How to turn your side hustle into a day job

Before you throw in your day job, take a look at your cash flow. An accountant and tools like the Business Cash Flow tool in the CommBank app can help with this.
Separating your personal and business finances, and building a network of people who can help guide your decisions, can be helpful steps.

Your new favourite word: planning. CommBank business banker Mathew Buckland says it’s the most important thing when you’re moving away from the security of a salary. “You’re giving yourself an extra 40 hours a week to work on your business so planning how those 40 hours are going to generate income is key.” Here’s how to make it happen.

Look before you leap

Before you throw in your day job, take a look at your cash flow. “You should be able to forecast your next six to 12 months,” says Buckland, adding that having a two-year and five-year plan is also a good idea.

This is also the right time to get an accountant. “A lot of people do this too late in the game but they can also help you draw up a cash-flow forecast,” says Buckland. “They give you the ability to say, ‘I’m going to jump in January next year because that’s when I’ll have had enough growth and be in a good position.’”

And remember that tools can also help with this snapshot: the Business Cash Flow tool in the CommBank app shows you a monthly summary of your incoming and outgoing cash and CommBank’s Daily IQ tool helps you track cash-flow trends.

Organise your banking and bills

If you’re still using your personal bank account for your side hustle, it’s time to reconsider. This one action could make tax time a lot less painful. “It’s reasonably easy to set up a sole trader ABN and a Business Transaction Account,” says Buckland. “It separates your personal and business finances so you know how much money you’ve made.”

And a Business Online Saver account allows you to set aside money for GST, unexpected bills and tax. “I have a lot of customers with side hustles making $40,000 to $50,000. All of a sudden they’re told what their tax return looks like and it can be quite a shock.”

Build your support network

When you’re running a business solo, having a network of people to help guide your decisions can make a difference. That support can come from all kinds of places—a business coach who keeps you accountable, other founders who’ve been through it before or a local business group that meets regularly to share insights.

Your banker should be part of this crew, too, especially when you’re looking to grow. Buckland says your bank can be a valuable source of support—but only if you’re clear on your goals. “Getting finance is about having examples of what your future is going to look like and how that’s going to work in terms of paying it back,” he says. “Once you’ve gone to an accountant, got cash- flow projections and have an idea of what the next 12 months looks like then your banker can see the tangible evidence of what your business is doing and how we can support you.”

How Bondi Records grew from a small online store

Craig Fordham has always been passionate about music and an avid vinyl record collector. Late last year he and wife Geri opened their own store, Bondi Records.

“We started our online store with 16 products four years ago—I thought if we sell 16, we’ll buy 32 and just keep doubling,” says Craig. “Now we’ve got 4000 products. I started online because I wanted to get a bit more hands-on business experience. At the same time, I was working in disaster preparedness for the government and putting in 70-hour weeks between both jobs.

"When my contract ended, we could see the trajectory of where this business was going and opened our first store. Since launch, we’ve seen about 300 per cent growth year on year and we’re tracking towards $2.5 million in revenue this financial year. The working hours haven’t really slowed down with only one job—it’s the hardest thing I’ve ever done professionally but it’s definitely the most rewarding.”

Craig’s tips

Set goals and deadlines: If you’re thinking about making the leap, give yourself monthly checkpoints and make sure you're hitting goals that ladder back to a revenue target.
Realign the business: As a side hustle, we were growth oriented. Now we’re trying to grow our profit margin to as close to 40 per cent as possible, cutting expenses where we can.
Engage your audience: We launched a monthly vinyl club—every month, customers get to choose from one of four records for $60. We’ve already got about 80 subscribers.

Why Estroni’s founder decided to double down

Ellie Tam put her spare time during COVID lockdowns to good use, designing bodysuits and launching her own online label, Estroni.

“I noticed that American celebrities were all wearing bodysuits and, while we had a few athletic options here, we didn’t really have anything you could wear out casually," says Ellie. "I started by getting samples in 2020 but never thought about the side hustle getting bigger—I just really enjoyed having a few extra thousand dollars each month.

"When the tech company I was working for had to make redundancies, I decided to double down on my side hustle. I did a Facebook course that teaches you how to structure and optimise Meta ad campaigns and what type of content to use. I went from four figures to five figures a month.

"My revenue is about $50,000 a month but because of the seasonality of my business, it can be anywhere from $30,000 to $50,000. If it’s a good month, there might be $10,000 profit but that isn’t going into my pocket—I’m always getting more units or trying more styles and different marketing.”

Ellie’s tips

Tighten up your systems: I’ve always been more creative but I quickly learnt to put time into the numbers. I now have a daily spreadsheet that shows ad channel costs and sales from that investment.
Find professionals for your industry: Getting an accountant who focuses on ecommerce and content creators was game-changing. It means I can focus my time on other areas.
Make your money work harder: I have a separate CommBank Business Account and a credit card that earns points every time I make transactions with overseas suppliers.

Are you ready to go all in?

Before you hand in your notice, ask yourself:

Do I have a financial runway? Consider whether you can cover at least three to six months of living expenses if the business doesn’t earn immediately.
Is my business consistently generating revenue? Look for patterns of demand—not just one-off wins—to prove it’s sustainable.
Do I know my numbers? Profit margin, break-even point, customer acquisition cost—if you don’t understand these terms, it’s time to learn.
Have I tested what full-time effort looks like? It’s helpful to spend a few months treating your business like a full-time job after hours or on weekends.
Who’s in my corner? Think about your support system—an accountant, mentor, peer group or coach can make a big difference.

To learn about how CommBank backs small businesses, visit the CommBank small business hub.

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