How to fund your passions!
Are you hoping to start your own business one day?
Do you want your dream job to be something you love to do, and you get to be your own boss?
Due to the COVID-19 pandemic, more and more people in the U.S. have decided to be their own boss and launch a business of their own. Around 23% of aspiring entrepreneurs wanted to finally pursue their passions, while 12% and 6% deemed they’d had enough of corporate America, or decided to work for themselves after being laid off, respectively.
Following your dreams is a noble ideal, and it’s easy to jump in head first without too much thought on the hows and why’s. If you are considering starting a business and monetizing your passion, here are a few ways to fund your ambitions.
Do What You Love
The best way to guarantee that the investment you will make to start up your business is a worthy one is to ensure your money is going towards what you love. For entrepreneurs, this could be a variety of fields to choose from.
From service to retail, if your business goal is something that you already love to do and could do for hours, you’re in the right place. Once you niche down your business type, you can work on your plan to procure capitol. The U.S. Small Business Administration found that many microbusinesses cost about $3,000 to start, and home-based businesses need around $2,000 to $5,000 to prepare for launch.
Research your field, check out how other businesses in your space are doing (i.e. their services and pricing, and if you can, their revenue and overhead costs) so that you can get a feel for how much you’ll need to invest.
For example, if you are aspiring to create your own virtual boutique for candles, browse around Etsy, Facebook Marketplace and/or other online groups. Connect with other business owners to learn what the business demands for its start-up costs and working capitol.
Work is Work
While monetizing your passion is a wonderful business goal, the realities of entrepreneurship still involve a lot of ground work and continual labor. When you find your work enjoyable, it makes the process of running your business manageable.
Create a schedule that fits your business flow and work ethic to make sure that you’re steadily working to build a thriving business, Your business will most likely require day-in and day-out work (especially in the beginning), such as managing your ongoing costs and operating expenses.
Not All Business Is Good Business
While every business is different, new entrepreneurs usually come across the obstacle that is turning a profit. Sometimes our revenue may not scale the way we expect or like it to. Some small business owners don’t profit within their first year after launch, and it can take up to three years to make money.
When this happens, it may feel like a good move to accept any and all business that comes your way. If your business is service based, taking on new clients who drain you and/or make your job difficult may become a major hindrance to you and your business’s overall well-being.
It’s your business and you can say no to clients who cause you stress or don’t respect your time and expertise. Remember that as you network with potential clients, and work with satisfied customers, you’ll create a dialogue that your business is notable, and clients will eventually seek you.
Source:
Guidant Financial. (2020). 2020 Small Business Trends & statistics. https://www.guidantfinancial.com/small-business-trends; Cohen, P. (2020, July 24). About 30 Million Workers Are Collecting Jobless Benefits. Https://Www.Nytimes.Com/#publisher. https://www.nytimes.com/live/2020/07/23/business/stock-market-today-coronavirus; Vojinovic, I. (2019, July 22). 70% Of Small Businesses Have Outstanding Debt. My Blog. https://www.smallbizgenius.net/news/70-of-small-businesses-have-outstanding-debt/#gref; Simovic, D. (2020, August 13). 39 Entrepreneur Statistics You Need To Know In 2020. My Blog. https://www.smallbizgenius.net/by-the-numbers/entrepreneur-statistics/#gref; F. (2019, October 23). How Long Does It Take to Be Profitable? A Guide for Small Businesses FreshBooks.