Why a Full Time MBA?

A few people commented about my plans, saying that I should be considering a part-time or executive MBA, and keeping my business going. There are two reasons two do this:

1. Money - to keep my income flowing, even if it is slower
2. Contacts/Clients - to stay in touch with my network

The second reason is weaker than the first because everyone agrees that an MBA builds your network like nothing else can. However, the financial side of this decision is very interesting. I can afford to go back to school without going into debt. That is a tremendous luxury that many people don't have. But it will reverse the positive trend in my net worth for a couple of years, quite significantly.

As readers of this blog, you all know the gory details of my financial situation. Why do you think that I need to keep working during my MBA? Are you worried that I might not have a secure retirement if I spend $150,000 on an MBA and don't keep saving? If my net worth at age 35 is only $500,000 am I out of the game?? What if it's as low as $400,000?

The reasons that I want to do a full time MBA are a little bit less obvious:

• I'd like to live in another city. I've never done so as an adult.
• I'd like to be able to have time to learn and enjoy. I have friends who have done EMBA's and you literally have to take 20-30 hours out of your week, plus a day and a half of classes every other weekend. There's not much room for anything beyond work and MBA at that point.
• I want to do a complete career shift. I don't plan to go back to my old career in any way. So keeping my business going would be counterproductive relative to my career goals.
• I believe that I will get more out of the whole experience this way. More knowledge, more exploration, more networking, more unanticipated benefits.

These are mostly lifestyle and personal preference points. But isn't the point of money so that you have the freedom to do what you want, how you want? In a way, going back to school is like an indulgence for me. I love being in school. I am anticipating having a fabulous time there. And when I'm done, I will possess a qualification that will allow me to start earning money again. In fact, statistically, I should be able to more than catch up, but that is not something I am counting on.

So, in a roundabout way, this decision is about setting my own personal level of enough. I don't need to be the richest person around, and I have already succeeded financially beyond what I would have ever anticipated. I am now choosing to have my money do something for me, instead of me always doing things for money.

I hope that this post helps you to understand some of my reasons for making this decision. As always, I welcome your feedback and discussion!