The idea of a side job turned business is not for everyone. But if you have the motivation and desire to work on your brand in your free time, you have what it takes to succeed. According to survey, nearly half of United States. adults don't have the cash to pay for a $400 emergency. It is a result of the COVID-19 pandemic, where many workers lost their jobs.
However, it would be a different story if they had a side hustle. It even is a better story if they could turn their side hustle into a booming business. But how can that happen?
In this blog post, you'll learn 5 steps to help you make your move as easy and effective as possible. Read on.
However, it would be a different story if they had a side hustle. It even is a better story if they could turn their side hustle into a booming business. But how can that happen?
In this blog post, you'll learn 5 steps to help you make your move as easy and effective as possible. Read on.
What Is Side Hustle?
A side hustle is an extra task to add to one's regular job that brings in extra money. A side business offers greater liberty and control over what gets done and when it gets done.
Also, it gives liberty and control over how much work gets done more than a part-time job. A person can include some of their passions into their side gig. And some people may soon make it their primary source of income.
However there are countless examples of side jobs, but a few well-known ones that lots of people do are:
- Freelance writing
- Coaching and tutoring
- Creating and selling handmade goods
- Dog Walking
- Catering
- Photography
- Baking
- House cleaning
- Babysitting
It's one thing to have a side hustle and another to make it a business. Below are five steps to turn your side gig into a business.
1. Make a Solid Business Plan
You don't want to leave work and venture into the dark by trying to turn your side hustle into a business hastily. You must have a solid plan, which includes knowing your financial boundaries, target sales, the cost estimate of running your side hustle, etc.
Make Sure to Secure Business Capital
You may need a loan as startup capital for your new business, especially if you are producing products or needing professional equipment. There are a lot of ways to have business capital, the most usual one is taking out loans.
While that is a perfect plan, you must keep in mind you need a good business credit score to make it possible. However, if you have a poor business credit score, you must work towards improving it.
One of the ways to achieve that is to get a reputable company for cheap credit repair services. This will enable you to get the loan you need to turn your side hustle into a business.
Pay Attention to Business Metrics
A side hustle is one of the finest ways to test your business idea since it gives you a chance to show its value before putting all your time and funds into it. To start the plan, decide the amount you'll need to make each month. Also, how much money your side hustle has to be bringing in to be a success?
However, you need to set up your concept of success before setting up and tracking the cash that will reveal if your idea is a viable business plan. Finally, don't worry if you're unsure of how to write a business plan. Many excellent tools are available, including those from the U.S. Small Business Administration.
2. Put in Enough Quality Time
Get ready for what's coming. You will need to put in a lot of time since it's the beginning. You also need to make sacrifices. The reason is that you already have a regular job, you need to use your free time for this one.
It entails forgoing those after-work cocktails with coworkers. But, of course, you also need to quit every weekend gathering with friends. If you're not thrilled with devoting your free time to your side gig, you're not ready for business.
3. Advertise Yourself and Build Your Clientele
This step is about advertising your new business. And what better way to promote it than word of mouth?
When you started your side gig, you had clients. Your client would say good words if you did a good job. While it was just a side gig, you probably had few clients. Now that you want to turn it into a business, you need to advertise yourself more.
For example, whenever you meet with a client, see that meeting as a hiring process. Ensure you pitch in what your side gig is to anyone who listens.
If you have 100 people in it and you can talk to 50, you may have 500 clients in ten years. The reason is that when 50 people call you for a job, and you deliver, they'll recommend you to someone else. With such a good turnout, your side gig will gradually become a full-time business.
4. Automate Certain Things
Almost every part of your business can get structured using an app. When you have less free time outside of your day job, your goal should be to free up as much time as you can. With that time, you can work on things that bring income and yield a high return.
Spend money on tools that will let you automate as much as you can. For instance, use Buffer to automate your social media posting.
5. Hire More Hands
You play many roles as a side hustler, including marketer, salesperson, etc. But starting a business requires figuring out when you can afford to hire more staff to handle the increasing demands.
Let's say you want to earn six figures annually. Since a full-time worker typically works 1,900 hours per year, you should aim for an hourly wage of about $50.
However, if you're playing too many roles, you won't be able to make that $50. If so, it makes more sense to hire someone to complete the task to save money. It will also prevent burnout from having to handle everything alone.
Some Benefits of Having a Side Hustle
Grows Your Financial Security
Sad to say, lifetime job security isn't often as common as it once was. Also, while relying only on one source of income is common, it's not always a good idea. You never know what positions or firms can become outdated in this fast-evolving digital world. As such, it's always a good idea to have a fallback plan.
Even if you have a rainy day fund, having a second source of income can help you feel more at rest and relieve some of the stress.
Finally, having a side gig can also enable you to make decisions about your job and personal life that you may not have been able to make.
Enhances Your Resume
Your résumé stays with you during your entire career. So expertise is one of the most vital factors on a resume. You'll build your resume and develop new talents by engaging in a side gig. Also, a side gig can set you apart from the competition when vying for a job.
For instance, your side gig is to develop websites or manage social media sites. So regardless of the expertise, having these qualities will help you expertly. With such a side hustle, you have an enhanced resume. As such, you have a higher chance of getting a promotion or a new job offer.
Builds a Larger Connection
Growing your contact is one of the finest strategies to advance your job to be an expert. Since you work with people who share your views in our fields, it may often limit our ability to grow. But with a side gig, you can connect and meet many new people.
The side gig will take you to locations and connect you to people you may never have interacted with. Although not all connection benefits happen fast, someday they may put in a good word for you to someone.
Bottom Line
Running a business requires a lot of strenuous effort. Also, there is the added stress of earning enough money to maintain your needs. However, imagine doing something you're good at every day when you go to work. A genuine piece of that is yours.
Turning your side hustle into a business could be the most satisfying move you ever make. But ensure you're willing to accept the highs and lows. You should also be able to put in the time and effort needed to make it a success.
