’t be difficult to fill your roster when you go full-time.

3. You’ve Weighed Up The Pros and Cons

There are a lot of positives to having a traditional job. You can enjoy employee benefits and a stable, reliable salary. So it’s important to weigh up the pros and cons of quitting your job and going full-time with your side hustle. Ask yourself: What are you giving up by quitting your job and going all-in on your business, and are you prepared to live without it?

4. You Have A Financial Safety Net

Even after you make the leap and go out on your own, you may not immediately make a full-time income or meet your revenue goals - and that’s okay. While you build up your revenue, it’s beneficial to have an emergency fund or financial safety net in place. This gives you room to handle slower months and takes some of the pressure off while your business grows. Having a financial plan can also help you understand how much you need to earn, how long your savings could support you, and what you need to do to build a sustainable, long-term business .

5. It Fits Your Long-Term Interests

Being passionate about what you do can be half the battle. So before turning your side hustle into a full-time business, ask yourself whether you actually want to run it that way. Have a think: are you excited enough about it to focus on it every day, including the less glamorous parts like admin, sales and finances? Or would you get more enjoyment from keeping it as a side hustle, and feel less pressure?

Going full time isn’t necessarily the right goal for every side hustle. Sometimes it makes the most sense to stay just as that: a side hustle. So before you go all-in, weigh up your options, consider your long-term goals and financial situation, and make sure it’s something you genuinely want before making the leap.