{"appState":{"pageLoadApiCallsStatus":true},"categoryState":{"relatedCategories":{"headers":{"timestamp":"2025-04-17T16:01:16+00:00"},"categoryId":34251,"data":{"title":"Small Business","slug":"small-business","image":{"src":null,"width":0,"height":0},"breadcrumbs":[{"name":"Business, Careers, & Money","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34224"},"slug":"business-careers-money","categoryId":34224},{"name":"Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34225"},"slug":"business","categoryId":34225},{"name":"Small Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34251"},"slug":"small-business","categoryId":34251}],"parentCategory":{"categoryId":34225,"title":"Business","slug":"business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34225"}},"childCategories":[{"categoryId":34252,"title":"Start-Ups","slug":"start-ups","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34252"},"image":{"src":"/img/background-image-2.fabfbd5c.png","width":0,"height":0},"hasArticle":true,"hasBook":true,"articleCount":121,"bookCount":12},{"categoryId":34253,"title":"General Small Business","slug":"general-small-business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34253"},"image":{"src":"/img/background-image-1.daf74cf0.png","width":0,"height":0},"hasArticle":true,"hasBook":true,"articleCount":348,"bookCount":20}],"description":"Most of the businesses powering the largest economies in the world are small ones! Join this small army of compact companies with the advice in our articles.","relatedArticles":{"self":"https://dummies-api.dummies.com/v2/articles?category=34251&offset=0&size=5"},"hasArticle":true,"hasBook":true,"articleCount":470,"bookCount":32},"_links":{"self":"https://dummies-api.dummies.com/v2/categories/34251"}},"relatedCategoriesLoadedStatus":"success"},"listState":{"list":{"count":10,"total":470,"items":[{"headers":{"creationTime":"2016-03-27T16:47:55+00:00","modifiedTime":"2024-09-16T20:43:56+00:00","timestamp":"2024-09-16T21:01:17+00:00"},"data":{"breadcrumbs":[{"name":"Business, Careers, & Money","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34224"},"slug":"business-careers-money","categoryId":34224},{"name":"Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34225"},"slug":"business","categoryId":34225},{"name":"Small Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34251"},"slug":"small-business","categoryId":34251},{"name":"Start-Ups","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34252"},"slug":"start-ups","categoryId":34252}],"title":"Starting an Online Business All-in-One For Dummies Cheat Sheet","strippedTitle":"starting an online business all-in-one for dummies cheat sheet","slug":"starting-an-online-business-all-in-one-for-dummies-cheat-sheet","canonicalUrl":"","seo":{"metaDescription":"Discover essential tips for starting and growing your online business with our All-in-One For Dummies Cheat Sheet. Simplify your journey to success today!","noIndex":0,"noFollow":0},"content":"Starting an online business or growing an existing e-commerce business doesn’t have to be hard. Lots of resources are available to help you do everything from creating content for your website to building a long list of loyal customers. Being a savvy online entrepreneur also means learning to use social media to promote your business. Try these suggestions and quick tips for launching your website and engaging your customers.\r\n\r\n[caption id=\"attachment_269024\" align=\"alignnone\" width=\"556\"]<img class=\"size-full wp-image-269024\" src=\"https://www.dummies.com/wp-content/uploads/start-online-biz.jpg\" alt=\"starting online business\" width=\"556\" height=\"474\" /> ©Rawpixel.com/Shutterstock.com[/caption]","description":"Starting an online business or growing an existing e-commerce business doesn’t have to be hard. Lots of resources are available to help you do everything from creating content for your website to building a long list of loyal customers. Being a savvy online entrepreneur also means learning to use social media to promote your business. Try these suggestions and quick tips for launching your website and engaging your customers.\r\n\r\n[caption id=\"attachment_269024\" align=\"alignnone\" width=\"556\"]<img class=\"size-full wp-image-269024\" src=\"https://www.dummies.com/wp-content/uploads/start-online-biz.jpg\" alt=\"starting online business\" width=\"556\" height=\"474\" /> ©Rawpixel.com/Shutterstock.com[/caption]","blurb":"","authors":[{"authorId":9359,"name":"Shannon Belew","slug":"shannon-belew","description":" <p><b>Shannon Belew</b> is a nationally recognized digital marketing strategist, speaker and consultant for B2B brands, and leads an engagement marketing team for a global infrastructure software company.</p> <p><b>Joel Elad</b> is the head of Real Method Consulting, where he provides consulting and advice for e-commerce companies and entrepreneurs. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9359"}},{"authorId":9132,"name":"Joel Elad","slug":"joel-elad","description":" <p><b>Shannon Belew</b> is a nationally recognized digital marketing strategist, speaker and consultant for B2B brands, and leads an engagement marketing team for a global infrastructure software company.</p> <p><b>Joel Elad</b> is the head of Real Method Consulting, where he provides consulting and advice for e-commerce companies and entrepreneurs. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9132"}}],"primaryCategoryTaxonomy":{"categoryId":34252,"title":"Start-Ups","slug":"start-ups","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34252"}},"secondaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"tertiaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"trendingArticles":[{"articleId":192609,"title":"How to Pray the Rosary: A Comprehensive Guide","slug":"how-to-pray-the-rosary","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/192609"}},{"articleId":208741,"title":"Kabbalah For Dummies Cheat Sheet","slug":"kabbalah-for-dummies-cheat-sheet","categoryList":["body-mind-spirit","religion-spirituality","kabbalah"],"_links":{"self":"/articles/208741"}},{"articleId":230957,"title":"Nikon D3400 For Dummies Cheat Sheet","slug":"nikon-d3400-dummies-cheat-sheet","categoryList":["home-auto-hobbies","photography"],"_links":{"self":"/articles/230957"}},{"articleId":235851,"title":"Praying the Rosary and Meditating on the Mysteries","slug":"praying-rosary-meditating-mysteries","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/235851"}},{"articleId":284787,"title":"What Your Society Says About You","slug":"what-your-society-says-about-you","categoryList":["academics-the-arts","humanities"],"_links":{"self":"/articles/284787"}}],"inThisArticle":[],"relatedArticles":{"fromBook":[{"articleId":269861,"title":"Establishing Website Goals for Your Online Business","slug":"establish-website-goals-and-conversions-for-your-online-business","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/269861"}},{"articleId":269855,"title":"How to Choose an Identity for Your Online Business","slug":"how-to-choose-an-identity-for-your-online-business","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/269855"}},{"articleId":269850,"title":"Must-Have Equipment for Starting an Online Business","slug":"must-have-equipment-for-starting-an-online-business","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/269850"}},{"articleId":269843,"title":"How to Create a Workspace Floor Plan","slug":"how-to-create-a-workspace-floor-plan","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/269843"}},{"articleId":269836,"title":"How to Turn an Idea into a Viable Internet Business","slug":"how-to-turn-an-idea-into-a-viable-internet-business","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/269836"}}],"fromCategory":[{"articleId":301765,"title":"Funding a New Business Cheat Sheet","slug":"funding-a-new-business-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/301765"}},{"articleId":299799,"title":"How to Do Taxes for Side Hustles","slug":"how-to-deal-with-your-side-hustle-income-taxes","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/299799"}},{"articleId":299705,"title":"How to Develop a Side Hustle Business Plan","slug":"how-to-develop-a-side-hustle-business-plan","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/299705"}},{"articleId":297984,"title":"Starting & Running a Business All-in-One For Dummies Cheat Sheet (UK Edition)","slug":"starting-and-running-a-business-all-in-one-for-dummies-cheat-sheet-uk-edition","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/297984"}},{"articleId":291541,"title":"Side Hustles For Dummies Cheat Sheet","slug":"side-hustles-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/291541"}}]},"hasRelatedBookFromSearch":false,"relatedBook":{"bookId":281872,"slug":"starting-an-online-business-all-in-one-for-dummies-6th-edition","isbn":"9781394271085","categoryList":["business-careers-money","business","small-business","start-ups"],"amazon":{"default":"https://www.amazon.com/gp/product/1394271085/ref=as_li_tl?ie=UTF8&tag=wiley01-20","ca":"https://www.amazon.ca/gp/product/1394271085/ref=as_li_tl?ie=UTF8&tag=wiley01-20","indigo_ca":"http://www.tkqlhce.com/click-9208661-13710633?url=https://www.chapters.indigo.ca/en-ca/books/product/1394271085-item.html&cjsku=978111945484","gb":"https://www.amazon.co.uk/gp/product/1394271085/ref=as_li_tl?ie=UTF8&tag=wiley01-20","de":"https://www.amazon.de/gp/product/1394271085/ref=as_li_tl?ie=UTF8&tag=wiley01-20"},"image":{"src":"https://www.dummies.com/wp-content/uploads/starting-an-online-business-aio-for-dummies-7e-cover-9781394271085-203x255.jpg","width":203,"height":255},"title":"Starting an Online Business All-in-One For Dummies","testBankPinActivationLink":"","bookOutOfPrint":true,"authorsInfo":"<p><p><b>Shannon Belew</b> is a nationally recognized digital marketing strategist, speaker and consultant for B2B brands, and leads an engagement marketing team for a global infrastructure software company.</p> <p><b><b data-author-id=\"9132\">Joel Elad</b></b> is the head of Real Method Consulting, where he provides consulting and advice for e-commerce companies and entrepreneurs. <p><b><b data-author-id=\"9359\">Shannon Belew</b></b> is a nationally recognized digital marketing strategist, speaker and consultant for B2B brands, and leads an engagement marketing team for a global infrastructure software company.</p> <p><b>Joel Elad</b> is the head of Real Method Consulting, where he provides consulting and advice for e-commerce companies and entrepreneurs.</p>","authors":[{"authorId":9132,"name":"Joel Elad","slug":"joel-elad","description":" <p><b>Shannon Belew</b> is a nationally recognized digital marketing strategist, speaker and consultant for B2B brands, and leads an engagement marketing team for a global infrastructure software company.</p> <p><b>Joel Elad</b> is the head of Real Method Consulting, where he provides consulting and advice for e-commerce companies and entrepreneurs. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9132"}},{"authorId":9359,"name":"Shannon Belew","slug":"shannon-belew","description":" <p><b>Shannon Belew</b> is a nationally recognized digital marketing strategist, speaker and consultant for B2B brands, and leads an engagement marketing team for a global infrastructure software company.</p> <p><b>Joel Elad</b> is the head of Real Method Consulting, where he provides consulting and advice for e-commerce companies and entrepreneurs. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9359"}}],"_links":{"self":"https://dummies-api.dummies.com/v2/books/"}},"collections":[],"articleAds":{"footerAd":"<div class=\"du-ad-region row\" id=\"article_page_adhesion_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_adhesion_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;start-ups&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781394271085&quot;]}]\" id=\"du-slot-66e89c9decf40\"></div></div>","rightAd":"<div class=\"du-ad-region row\" id=\"article_page_right_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_right_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;start-ups&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781394271085&quot;]}]\" id=\"du-slot-66e89c9deddd7\"></div></div>"},"articleType":{"articleType":"Cheat Sheet","articleList":[{"articleId":149998,"title":"Tips for Building Loyal Online Customers","slug":"tips-for-building-loyal-online-customers","categoryList":[],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/149998"}},{"articleId":149943,"title":"Important Website Resources for Your Online Business","slug":"important-website-resources-for-your-online-business","categoryList":[],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/149943"}},{"articleId":149999,"title":"Checklist for Launching a New Website","slug":"checklist-for-launching-a-new-website","categoryList":[],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/149999"}},{"articleId":149997,"title":"Using Social Media to Promote Your Business","slug":"using-social-media-to-promote-your-business","categoryList":["business-careers-money","business","marketing"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/149997"}}],"content":[{"title":"How to build loyal online customers","thumb":null,"image":null,"content":"<p>Getting traffic, or visitors, to your website is only the first step in building your online business. To be successful, you want to convert visitors into customers who keep returning to your site. Use these simple tips to build a loyal following of happy, satisfied customers for your online business:</p>\n<ul>\n<li>Offer multiple ways for customers to communicate with you (including e-mail, phone, real-time online support, online forums, and social media).</li>\n<li>Use video to provide a better view of your products or to offer suggestions on how to use the products.</li>\n<li>Engage customers by providing ways to interact with your site, such as participating in online communities, writing product reviews, and commenting on blogs.</li>\n<li>Connect with customers through social media sites such as Facebook, X (formerly Twitter), YouTube, Instagram, TikTok, and LinkedIn and keep customers interacting with your online brand.</li>\n<li>Make customers feel special by sending loyalty discounts and other exclusive offers to your registered users or frequent buyers.</li>\n<li>Send customers tips or brief articles or videos that are fun or innovative or that show how to use your products or services to save time or be more productive.</li>\n<li>Give customers several payment options, including deferred payments, to make buying easy.</li>\n<li>Offer free shipping — no strings attached.</li>\n<li>Make it easy to return products.</li>\n<li>Reward top customers with access to special online events or promotions and offer a sneak preview of new products. Solicit input on new products or services from customers who are frequent buyers or active brand advocates in social media.</li>\n<li>Find creative ways to thank customers for visiting your site and for making a purchase.</li>\n</ul>\n"},{"title":"Important website resources for your online business","thumb":null,"image":null,"content":"<p>As an online business owner, it’s important to have access to many different types of information for starting and managing your website. The following online resources can help you with everything from protecting your site by registering trademarks to operating more efficiently by buying postage online:</p>\n<ul>\n<li><a href=\"https://www.copyright.gov/registration\" target=\"_blank\" rel=\"noopener\"><strong>Electronic Copyright Office</strong></a><strong>:</strong> Register your site’s content.</li>\n<li><a href=\"https://www.irs.gov/businesses\" target=\"_blank\" rel=\"noopener\"><strong>Internal Revenue Service</strong></a><strong> (IRS):</strong> Review filing requirements and deadlines; access and print forms.</li>\n<li><a href=\"https://www.ic3.gov/complaint/default.aspx\" target=\"_blank\" rel=\"noopener\"><strong>Internet Crime Complaint Center</strong></a><strong>: </strong>Report online fraud and e-mail abuse.</li>\n<li><a href=\"https://www.uspto.gov/trademark\" target=\"_blank\" rel=\"noopener\"><strong>Patent and Trademark Office</strong></a><strong>:</strong> Search the trademark database and apply for trademark registration.</li>\n<li><a href=\"http://www.usps.com/business\" target=\"_blank\" rel=\"noopener\"><strong>U.S. Postal Service</strong></a><strong>:</strong> Print postage and labels from your computer, ship from your location, and access other tools and resources.</li>\n<li><a href=\"https://www.sba.gov/loans-grants/see-what-sba-offers/sba-loan-programs\" target=\"_blank\" rel=\"noopener\"><strong>Small Business Administration</strong></a><strong> (SBA):</strong> Find financing information and loan applications.</li>\n</ul>\n"},{"title":"Checklist for launching a new website","thumb":null,"image":null,"content":"<p>When creating a website, you must complete several steps before you can take your site live. The following checklist includes small but important details to help ensure that your website is functional and appeals to your online customers.</p>\n<ul>\n<li>The site map — the layout and structure of all web pages — is complete.</li>\n<li>The site map matches the web pages — exactly.</li>\n<li>Each website page is displayed and is fully accessible.</li>\n<li>Every link throughout the site works properly and opens the appropriate page.</li>\n<li>All graphics, photos, and videos load quickly and completely, and the images are crisp and clean.</li>\n<li>The content is free of misspellings and grammatical errors.</li>\n<li>Pricing information and product or service descriptions are correct.</li>\n<li>Pages with online forms or registration information function when you click the Submit button, and the information is sent (in the specified format) to the designated point of contact.</li>\n<li>Text boxes or drop-down boxes on forms and other pages work correctly.</li>\n<li>Buttons or links for top-level menus work. These buttons, like the one that returns users to the home page, function properly on every single page.</li>\n<li>Special commands that are spelled out with coding language (HTML or PHP, for example) are displayed properly when the site loads.</li>\n<li>The credit card processor or other payment service option is in place and working.</li>\n<li>All e-commerce-related functions, such as the shopping cart, operate correctly.</li>\n<li>Membership icons or logos, such as Better Business Bureau or Chamber of Commerce member emblems, have been included.</li>\n<li>Social media sharing icons for X (formerly Twitter), Facebook, Instagram, YouTube, LinkedIn, and other social networks are promoted on applicable pages across the site and are easy to see.</li>\n<li>The site has been tested for browser compatibility and screen resolution.</li>\n<li>Pages are responsive and the site is displayed properly in all mobile formats.</li>\n<li>Contact information using the company’s e-mail address or phone number is clearly displayed and easy to find.</li>\n<li>Privacy, shipping, and return, and other use policies are clearly visible and easily accessible from every page.</li>\n<li>The copyright symbol and current year are placed prominently at the bottom of every page.</li>\n</ul>\n"},{"title":"Using social media to promote your business","thumb":null,"image":null,"content":"<p>Social media is an inexpensive way to promote your website and to keep new and existing customers chatting about your business. Here are some quick and easy tips for using some of the most popular social networking sites — Facebook, Twitter, YouTube, LinkedIn, and Pinterest — to help drive interest and customers to your business:</p>\n<h3>Facebook</h3>\n<ul>\n<li>Set up a business page on Facebook and post special offers (at least once a month) to all those who Like your page.</li>\n<li>Use the Meta Business Suite to schedule your posts on Facebook and Instagram from one screen. You can still tailor your posts to each platform specifically, but only create the post once and schedule it for up to 30 days in advance.</li>\n<li>Ask customers to share pictures on your Facebook page that show them using their favorite product that they bought from your website.</li>\n<li>Reduce your workload while expanding your marketing efforts on Facebook: Instead of managing both a business page and a personal page, simply allow subscribers on your personal Facebook page. Subscriptions allow you to send public updates that your subscribers can view. Subscribers can be customers, vendors, and anyone else who is interested in seeing your public posts — just as they would on a business page.</li>\n</ul>\n<h3>X (formerly Twitter)</h3>\n<ul>\n<li>Use X to tweet interesting or unusual facts about your business or products and provide a link to that product page on your site.</li>\n<li>Send out short tips via X on how to use your services or products.</li>\n<li>Follow customers and vendors as well as influential bloggers, journalists, industry analysts, and others with a large following and significant influence on your business or industry.</li>\n<li>Get more visibility by tweeting pictures and videos related to you or your business to your followers.</li>\n</ul>\n<h3>YouTube</h3>\n<ul>\n<li>Create a YouTube channel for your online business, regularly add fun and useful videos, and then encourage customers to view and share your videos with others.</li>\n<li>Launch a video contest: Ask customers to create short videos of how they use your product or service and post them to YouTube, and then let other customers vote on their favorites.</li>\n<li>Every week, post a short (two minutes or less) video of yourself offering tips for your customers, such as demonstrating how to use a product that you sell.</li>\n<li>Ask customers to submit video testimonials and post them on your YouTube channel.</li>\n</ul>\n<h3>LinkedIn</h3>\n<ul>\n<li>Create a LinkedIn profile and add links to your website: Update your profile with new links, product reviews, books, or articles that you are reading, or other information so that this information appears to all the people in your network.</li>\n<li>Join LinkedIn groups that may be popular with many of your customers, and frequently post questions or comments related to the products or services you offer.</li>\n<li>Ask your customers as well as vendors and other business associates in your network to provide a recommendation for you or your business in LinkedIn.</li>\n<li>Add brochures, PDFs, SlideShare and PowerPoint presentations, and videos to your profile under the Summary section to provide interesting content that anyone viewing your profile can download or share.</li>\n</ul>\n<h3>Instagram</h3>\n<ul>\n<li>Set up an Instagram profile for your business, and post images with themes or product interests related to your business.</li>\n<li>Add Instagram Stories consisting of one or more pictures or short videos to increase attention to that content, as Stories exist in a separate but prominent part of Instagram users’ feeds.</li>\n<li>When posting an image to Instagram, add a short text description to provide additional information and interest.</li>\n<li>Post short videos to your Instagram profile or as an Instagram Reel. This opportunity can generate lots of views.</li>\n<li>Hold a contest on your Instagram by encouraging customers to post an image of one of your products and tag your Instagram profile. Offer a small prize to either a random user, or the user that has the most likes, comments, or shares.</li>\n</ul>\n"}],"videoInfo":{"videoId":null,"name":null,"accountId":null,"playerId":null,"thumbnailUrl":null,"description":null,"uploadDate":null}},"sponsorship":{"sponsorshipPage":false,"backgroundImage":{"src":null,"width":0,"height":0},"brandingLine":"","brandingLink":"","brandingLogo":{"src":null,"width":0,"height":0},"sponsorAd":"","sponsorEbookTitle":"","sponsorEbookLink":"","sponsorEbookImage":{"src":null,"width":0,"height":0}},"primaryLearningPath":"Advance","lifeExpectancy":"One year","lifeExpectancySetFrom":"2024-09-16T00:00:00+00:00","dummiesForKids":"no","sponsoredContent":"no","adInfo":"","adPairKey":[]},"status":"publish","visibility":"public","articleId":207655},{"headers":{"creationTime":"2016-03-27T16:53:09+00:00","modifiedTime":"2024-04-12T14:16:39+00:00","timestamp":"2024-04-12T15:01:13+00:00"},"data":{"breadcrumbs":[{"name":"Business, Careers, & Money","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34224"},"slug":"business-careers-money","categoryId":34224},{"name":"Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34225"},"slug":"business","categoryId":34225},{"name":"Small Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34251"},"slug":"small-business","categoryId":34251},{"name":"General Small Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34253"},"slug":"general-small-business","categoryId":34253}],"title":"Small Business For Dummies Cheat Sheet","strippedTitle":"small business for dummies cheat sheet","slug":"small-business-for-dummies-cheat-sheet","canonicalUrl":"","seo":{"metaDescription":"If you’re thinking about starting your own business, check out the following list of tips to improve your chances of success.","noIndex":0,"noFollow":0},"content":"From managing to marketing and everything in between, the world of small business can be both exciting and overwhelming. It’s a place where no two workdays are exactly the same and where unpredictable things happen.\r\n\r\nIf you’re thinking about starting (or you already run and manage) your own business, check out the following list of tips to improve your chances of success.","description":"From managing to marketing and everything in between, the world of small business can be both exciting and overwhelming. It’s a place where no two workdays are exactly the same and where unpredictable things happen.\r\n\r\nIf you’re thinking about starting (or you already run and manage) your own business, check out the following list of tips to improve your chances of success.","blurb":"","authors":[{"authorId":8975,"name":"Eric Tyson","slug":"eric-tyson","description":" <p><b>Eric Tyson, MBA,</b> has been a personal financial writer, lecturer, and counselor for 25 years. He is the author of the award-winning <i>Personal Finance For Dummies</i> and several other<i>For Dummies</i> bestsellers.</p> <p><b>Jim Schell</b> has successfully launched and operated several small businesses. He has written other books and numerous columns on entrepreneurship.</p>","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/8975"}},{"authorId":10113,"name":"Jim Schell","slug":"jim-schell","description":" <p><b>Eric Tyson, MBA,</b> has been a personal financial writer, lecturer, and counselor for 25 years. He is the author of the award-winning <i>Personal Finance For Dummies</i> and several other<i>For Dummies</i> bestsellers.</p> <p><b>Jim Schell</b> has successfully launched and operated several small businesses. He has written other books and numerous columns on entrepreneurship.</p>","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/10113"}}],"primaryCategoryTaxonomy":{"categoryId":34253,"title":"General Small Business","slug":"general-small-business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34253"}},"secondaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"tertiaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"trendingArticles":[{"articleId":192609,"title":"How to Pray the Rosary: A Comprehensive Guide","slug":"how-to-pray-the-rosary","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/192609"}},{"articleId":208741,"title":"Kabbalah For Dummies Cheat Sheet","slug":"kabbalah-for-dummies-cheat-sheet","categoryList":["body-mind-spirit","religion-spirituality","kabbalah"],"_links":{"self":"/articles/208741"}},{"articleId":230957,"title":"Nikon D3400 For Dummies Cheat Sheet","slug":"nikon-d3400-dummies-cheat-sheet","categoryList":["home-auto-hobbies","photography"],"_links":{"self":"/articles/230957"}},{"articleId":235851,"title":"Praying the Rosary and Meditating on the Mysteries","slug":"praying-rosary-meditating-mysteries","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/235851"}},{"articleId":284787,"title":"What Your Society Says About You","slug":"what-your-society-says-about-you","categoryList":["academics-the-arts","humanities"],"_links":{"self":"/articles/284787"}}],"inThisArticle":[],"relatedArticles":{"fromBook":[{"articleId":185692,"title":"20 Tips for Small-Business Success","slug":"20-tips-for-small-business-success","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/185692"}}],"fromCategory":[{"articleId":299313,"title":"Exploring Side Hustle Opportunities","slug":"exploring-side-hustle-opportunities","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/299313"}},{"articleId":226108,"title":"Packing Power into Advertising Headlines","slug":"packing-power-advertising-headlines","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/226108"}},{"articleId":226105,"title":"How Small Business Marketing Is Different","slug":"small-business-marketing-different","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/226105"}},{"articleId":226102,"title":"Marketing a Start-Up Business","slug":"marketing-start-business","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/226102"}},{"articleId":226099,"title":"The Relationship between Marketing and Sales","slug":"relationship-marketing-sales","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/226099"}}]},"hasRelatedBookFromSearch":false,"relatedBook":{"bookId":282580,"slug":"small-business-for-dummies-5th-edition","isbn":"9781394242764","categoryList":["business-careers-money","business","small-business","general-small-business"],"amazon":{"default":"https://www.amazon.com/gp/product/139424276X/ref=as_li_tl?ie=UTF8&tag=wiley01-20","ca":"https://www.amazon.ca/gp/product/139424276X/ref=as_li_tl?ie=UTF8&tag=wiley01-20","indigo_ca":"http://www.tkqlhce.com/click-9208661-13710633?url=https://www.chapters.indigo.ca/en-ca/books/product/139424276X-item.html&cjsku=978111945484","gb":"https://www.amazon.co.uk/gp/product/139424276X/ref=as_li_tl?ie=UTF8&tag=wiley01-20","de":"https://www.amazon.de/gp/product/139424276X/ref=as_li_tl?ie=UTF8&tag=wiley01-20"},"image":{"src":"https://www.dummies.com/wp-content/uploads/small-busines-for-dummies-cover-9781394242764-203x255.jpg","width":203,"height":255},"title":"Small Business For Dummies","testBankPinActivationLink":"","bookOutOfPrint":true,"authorsInfo":"<p><b><b data-author-id=\"8975\">Eric Tyson</b>, MBA,</b> has been a personal financial writer, lecturer, and counselor for 25 years. He is the author of the award-winning <i>Personal Finance For Dummies</i> and several other<i>For Dummies</i> bestsellers.</p> <p><b>Jim Schell</b> has successfully launched and operated several small businesses. He has written other books and numerous columns on entrepreneurship.</p> <p><b>Eric Tyson, MBA,</b> has been a personal financial writer, lecturer, and counselor for 25 years. He is the author of the award-winning <i>Personal Finance For Dummies</i> and several other<i>For Dummies</i> bestsellers.</p> <p><b><b data-author-id=\"10113\">Jim Schell</b></b> has successfully launched and operated several small businesses. He has written other books and numerous columns on entrepreneurship.</p>","authors":[{"authorId":8975,"name":"Eric Tyson","slug":"eric-tyson","description":" <p><b>Eric Tyson, MBA,</b> has been a personal financial writer, lecturer, and counselor for 25 years. He is the author of the award-winning <i>Personal Finance For Dummies</i> and several other<i>For Dummies</i> bestsellers.</p> <p><b>Jim Schell</b> has successfully launched and operated several small businesses. He has written other books and numerous columns on entrepreneurship.</p>","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/8975"}},{"authorId":10113,"name":"Jim Schell","slug":"jim-schell","description":" <p><b>Eric Tyson, MBA,</b> has been a personal financial writer, lecturer, and counselor for 25 years. He is the author of the award-winning <i>Personal Finance For Dummies</i> and several other<i>For Dummies</i> bestsellers.</p> <p><b>Jim Schell</b> has successfully launched and operated several small businesses. He has written other books and numerous columns on entrepreneurship.</p>","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/10113"}}],"_links":{"self":"https://dummies-api.dummies.com/v2/books/"}},"collections":[],"articleAds":{"footerAd":"<div class=\"du-ad-region row\" id=\"article_page_adhesion_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_adhesion_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;general-small-business&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781394242764&quot;]}]\" id=\"du-slot-66194cb986ea6\"></div></div>","rightAd":"<div class=\"du-ad-region row\" id=\"article_page_right_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_right_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;general-small-business&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781394242764&quot;]}]\" id=\"du-slot-66194cb9874bf\"></div></div>"},"articleType":{"articleType":"Cheat Sheet","articleList":[{"articleId":185692,"title":"20 Tips for Small-Business Success","slug":"20-tips-for-small-business-success","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/185692"}}],"content":[{"title":"20 tips for small business success","thumb":null,"image":null,"content":"<ol class=\"level-one\">\n<li>\n<p class=\"first-para\"><b>Realize that</b> <b>not everyone is cut out to be a small-business owner</b>. Take the time to explore whether you’re compatible with running your own business. Some people are happier (and better off financially) on the other end of a paycheck.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Get your </b><a href=\"https://www.dummies.com/how-to/content/personal-finance-for-dummies-cheat-sheet.html\" target=\"_blank\" rel=\"noopener\"><b>personal finances</b></a><b> in order.</b> Before you jump into the entrepreneurial fray, get your own money matters squared away.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Pick your niche.</b> Take stock of your skills, interests, and employment history to select the business best suited to you. Choosing a niche that you can be passionate about will help improve your chances of succeeding. Remember: Many small-business owners succeed in businesses that are hardly unique or innovative.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Benefit from your business plan.</b> The exercise of creating your business plan pays dividends. Answer the tough questions now, before the meter is running.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Don’t think you need bankers and investors at the outset.</b> The vast majority of small-business start-ups are bootstrapped (self-financed). Consider your own savings, investments, and salable assets and then talk to your friends and family before you look to outside sources.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Know which hats you wear best.</b> In the early months and years of your business, you’ll have to acquire many skills. Gain the background you need to oversee all the facets of your business, but also determine what tasks you should outsource or hire employees to manage.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Remember that</b> <b>nothing happens until a sale is made.</b> How many good products go nowhere because they don’t reach the shelves? Sales are what drive your business. You need a crackerjack marketing plan that details how you intend to package, promote, distribute, price, and sell your product or service.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Pay attention to your customers.</b> After all, you have to see a customer to know one. No matter how busy you are, especially in the early years of your business, be sure to spend at least 25 percent of your time with customers. You can’t make the right business decisions without understanding the customer’s viewpoint.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Solve your customers’ problems.</b> The best way to satisfy your customers is not by selling them products or services but by providing solutions to their problems. Understand the difference and market your products and services accordingly.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Keep in mind that quality takes only moments to lose and years to regain. </b>Quality isn’t a destination but rather a never-ending journey. After you’ve strayed from quality’s path, your journey may be sidetracked forever.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Put profitability first and rewards second.</b> Beware of the small business that treats itself to hefty salaries, high-priced consultants, and waterfalls in the lobby. In small business, profitability must come first. To understand profitability, you must first measure your cash flow and understand your key financial ratios.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Hire superstars.</b> If you intend to create a growing business, your number one duty is to assemble a team of superstar employees in your game-breaker positions. <i>Game-breaker positions</i> are key positions, such as the president/CEO (that’s you), the financial person, the sales manager, the marketing manager, the production manager, the office manager, the purchasing agent, the art director, and so on, that will make or break your company.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Don’t go it alone.</b> Tap into resources, such as small-business peers, mentors, and trade associations, that can help take some of the energy-draining trial and error out of starting and running your business.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Remember that vendors are partners, too.</b> A good vendor is as important to your business as a good customer. Treat your vendors like customers and watch the partnerships grow.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Make use of benefits.</b> The most valuable long-term benefit you can offer yourself and your employees is a retirement savings plan. In addition, find out how to provide insurance and other benefits and reduce your tax bill at the same time.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Pay attention to all small-business-related regulatory issues.</b> Federal, state, and local government agencies require an array of licenses, registrations, and permits. Obey them or face stiff penalties, including possible closure of your business.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Know the tax laws.</b> Invest in understanding tax issues that affect your small business. You can avoid trouble and, at the same time, legally slice thousands of dollars off your tax bill if you know the ins and outs of small-business tax law.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Keep your focus on the people.</b> Whatever happens to a small business happens at the hands of the people who work for it.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Fast, good, or cheap — pick any two.</b> Serious trouble awaits those business owners who attempt to be all things to the marketplace. Focus on what you do best.</p>\n</li>\n<li>\n<p class=\"first-para\"><b>Develop a passion for learning.</b> As your business changes and grows, you need to change and grow along with it — particularly as you transition to manager. The one common denominator you find in all successful business owners is a passion for learning.</p>\n</li>\n</ol>\n"}],"videoInfo":{"videoId":null,"name":null,"accountId":null,"playerId":null,"thumbnailUrl":null,"description":null,"uploadDate":null}},"sponsorship":{"sponsorshipPage":false,"backgroundImage":{"src":null,"width":0,"height":0},"brandingLine":"","brandingLink":"","brandingLogo":{"src":null,"width":0,"height":0},"sponsorAd":"","sponsorEbookTitle":"","sponsorEbookLink":"","sponsorEbookImage":{"src":null,"width":0,"height":0}},"primaryLearningPath":"Advance","lifeExpectancy":"Two years","lifeExpectancySetFrom":"2024-04-12T00:00:00+00:00","dummiesForKids":"no","sponsoredContent":"no","adInfo":"","adPairKey":[]},"status":"publish","visibility":"public","articleId":208484},{"headers":{"creationTime":"2024-04-12T12:29:14+00:00","modifiedTime":"2024-04-12T14:06:49+00:00","timestamp":"2024-04-12T15:01:12+00:00"},"data":{"breadcrumbs":[{"name":"Business, Careers, & Money","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34224"},"slug":"business-careers-money","categoryId":34224},{"name":"Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34225"},"slug":"business","categoryId":34225},{"name":"Small Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34251"},"slug":"small-business","categoryId":34251},{"name":"Start-Ups","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34252"},"slug":"start-ups","categoryId":34252}],"title":"Funding a New Business Cheat Sheet","strippedTitle":"funding a new business cheat sheet","slug":"funding-a-new-business-cheat-sheet","canonicalUrl":"","seo":{"metaDescription":"Get a handle on the confusing world of financing with our Funding a New Business Cheat Sheet. Sound like a pro in no time with our comprehensive list!","noIndex":0,"noFollow":0},"content":"Entering the financing world can be a confusing place at first. One way to get a handle on it all is to master the common financing and investing terms. It always helps to know what everyone is talking about!","description":"Entering the financing world can be a confusing place at first. One way to get a handle on it all is to master the common financing and investing terms. It always helps to know what everyone is talking about!","blurb":"","authors":[{"authorId":35391,"name":"Marc R. Butler","slug":"marc-r-butler","description":" <p> <b>Marc R. Butler</b> is a highly experienced financial services executive who currently works as an advisor and consultant in the financial services world, with a focus on wealth management, organizational operation, and startup success. <b>Eric Butow</b> is the owner of Butow Communications Group in Jackson, California, and is the coauthor of <i>Instagram for Business For Dummies </i>and <i>Digital Etiquette For Dummies</i>. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/35391"}},{"authorId":10889,"name":"Eric Butow","slug":"eric-butow","description":" <p> <b>Marc R. Butler</b> is a highly experienced financial services executive who currently works as an advisor and consultant in the financial services world, with a focus on wealth management, organizational operation, and startup success. <b>Eric Butow</b> is the owner of Butow Communications Group in Jackson, California, and is the coauthor of <i>Instagram for Business For Dummies </i>and <i>Digital Etiquette For Dummies</i>. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/10889"}}],"primaryCategoryTaxonomy":{"categoryId":34252,"title":"Start-Ups","slug":"start-ups","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34252"}},"secondaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"tertiaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"trendingArticles":[{"articleId":192609,"title":"How to Pray the Rosary: A Comprehensive Guide","slug":"how-to-pray-the-rosary","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/192609"}},{"articleId":208741,"title":"Kabbalah For Dummies Cheat Sheet","slug":"kabbalah-for-dummies-cheat-sheet","categoryList":["body-mind-spirit","religion-spirituality","kabbalah"],"_links":{"self":"/articles/208741"}},{"articleId":230957,"title":"Nikon D3400 For Dummies Cheat Sheet","slug":"nikon-d3400-dummies-cheat-sheet","categoryList":["home-auto-hobbies","photography"],"_links":{"self":"/articles/230957"}},{"articleId":235851,"title":"Praying the Rosary and Meditating on the Mysteries","slug":"praying-rosary-meditating-mysteries","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/235851"}},{"articleId":284787,"title":"What Your Society Says About You","slug":"what-your-society-says-about-you","categoryList":["academics-the-arts","humanities"],"_links":{"self":"/articles/284787"}}],"inThisArticle":[],"relatedArticles":{"fromBook":[],"fromCategory":[{"articleId":299799,"title":"How to Do Taxes for Side Hustles","slug":"how-to-deal-with-your-side-hustle-income-taxes","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/299799"}},{"articleId":299705,"title":"How to Develop a Side Hustle Business Plan","slug":"how-to-develop-a-side-hustle-business-plan","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/299705"}},{"articleId":297984,"title":"Starting & Running a Business All-in-One For Dummies Cheat Sheet (UK Edition)","slug":"starting-and-running-a-business-all-in-one-for-dummies-cheat-sheet-uk-edition","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/297984"}},{"articleId":291541,"title":"Side Hustles For Dummies Cheat Sheet","slug":"side-hustles-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/291541"}},{"articleId":289724,"title":"Launching and Building a Brand For Dummies Cheat Sheet","slug":"launching-and-building-a-brand-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/289724"}}]},"hasRelatedBookFromSearch":false,"relatedBook":{"bookId":301684,"slug":"funding-a-new-business-for-dummies","isbn":"9781394241712","categoryList":["business-careers-money","business","small-business","start-ups"],"amazon":{"default":"https://www.amazon.com/gp/product/1394241712/ref=as_li_tl?ie=UTF8&tag=wiley01-20","ca":"https://www.amazon.ca/gp/product/1394241712/ref=as_li_tl?ie=UTF8&tag=wiley01-20","indigo_ca":"http://www.tkqlhce.com/click-9208661-13710633?url=https://www.chapters.indigo.ca/en-ca/books/product/1394241712-item.html&cjsku=978111945484","gb":"https://www.amazon.co.uk/gp/product/1394241712/ref=as_li_tl?ie=UTF8&tag=wiley01-20","de":"https://www.amazon.de/gp/product/1394241712/ref=as_li_tl?ie=UTF8&tag=wiley01-20"},"image":{"src":"https://www.dummies.com/wp-content/uploads/funding-a-new-business-for-dummies-cover-9781394241712-203x255.jpg","width":203,"height":255},"title":"Funding a New Business For Dummies","testBankPinActivationLink":"","bookOutOfPrint":true,"authorsInfo":"<p><p> <b><b data-author-id=\"35391\">Marc R. Butler</b></b> is a highly experienced financial services executive who currently works as an advisor and consultant in the financial services world, with a focus on wealth management, organizational operation, and startup success. <b>Eric Butow</b> is the owner of Butow Communications Group in Jackson, California, and is the coauthor of <i>Instagram for Business For Dummies </i>and <i>Digital Etiquette For Dummies</i>. <p> <b>Marc R. Butler</b> is a highly experienced financial services executive who currently works as an advisor and consultant in the financial services world, with a focus on wealth management, organizational operation, and startup success. <b><b data-author-id=\"10889\">Eric Butow</b></b> is the owner of Butow Communications Group in Jackson, California, and is the coauthor of <i>Instagram for Business For Dummies </i>and <i>Digital Etiquette For Dummies</i>.</p>","authors":[{"authorId":35391,"name":"Marc R. Butler","slug":"marc-r-butler","description":" <p> <b>Marc R. Butler</b> is a highly experienced financial services executive who currently works as an advisor and consultant in the financial services world, with a focus on wealth management, organizational operation, and startup success. <b>Eric Butow</b> is the owner of Butow Communications Group in Jackson, California, and is the coauthor of <i>Instagram for Business For Dummies </i>and <i>Digital Etiquette For Dummies</i>. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/35391"}},{"authorId":10889,"name":"Eric Butow","slug":"eric-butow","description":" <p> <b>Marc R. Butler</b> is a highly experienced financial services executive who currently works as an advisor and consultant in the financial services world, with a focus on wealth management, organizational operation, and startup success. <b>Eric Butow</b> is the owner of Butow Communications Group in Jackson, California, and is the coauthor of <i>Instagram for Business For Dummies </i>and <i>Digital Etiquette For Dummies</i>. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/10889"}}],"_links":{"self":"https://dummies-api.dummies.com/v2/books/"}},"collections":[],"articleAds":{"footerAd":"<div class=\"du-ad-region row\" id=\"article_page_adhesion_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_adhesion_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;start-ups&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781394241712&quot;]}]\" id=\"du-slot-66194cb8e7fd1\"></div></div>","rightAd":"<div class=\"du-ad-region row\" id=\"article_page_right_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_right_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;start-ups&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781394241712&quot;]}]\" id=\"du-slot-66194cb8e85b3\"></div></div>"},"articleType":{"articleType":"Cheat Sheet","articleList":[{"articleId":0,"title":"","slug":null,"categoryList":[],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/"}}],"content":[{"title":"Funding a new business: glossary of terms","thumb":null,"image":null,"content":"<p>This list of common financing and investing terms will have you sounding like a pro to your company team and prospective investors in no time!</p>\n<ul>\n<li><strong>Accelerator</strong>: A program designed to help startups grow by providing funding, mentorship, resources, and access to a network of investors in a structured and time-limited environment.</li>\n<li><strong>Acquisition</strong>: When one company purchases another company, often to gain access to its technology, customer base, or market share.</li>\n<li><strong>Angel investor</strong>: An affluent individual who provides capital to startups or early-stage companies in exchange for equity ownership. They often offer mentorship and expertise.</li>\n<li><strong>Balance sheet</strong>: A balance sheet is a financial statement that provides a snapshot of a company’s financial position at a specific point in time. It lists assets, liabilities, and shareholders’ equity.</li>\n<li><strong>Bootstrapping</strong>: A method of financing a startup or business by using personal savings, revenue generated by the business, and minimal external capital. It allows founders to maintain control and ownership.</li>\n<li><strong>Budgeting</strong>: The process of creating a financial plan that outlines expected revenues and expenses over a specific period. It helps in managing resources and making informed financial decisions.</li>\n<li><strong>Burn rate</strong>: The rate at which a startup or company spends its available capital. It indicates how long a company can operate before running out of funds.</li>\n<li><strong>Cash flow</strong>: Represents the movement of cash in and out of a business. Positive cash flow indicates that a business is generating more cash than it is spending, while negative cash flow suggests the opposite.</li>\n<li><strong>Cash flow statement</strong>: Details the cash inflows and outflows of a business during a specified period. It helps assess a company’s ability to generate cash and manage liquidity.</li>\n<li><strong>Convertible note</strong>: A debt instrument that can convert into equity in the company at a future date or under specific conditions, often used in early-stage investments.</li>\n<li><strong>Corporate venture capital (CVC)</strong>: Involves established corporations investing in startups that align with their industry or strategic objectives.</li>\n<li><strong>Crowdfunding</strong>: A method of raising capital from many individuals, typically through online platforms. It can take various forms, such as rewards-based, equity-based, or donation-based crowdfunding.</li>\n<li><strong>Debt financing</strong>: Borrowing funds from lenders, such as banks or investors, with the agreement to repay the borrowed amount along with interest over time.</li>\n<li><strong>Donation-based crowdfunding</strong>: A fundraising method where backers contribute to support charitable causes, projects, or personal needs without expecting financial returns.</li>\n<li><strong>Due diligence</strong>: The process of thoroughly researching and assessing a startup or investment opportunity to evaluate its viability, risks, and potential returns.</li>\n<li><strong>Elevator pitch</strong>: A concise and compelling presentation of a startup’s value proposition, typically delivered in the time it takes to ride an elevator.</li>\n<li><strong>Equity</strong>: Represents ownership in a company. It is often distributed to investors in exchange for their capital and can take the form of shares or ownership stakes.</li>\n<li><strong>Equity crowdfunding</strong>: Allows startups to raise capital by offering equity or ownership shares to a large number of investors through online platforms.</li>\n<li><strong>Exit strategy</strong>: A plan outlining how founders and investors intend to exit or cash out their investments in a startup, which may include options like acquisition, IPO, or merger.</li>\n<li><strong>Financial controls</strong>: Policies, procedures, and practices implemented by a business to manage its financial resources, minimize risks, and ensure accurate financial reporting.</li>\n<li><strong>Initial public offering (IPO)</strong>: The process by which a private company becomes publicly traded by offering shares to the public on a stock exchange for the first time.</li>\n<li><strong>Incubator</strong>: A program or organization that supports early-stage startups by offering resources, office space, mentorship, and sometimes funding, typically in a more open-ended timeframe than accelerators.</li>\n<li><strong>Investor pitch</strong>: A presentation given by startup founders to potential investors, outlining their business model, market opportunity, and financial projections to secure funding.</li>\n<li><strong>IP (intellectual property)</strong>: Refers to legal rights associated with creations of the mind, including patents, trademarks, copyrights, and trade secrets, which can be valuable assets for startups.</li>\n<li><strong>KISS (keep it simple security)</strong>: Another type of financial instrument used in equity crowdfunding, offering a straightforward agreement for investors to receive equity.</li>\n<li><strong>Liquidation preference</strong>: A term in investment agreements that specifies the order in which investors receive proceeds from a startup’s liquidation or exit event.</li>\n<li><strong>Private equity</strong>: Refers to investments made in private companies by private equity firms or investors. It often involves acquiring a significant ownership stake in the company.</li>\n<li><strong>Pro forma financials</strong>: Projected financial statements that estimate a company’s future financial performance. They are often used for forecasting and planning purposes.</li>\n<li><strong>Profit and loss statement (P&amp;L)</strong>: Shows a company’s revenues, expenses, and profits (or losses) over a specific period. It provides insights into a company’s financial performance. Also known as an income statement.</li>\n<li><strong>Real estate crowdfunding</strong>: Involves raising capital from multiple investors to fund real estate projects, providing them with an opportunity to invest in real estate without owning physical property.</li>\n<li><strong>Regulation crowdfunding (Reg CF)</strong>: A set of rules that govern equity crowdfunding offerings in the United States, allowing startups to raise funds from a wide range of investors.</li>\n<li><strong>Revenue</strong>: The income generated by a business through its primary operations, such as selling products or services.</li>\n<li><strong>Revenue-based financing</strong>: A funding model where a startup receives capital in exchange for a percentage of its future revenue until a predefined return is reached.</li>\n<li><strong>ROI (return on investment</strong>): A financial metric that measures the profitability of an investment by comparing the gain or loss relative to the cost of the investment.</li>\n<li><strong>ROI calculator</strong>: A tool used to assess the potential return on investment (ROI) for a specific project, initiative, or business decision.</li>\n<li><strong>Runway</strong>: The amount of time a startup can operate before exhausting its available capital, based on its current burn rate and available funds.</li>\n<li><strong>SaaS (software as a service)</strong>: A software distribution model where software applications are hosted by a third-party provider and made available to customers over the internet on a subscription basis.</li>\n<li><strong>SAFE (simple agreement for future equity)</strong>: A type of financial instrument used in equity crowdfunding that provides investors with the promise of future equity in the company once specific conditions are met.</li>\n<li><strong>Scale</strong>: Refers to the process of growing a business by increasing its size, market reach, and operations to achieve greater profitability.</li>\n<li><strong>Seed funding</strong>: The initial capital raised by a startup to support product development, market research, and other early-stage activities.</li>\n<li><strong>Strategic partnership</strong>: A collaboration between two or more companies to achieve mutually beneficial goals, such as accessing new markets, technologies, or resources.</li>\n<li><strong>Valuation</strong>: The process of determining the financial worth or value of a startup or company. It often plays a crucial role in investment negotiations.</li>\n<li><strong>Venture capital</strong>: Refers to funds provided by venture capital firms to startups and small businesses with high growth potential. In return, they receive equity in the company.</li>\n<li><strong>Working capital</strong>: The capital available to a business for its day-to-day operations. It is calculated as current assets minus current liabilities and is crucial for maintaining liquidity.</li>\n</ul>\n"}],"videoInfo":{"videoId":null,"name":null,"accountId":null,"playerId":null,"thumbnailUrl":null,"description":null,"uploadDate":null}},"sponsorship":{"sponsorshipPage":false,"backgroundImage":{"src":null,"width":0,"height":0},"brandingLine":"","brandingLink":"","brandingLogo":{"src":null,"width":0,"height":0},"sponsorAd":"","sponsorEbookTitle":"","sponsorEbookLink":"","sponsorEbookImage":{"src":null,"width":0,"height":0}},"primaryLearningPath":"Advance","lifeExpectancy":"Two years","lifeExpectancySetFrom":"2024-04-12T00:00:00+00:00","dummiesForKids":"no","sponsoredContent":"no","adInfo":"","adPairKey":[]},"status":"publish","visibility":"public","articleId":301765},{"headers":{"creationTime":"2016-03-26T14:49:41+00:00","modifiedTime":"2023-08-15T17:51:49+00:00","timestamp":"2023-08-15T18:01:02+00:00"},"data":{"breadcrumbs":[{"name":"Business, Careers, & Money","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34224"},"slug":"business-careers-money","categoryId":34224},{"name":"Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34225"},"slug":"business","categoryId":34225},{"name":"Small Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34251"},"slug":"small-business","categoryId":34251},{"name":"General Small Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34253"},"slug":"general-small-business","categoryId":34253}],"title":"Five Free, Valuable Online Tools for Managing Your Business","strippedTitle":"five free, valuable online tools for managing your business","slug":"tapping-into-five-free-valuable-online-tools-for-managing-your-business","canonicalUrl":"","seo":{"metaDescription":"No matter whether you’re just starting your own micro-business or you’ve been working for several years, you want everything to run smoothly and cost effectivel","noIndex":0,"noFollow":0},"content":"No matter whether you’re just starting your own micro-business or you’ve been working for several years, you want everything to run smoothly and cost effectively. As a micro-entrepreneur, your focus is to meet your target market’s needs while staying ahead of your competition. These free resources can help you.\r\n<ul class=\"level-one\">\r\n \t<li>\r\n<p class=\"first-para\"><b>Get a free email account for business use.</b> Email is indispensable for communication, marketing, and other pursuits. You can get free email at <a href=\"http://www.gmail.com\">Gmail</a> or <a href=\"http://yahoo.com\">Yahoo</a>, and other providers.</p>\r\n</li>\r\n \t<li>\r\n<p class=\"first-para\"><b>Try </b><a href=\"http://www.openoffice.org\"><b>Open Office Software Suite</b></a><b>.</b> This powerful suite of business productivity tools includes word processing, spreadsheet, presentation software, and other software programs. The software is free and regularly upgraded and refined by open source software developers.</p>\r\n</li>\r\n \t<li>\r\n<p class=\"first-para\"><b>Network with </b><a href=\"http://www.linkedin.com\"><b>LinkedIn</b></a><b>. </b>On this site, you can network with other businesses and professionals. You can make lots of valuable contacts, find prospects, and get answers to many of your questions from other professionals and specialists.</p>\r\n</li>\r\n \t<li>\r\n<p class=\"first-para\"><b>Market through e-mail.</b> <a href=\"http://www.mailchimp.com\">Mailchimp</a> is a free email service to do e-mail distribution and marketing. You can send an email blast for up to 2,000 addresses on your list at no cost, which is perfect for businesses just starting out and needing a good way to manage a list of prospects and customers.</p>\r\n</li>\r\n \t<li>\r\n<p class=\"first-para\"><b>Use </b><a href=\"http://www.youtube.com\"><b>YouTube</b></a><b>. </b>This popular video platform gives you the ability not only to gain information and news (including lots of free how-to videos on a variety of business topics), but you have the ability to create your own videos (ranging from providing content to doing sales and marketing presentations) at no cost.</p>\r\n</li>\r\n</ul>","description":"No matter whether you’re just starting your own micro-business or you’ve been working for several years, you want everything to run smoothly and cost effectively. As a micro-entrepreneur, your focus is to meet your target market’s needs while staying ahead of your competition. These free resources can help you.\r\n<ul class=\"level-one\">\r\n \t<li>\r\n<p class=\"first-para\"><b>Get a free email account for business use.</b> Email is indispensable for communication, marketing, and other pursuits. You can get free email at <a href=\"http://www.gmail.com\">Gmail</a> or <a href=\"http://yahoo.com\">Yahoo</a>, and other providers.</p>\r\n</li>\r\n \t<li>\r\n<p class=\"first-para\"><b>Try </b><a href=\"http://www.openoffice.org\"><b>Open Office Software Suite</b></a><b>.</b> This powerful suite of business productivity tools includes word processing, spreadsheet, presentation software, and other software programs. The software is free and regularly upgraded and refined by open source software developers.</p>\r\n</li>\r\n \t<li>\r\n<p class=\"first-para\"><b>Network with </b><a href=\"http://www.linkedin.com\"><b>LinkedIn</b></a><b>. </b>On this site, you can network with other businesses and professionals. You can make lots of valuable contacts, find prospects, and get answers to many of your questions from other professionals and specialists.</p>\r\n</li>\r\n \t<li>\r\n<p class=\"first-para\"><b>Market through e-mail.</b> <a href=\"http://www.mailchimp.com\">Mailchimp</a> is a free email service to do e-mail distribution and marketing. You can send an email blast for up to 2,000 addresses on your list at no cost, which is perfect for businesses just starting out and needing a good way to manage a list of prospects and customers.</p>\r\n</li>\r\n \t<li>\r\n<p class=\"first-para\"><b>Use </b><a href=\"http://www.youtube.com\"><b>YouTube</b></a><b>. </b>This popular video platform gives you the ability not only to gain information and news (including lots of free how-to videos on a variety of business topics), but you have the ability to create your own videos (ranging from providing content to doing sales and marketing presentations) at no cost.</p>\r\n</li>\r\n</ul>","blurb":"","authors":[{"authorId":9001,"name":"Paul Mladjenovic","slug":"paul-mladjenovic","description":" <p><b>Paul Mladjenovic, CFP,</b> has written four editions of <i>Stock Investing For Dummies</i> and has taught would&#45;be investors about stock investing since 1983. As a certified financial planner, he personally coaches his clients on stock investing strategies. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9001"}}],"primaryCategoryTaxonomy":{"categoryId":34253,"title":"General Small Business","slug":"general-small-business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34253"}},"secondaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"tertiaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"trendingArticles":[{"articleId":192609,"title":"How to Pray the Rosary: A Comprehensive Guide","slug":"how-to-pray-the-rosary","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/192609"}},{"articleId":208741,"title":"Kabbalah For Dummies Cheat Sheet","slug":"kabbalah-for-dummies-cheat-sheet","categoryList":["body-mind-spirit","religion-spirituality","kabbalah"],"_links":{"self":"/articles/208741"}},{"articleId":230957,"title":"Nikon D3400 For Dummies Cheat Sheet","slug":"nikon-d3400-dummies-cheat-sheet","categoryList":["home-auto-hobbies","photography"],"_links":{"self":"/articles/230957"}},{"articleId":235851,"title":"Praying the Rosary and Meditating on the Mysteries","slug":"praying-rosary-meditating-mysteries","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/235851"}},{"articleId":284787,"title":"What Your Society Says About You","slug":"what-your-society-says-about-you","categoryList":["academics-the-arts","humanities"],"_links":{"self":"/articles/284787"}}],"inThisArticle":[],"relatedArticles":{"fromBook":[{"articleId":207953,"title":"Micro-Entrepreneurship For Dummies Cheat Sheet","slug":"micro-entrepreneurship-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/207953"}},{"articleId":168496,"title":"Ten Simple Marketing Strategies for Micro-Entrepreneurs","slug":"ten-simple-marketing-strategies-for-micro-entrepreneurs","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/168496"}},{"articleId":165559,"title":"Five Easy Ways to Have an Internet Presence without a Website","slug":"five-easy-ways-to-have-an-internet-presence-without-a-website","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/165559"}},{"articleId":165558,"title":"Six Easy Ways to Help You Make Money Fast","slug":"six-easy-ways-to-help-you-make-money-fast","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/165558"}},{"articleId":165556,"title":"What You Need to Know before Launching Your Micro-Business","slug":"what-you-need-to-know-before-launching-your-micro-business","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/165556"}}],"fromCategory":[{"articleId":299313,"title":"Exploring Side Hustle Opportunities","slug":"exploring-side-hustle-opportunities","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/299313"}},{"articleId":226108,"title":"Packing Power into Advertising Headlines","slug":"packing-power-advertising-headlines","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/226108"}},{"articleId":226105,"title":"How Small Business Marketing Is Different","slug":"small-business-marketing-different","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/226105"}},{"articleId":226102,"title":"Marketing a Start-Up Business","slug":"marketing-start-business","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/226102"}},{"articleId":226099,"title":"The Relationship between Marketing and Sales","slug":"relationship-marketing-sales","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/226099"}}]},"hasRelatedBookFromSearch":false,"relatedBook":{"bookId":282400,"slug":"micro-entrepreneurship-for-dummies","isbn":"9781118521687","categoryList":["business-careers-money","business","small-business","general-small-business"],"amazon":{"default":"https://www.amazon.com/gp/product/1118521684/ref=as_li_tl?ie=UTF8&tag=wiley01-20","ca":"https://www.amazon.ca/gp/product/1118521684/ref=as_li_tl?ie=UTF8&tag=wiley01-20","indigo_ca":"http://www.tkqlhce.com/click-9208661-13710633?url=https://www.chapters.indigo.ca/en-ca/books/product/1118521684-item.html&cjsku=978111945484","gb":"https://www.amazon.co.uk/gp/product/1118521684/ref=as_li_tl?ie=UTF8&tag=wiley01-20","de":"https://www.amazon.de/gp/product/1118521684/ref=as_li_tl?ie=UTF8&tag=wiley01-20"},"image":{"src":"https://www.dummies.com/wp-content/uploads/micro-entrepreneurship-for-dummies-cover-9781118521687-203x255.jpg","width":203,"height":255},"title":"Micro-Entrepreneurship For Dummies","testBankPinActivationLink":"","bookOutOfPrint":false,"authorsInfo":"<p><b data-author-id=\"9001\">Paul Mladjenovic</b> is a certified financial planner, micro-entrepreneur, and home business educator with more than 25 years' experience writing and teaching about financial and business start-up topics. He owns RavingCapitalist.com and is also the author of <i>Stock Investing For Dummies</i>. </p>","authors":[{"authorId":9001,"name":"Paul Mladjenovic","slug":"paul-mladjenovic","description":" <p><b>Paul Mladjenovic, CFP,</b> has written four editions of <i>Stock Investing For Dummies</i> and has taught would&#45;be investors about stock investing since 1983. As a certified financial planner, he personally coaches his clients on stock investing strategies. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9001"}}],"_links":{"self":"https://dummies-api.dummies.com/v2/books/"}},"collections":[],"articleAds":{"footerAd":"<div class=\"du-ad-region row\" id=\"article_page_adhesion_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_adhesion_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;general-small-business&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781118521687&quot;]}]\" id=\"du-slot-64dbbd5ebbce7\"></div></div>","rightAd":"<div class=\"du-ad-region row\" id=\"article_page_right_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_right_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;general-small-business&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781118521687&quot;]}]\" id=\"du-slot-64dbbd5ebc9fe\"></div></div>"},"articleType":{"articleType":"Articles","articleList":null,"content":null,"videoInfo":{"videoId":null,"name":null,"accountId":null,"playerId":null,"thumbnailUrl":null,"description":null,"uploadDate":null}},"sponsorship":{"sponsorshipPage":false,"backgroundImage":{"src":null,"width":0,"height":0},"brandingLine":"","brandingLink":"","brandingLogo":{"src":null,"width":0,"height":0},"sponsorAd":"","sponsorEbookTitle":"","sponsorEbookLink":"","sponsorEbookImage":{"src":null,"width":0,"height":0}},"primaryLearningPath":"Advance","lifeExpectancy":"Two years","lifeExpectancySetFrom":"2022-07-19T00:00:00+00:00","dummiesForKids":"no","sponsoredContent":"no","adInfo":"","adPairKey":[]},"status":"publish","visibility":"public","articleId":165557},{"headers":{"creationTime":"2023-07-11T18:25:27+00:00","modifiedTime":"2023-08-03T16:32:16+00:00","timestamp":"2023-08-03T18:01:03+00:00"},"data":{"breadcrumbs":[{"name":"Business, Careers, & Money","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34224"},"slug":"business-careers-money","categoryId":34224},{"name":"Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34225"},"slug":"business","categoryId":34225},{"name":"Small Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34251"},"slug":"small-business","categoryId":34251},{"name":"Start-Ups","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34252"},"slug":"start-ups","categoryId":34252}],"title":"How to Develop a Side Hustle Business Plan","strippedTitle":"how to develop a side hustle business plan","slug":"how-to-develop-a-side-hustle-business-plan","canonicalUrl":"","seo":{"metaDescription":"Once you've brainstormed the side hustle you'd like to pursue, it's time to create a business plan to help guide you forward.","noIndex":0,"noFollow":0},"content":"Tens of millions of people in the United States, and hundreds of millions of people around the world, supplement their primary jobs with some type of business activities on the side. These people all spend at least some of their professional lives embracing the idea of <a href=\"https://www.dummies.com/article/business-careers-money/business/small-business/start-ups/side-hustles-for-dummies-cheat-sheet-291541/\" target=\"_blank\" rel=\"noopener\">side hustles</a>.\r\n\r\n[caption id=\"attachment_299712\" align=\"alignnone\" width=\"630\"]<img class=\"size-full wp-image-299712\" src=\"https://www.dummies.com/wp-content/uploads/selling-pottery-online-side-hustle-adobeStock_464142145.jpg\" alt=\"\" width=\"630\" height=\"420\" /> ©Pressmaker / Adobe Stock[/caption]\r\n\r\nIf you've decided to join the side-hustle world, and you've <a href=\"https://www.dummies.com/article/business-careers-money/business/small-business/general-small-business/exploring-side-hustle-opportunities-299313/\" target=\"_blank\" rel=\"noopener\">brainstormed your side hustle idea</a>, you'll want to start pulling together a business plan.\r\n<p class=\"article-tips tip\">For help with exploring side-hustle ideas, brainstorming, and the planning steps that lead to this business plan phase, check out my book <a href=\"https://www.dummies.com/book/business-careers-money/business/small-business/general-small-business/side-hustles-for-dummies-291196/\" target=\"_blank\" rel=\"noopener\"><em>Side Hustles For Dummies</em></a>.</p>\r\nIf you’ve ever done a jigsaw puzzle, you know that you typically start with a little portion of the overall puzzle in, say, the top left corner. Then maybe you shift to working on the bottom right side; then move to somewhere in the middle; and so on. That's sort of how you put a business plan together — a document that eventually shows the whole picture.\r\n\r\nWhen it comes to business plans, you have a little bit of a challenge on your hands: If you put 10 people in a room, you’ll get 20 opinions about what a business plan should look like!\r\n\r\nYou’ve probably come across this same problem when you worked on your résumé, with one person telling you to structure your résumé one way, and another person indignantly disagreeing and insisting that you write your résumé a totally different way!\r\n\r\nI have some good news for you when it comes to trying to make sense out of all the different guidance you’ll find for how to write a business plan: For a side hustle, you have a lot more leeway in the order of topics that you cover — and even what you do and don’t include — than if, say, you’re putting together a business plan in search of a large bank loan or millions of dollars of venture capital investment.\r\n\r\nMaybe, someday, if your side hustle really hits its stride and starts growing toward your ideal scenario, you’ll have to worry about making sure that your business plan matches the structure that a bank or private equity firm, or some venture capital company, insists on seeing. For now, though, think in terms of pitching your side hustle to yourself — an audience of one. Are you painting a cohesive and compelling picture of how to get your side hustle going?\r\n\r\nIf your side hustle is a gig-economy job, such as delivery services or ridesharing, you can probably skip over the whole business-plan stuff. However, if your gig services are along the lines of pet-sitting or bartending or doing handyman work — basically, if you’re setting up a small-business structure even though you plan to land gigs from side hustle–oriented platforms — you should at least jot down bullet points for most of the business plan sections.\r\n\r\nYour side hustle business plan should include the following sections.\r\n<h2 id=\"tab1\" >A short overview and a really short elevator pitch</h2>\r\nIf you're in the business plan phase of your side-hustle planning, you should be able to clearly articulate exactly what your side hustle is going to be, so write it down! In fact, write it down twice!\r\n\r\nStart off your business plan with both:\r\n<ul>\r\n \t<li>A one-paragraph (two paragraphs at most) highly summarized version of <em>every</em> key aspect of your side hustle</li>\r\n \t<li>A single-sentence elevator pitch that summarizes your summarized version (got that?) even more!</li>\r\n</ul>\r\n<p class=\"article-tips tip\">Having an <em>elevator pitch</em> means being able to describe an idea so persuasively in about the duration of the typical elevator ride that the person to whom you’re talking is crystal clear about the most critical or unique aspects of your concept.</p>\r\nAs an example, one side-hustle starter's — let's call her Sarah — business plan starts with:\r\n\r\n\"I will design, craft, and sell custom-made jewelry. I will build a Shopify site that I will promote using online marketing and advertising techniques, such as Facebook and Instagram ads, Google Ads, and short demonstration videos on YouTube and TikTok, that will link to my site. I will run the business out of my house. I’ve lined up primary and backup suppliers for all materials and tools.\"\r\n\r\nThen Sarah adds her elevator pitch:\r\n\r\n\"I will sell custom-made jewelry from my Shopify site that I will promote through a variety of online ads.\"\r\n\r\nAs Sarah works her way through the rest of her business plan, she can refer back to this section and adjust the wording as necessary. For now, though, she has placed a stake into the fertile side-hustle soil and is ready to start planting.\r\n<h2 id=\"tab2\" >Your time commitment</h2>\r\nYour business plan is for a side hustle, so you need to be crystal clear with yourself about exactly how much time you plan to spend on your venture. Plus, if you have specific time constraints, like “only evenings after work,” or “only on weekends,” or “only on Wednesday evening and all day Saturday,” you need to acknowledge these constraints and write them down.\r\n<p class=\"article-tips remember\">As you go through the rest of your business plan, you now have an “official statement” that describes your available time that you can use as a sanity check for your side hustle’s details.</p>\r\nFor example, suppose you plan to do software development on the side. However, because of extra hours you need to work at your full-time job, you only have about 15 hours a week available for your side hustle.\r\n\r\nYou can certainly take on a little bit of software development here and there, but you’ll need to focus on shorter-duration tasks, such as building template-based websites or doing some light software configuration rather than heavy-duty application development.\r\n\r\nIf you don’t have a full-time job and, instead, have a portfolio of several different side hustles, documenting your available time is still important to help make sure that your side hustles don’t clash because of conflicting demands for your time.\r\n<h2 id=\"tab3\" >Your schedule and major milestones</h2>\r\nWhatever your side hustle is, you have an idea of what you'd like it to be in the future. Maybe your longer-term plan is built around expanding your business, or maybe you have no intentions of growing your business at all, and you just intend to get a little business up and running and keep it going.\r\n\r\nThink about what your side hustle will look like in time increments that make sense for you — three or six months from today, in a year, three years, etc. Regardless of your expectations and the timeline for those, document it all in your business plan, along with key milestones and decision points along that timeline.\r\n<h2 id=\"tab4\" >Key players in your side hustle</h2>\r\nYour business plan also should include the other people and companies you'll need to connect with. If you plan to make and sell clothing, who will be your wholesale suppliers? Who will be your key points of contact — the actual people — at each one of those wholesalers?\r\n\r\nAs another example, if your side hustle will be buying and selling baseball cards and other sports collectibles, will you do this via eBay, or other auction houses? Revisiting our jewelry maker, Sarah, who will be her suppliers of metals and tools?\r\n\r\nNo matter what your side hustle is, and even if you’re going solo, you’ll almost certainly be involved with other people and companies at some point. Write all of these details down in your business plan, including any designated backup companies or services that you may switch to at some point.\r\n<h2 id=\"tab5\" >Your customers</h2>\r\nYou need to identify who will comprise your <em>target market</em> (the people to whom you’ll try to sell your products or watch your videos or take your course, or for whom you’ll provide weekend landscaping or bartending services, or whatever your side hustle is).\r\n\r\nSometimes, your target market can (and should) be as broad as possible. After all, if you have a potential customer out there somewhere in the world, why not try to attract that person to your business? For example, you might be selling clothing and accessories online to “the world at large” — basically, anybody who wants to place an order on your website for a blouse or leisurewear or a necklace can do so. You might get to know some of your regular customers, but for the most part these customers will be anonymous to you.\r\n\r\nIn other situations, you should narrow your target market to better focus on catching the attention of a person or another business even more likely to be in your side hustle “sweet spot.”\r\n\r\nFor example, Sarah’s customer base will be broad, at least initially. At some point down the road, Sarah may wholesale her jewelry to other online and in-person retailers for them to retail. At that point, she needs to go back and adjust her business plan to more precisely target certain customers — maybe not specific names of people and businesses, but at least descriptions of the types of retailers to which she’ll sell her jewelry.\r\n<h2 id=\"tab6\" >Startup money, budget, and financial projections</h2>\r\nThis part of your business plan includes how much startup capital you’ll need, how to budget, how to forecast sales and expenses, and more. Your business plan needs to include the key aspects of the financial side of your side hustle. (How to figure out all of these things is my book <a href=\"https://www.dummies.com/article/business-careers-money/business/small-business/start-ups/side-hustles-for-dummies-cheat-sheet-291541/\" target=\"_blank\" rel=\"noopener\"><em>Side Hustles For Dummies</em></a>.)\r\n\r\nPretend that you’re pitching your side hustle to an investor, and you also happen to be that investor. Convince yourself that you have all your financial ducks in a row.\r\n<h2 id=\"tab7\" >How you’ll operate</h2>\r\nThis part of your business plan should include the business processes through which you’ll operate your side hustle. And you should add as much detail as possible. For example, Sarah’s side hustle has nine internal processes: buying materials and tools, deciding on her product list, building her website and storefront, and so on. She needs to take each of those processes and break them down into the underlying steps that she’ll do. She can simply list the steps as bullet points or a numbered list.\r\n<h2 id=\"tab8\" >Risks and mitigation</h2>\r\nIt's important to consider the risks involved in your side hustle idea, and how you could mitigate those risks. List how you intend to counteract and neutralize the risk. As you’ve been working through your business plan, you may have come across a new risk or two, or come up with a new mitigation strategy for a risk that you’ve already documented. So, spend a little bit of time and take a fresh look at your list, and make any necessary updates.\r\n<p class=\"article-tips tip\">You can check out <a href=\"https://www.dummies.com/book/business-careers-money/business/small-business/start-ups/business-plans-for-dummies-282038/\" target=\"_blank\" rel=\"noopener\"><i>Business Plans For Dummies</i></a> by Paul Tiffany and Steven D. Peterson for much more information about business plan structure and content, especially if your side hustle really catches on and you’re looking to take it to that mythical “next level.”</p>","description":"Tens of millions of people in the United States, and hundreds of millions of people around the world, supplement their primary jobs with some type of business activities on the side. These people all spend at least some of their professional lives embracing the idea of <a href=\"https://www.dummies.com/article/business-careers-money/business/small-business/start-ups/side-hustles-for-dummies-cheat-sheet-291541/\" target=\"_blank\" rel=\"noopener\">side hustles</a>.\r\n\r\n[caption id=\"attachment_299712\" align=\"alignnone\" width=\"630\"]<img class=\"size-full wp-image-299712\" src=\"https://www.dummies.com/wp-content/uploads/selling-pottery-online-side-hustle-adobeStock_464142145.jpg\" alt=\"\" width=\"630\" height=\"420\" /> ©Pressmaker / Adobe Stock[/caption]\r\n\r\nIf you've decided to join the side-hustle world, and you've <a href=\"https://www.dummies.com/article/business-careers-money/business/small-business/general-small-business/exploring-side-hustle-opportunities-299313/\" target=\"_blank\" rel=\"noopener\">brainstormed your side hustle idea</a>, you'll want to start pulling together a business plan.\r\n<p class=\"article-tips tip\">For help with exploring side-hustle ideas, brainstorming, and the planning steps that lead to this business plan phase, check out my book <a href=\"https://www.dummies.com/book/business-careers-money/business/small-business/general-small-business/side-hustles-for-dummies-291196/\" target=\"_blank\" rel=\"noopener\"><em>Side Hustles For Dummies</em></a>.</p>\r\nIf you’ve ever done a jigsaw puzzle, you know that you typically start with a little portion of the overall puzzle in, say, the top left corner. Then maybe you shift to working on the bottom right side; then move to somewhere in the middle; and so on. That's sort of how you put a business plan together — a document that eventually shows the whole picture.\r\n\r\nWhen it comes to business plans, you have a little bit of a challenge on your hands: If you put 10 people in a room, you’ll get 20 opinions about what a business plan should look like!\r\n\r\nYou’ve probably come across this same problem when you worked on your résumé, with one person telling you to structure your résumé one way, and another person indignantly disagreeing and insisting that you write your résumé a totally different way!\r\n\r\nI have some good news for you when it comes to trying to make sense out of all the different guidance you’ll find for how to write a business plan: For a side hustle, you have a lot more leeway in the order of topics that you cover — and even what you do and don’t include — than if, say, you’re putting together a business plan in search of a large bank loan or millions of dollars of venture capital investment.\r\n\r\nMaybe, someday, if your side hustle really hits its stride and starts growing toward your ideal scenario, you’ll have to worry about making sure that your business plan matches the structure that a bank or private equity firm, or some venture capital company, insists on seeing. For now, though, think in terms of pitching your side hustle to yourself — an audience of one. Are you painting a cohesive and compelling picture of how to get your side hustle going?\r\n\r\nIf your side hustle is a gig-economy job, such as delivery services or ridesharing, you can probably skip over the whole business-plan stuff. However, if your gig services are along the lines of pet-sitting or bartending or doing handyman work — basically, if you’re setting up a small-business structure even though you plan to land gigs from side hustle–oriented platforms — you should at least jot down bullet points for most of the business plan sections.\r\n\r\nYour side hustle business plan should include the following sections.\r\n<h2 id=\"tab1\" >A short overview and a really short elevator pitch</h2>\r\nIf you're in the business plan phase of your side-hustle planning, you should be able to clearly articulate exactly what your side hustle is going to be, so write it down! In fact, write it down twice!\r\n\r\nStart off your business plan with both:\r\n<ul>\r\n \t<li>A one-paragraph (two paragraphs at most) highly summarized version of <em>every</em> key aspect of your side hustle</li>\r\n \t<li>A single-sentence elevator pitch that summarizes your summarized version (got that?) even more!</li>\r\n</ul>\r\n<p class=\"article-tips tip\">Having an <em>elevator pitch</em> means being able to describe an idea so persuasively in about the duration of the typical elevator ride that the person to whom you’re talking is crystal clear about the most critical or unique aspects of your concept.</p>\r\nAs an example, one side-hustle starter's — let's call her Sarah — business plan starts with:\r\n\r\n\"I will design, craft, and sell custom-made jewelry. I will build a Shopify site that I will promote using online marketing and advertising techniques, such as Facebook and Instagram ads, Google Ads, and short demonstration videos on YouTube and TikTok, that will link to my site. I will run the business out of my house. I’ve lined up primary and backup suppliers for all materials and tools.\"\r\n\r\nThen Sarah adds her elevator pitch:\r\n\r\n\"I will sell custom-made jewelry from my Shopify site that I will promote through a variety of online ads.\"\r\n\r\nAs Sarah works her way through the rest of her business plan, she can refer back to this section and adjust the wording as necessary. For now, though, she has placed a stake into the fertile side-hustle soil and is ready to start planting.\r\n<h2 id=\"tab2\" >Your time commitment</h2>\r\nYour business plan is for a side hustle, so you need to be crystal clear with yourself about exactly how much time you plan to spend on your venture. Plus, if you have specific time constraints, like “only evenings after work,” or “only on weekends,” or “only on Wednesday evening and all day Saturday,” you need to acknowledge these constraints and write them down.\r\n<p class=\"article-tips remember\">As you go through the rest of your business plan, you now have an “official statement” that describes your available time that you can use as a sanity check for your side hustle’s details.</p>\r\nFor example, suppose you plan to do software development on the side. However, because of extra hours you need to work at your full-time job, you only have about 15 hours a week available for your side hustle.\r\n\r\nYou can certainly take on a little bit of software development here and there, but you’ll need to focus on shorter-duration tasks, such as building template-based websites or doing some light software configuration rather than heavy-duty application development.\r\n\r\nIf you don’t have a full-time job and, instead, have a portfolio of several different side hustles, documenting your available time is still important to help make sure that your side hustles don’t clash because of conflicting demands for your time.\r\n<h2 id=\"tab3\" >Your schedule and major milestones</h2>\r\nWhatever your side hustle is, you have an idea of what you'd like it to be in the future. Maybe your longer-term plan is built around expanding your business, or maybe you have no intentions of growing your business at all, and you just intend to get a little business up and running and keep it going.\r\n\r\nThink about what your side hustle will look like in time increments that make sense for you — three or six months from today, in a year, three years, etc. Regardless of your expectations and the timeline for those, document it all in your business plan, along with key milestones and decision points along that timeline.\r\n<h2 id=\"tab4\" >Key players in your side hustle</h2>\r\nYour business plan also should include the other people and companies you'll need to connect with. If you plan to make and sell clothing, who will be your wholesale suppliers? Who will be your key points of contact — the actual people — at each one of those wholesalers?\r\n\r\nAs another example, if your side hustle will be buying and selling baseball cards and other sports collectibles, will you do this via eBay, or other auction houses? Revisiting our jewelry maker, Sarah, who will be her suppliers of metals and tools?\r\n\r\nNo matter what your side hustle is, and even if you’re going solo, you’ll almost certainly be involved with other people and companies at some point. Write all of these details down in your business plan, including any designated backup companies or services that you may switch to at some point.\r\n<h2 id=\"tab5\" >Your customers</h2>\r\nYou need to identify who will comprise your <em>target market</em> (the people to whom you’ll try to sell your products or watch your videos or take your course, or for whom you’ll provide weekend landscaping or bartending services, or whatever your side hustle is).\r\n\r\nSometimes, your target market can (and should) be as broad as possible. After all, if you have a potential customer out there somewhere in the world, why not try to attract that person to your business? For example, you might be selling clothing and accessories online to “the world at large” — basically, anybody who wants to place an order on your website for a blouse or leisurewear or a necklace can do so. You might get to know some of your regular customers, but for the most part these customers will be anonymous to you.\r\n\r\nIn other situations, you should narrow your target market to better focus on catching the attention of a person or another business even more likely to be in your side hustle “sweet spot.”\r\n\r\nFor example, Sarah’s customer base will be broad, at least initially. At some point down the road, Sarah may wholesale her jewelry to other online and in-person retailers for them to retail. At that point, she needs to go back and adjust her business plan to more precisely target certain customers — maybe not specific names of people and businesses, but at least descriptions of the types of retailers to which she’ll sell her jewelry.\r\n<h2 id=\"tab6\" >Startup money, budget, and financial projections</h2>\r\nThis part of your business plan includes how much startup capital you’ll need, how to budget, how to forecast sales and expenses, and more. Your business plan needs to include the key aspects of the financial side of your side hustle. (How to figure out all of these things is my book <a href=\"https://www.dummies.com/article/business-careers-money/business/small-business/start-ups/side-hustles-for-dummies-cheat-sheet-291541/\" target=\"_blank\" rel=\"noopener\"><em>Side Hustles For Dummies</em></a>.)\r\n\r\nPretend that you’re pitching your side hustle to an investor, and you also happen to be that investor. Convince yourself that you have all your financial ducks in a row.\r\n<h2 id=\"tab7\" >How you’ll operate</h2>\r\nThis part of your business plan should include the business processes through which you’ll operate your side hustle. And you should add as much detail as possible. For example, Sarah’s side hustle has nine internal processes: buying materials and tools, deciding on her product list, building her website and storefront, and so on. She needs to take each of those processes and break them down into the underlying steps that she’ll do. She can simply list the steps as bullet points or a numbered list.\r\n<h2 id=\"tab8\" >Risks and mitigation</h2>\r\nIt's important to consider the risks involved in your side hustle idea, and how you could mitigate those risks. List how you intend to counteract and neutralize the risk. As you’ve been working through your business plan, you may have come across a new risk or two, or come up with a new mitigation strategy for a risk that you’ve already documented. So, spend a little bit of time and take a fresh look at your list, and make any necessary updates.\r\n<p class=\"article-tips tip\">You can check out <a href=\"https://www.dummies.com/book/business-careers-money/business/small-business/start-ups/business-plans-for-dummies-282038/\" target=\"_blank\" rel=\"noopener\"><i>Business Plans For Dummies</i></a> by Paul Tiffany and Steven D. Peterson for much more information about business plan structure and content, especially if your side hustle really catches on and you’re looking to take it to that mythical “next level.”</p>","blurb":"","authors":[{"authorId":10511,"name":"Alan R. Simon","slug":"alan-r-simon","description":" <p><b>Alan Simon</b> began his first side hustle in 1982, doing consulting for small businesses and not-for-profits. He's been juggling a variety of side gigs ever since. Alan has been writing novels for 20 years and is currently the managing principal of Thinking Helmet, Inc., a boutique consulting firm.</p>","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/10511"}}],"primaryCategoryTaxonomy":{"categoryId":34252,"title":"Start-Ups","slug":"start-ups","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34252"}},"secondaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"tertiaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"trendingArticles":[{"articleId":192609,"title":"How to Pray the Rosary: A Comprehensive Guide","slug":"how-to-pray-the-rosary","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/192609"}},{"articleId":208741,"title":"Kabbalah For Dummies Cheat Sheet","slug":"kabbalah-for-dummies-cheat-sheet","categoryList":["body-mind-spirit","religion-spirituality","kabbalah"],"_links":{"self":"/articles/208741"}},{"articleId":230957,"title":"Nikon D3400 For Dummies Cheat Sheet","slug":"nikon-d3400-dummies-cheat-sheet","categoryList":["home-auto-hobbies","photography"],"_links":{"self":"/articles/230957"}},{"articleId":235851,"title":"Praying the Rosary and Meditating on the Mysteries","slug":"praying-rosary-meditating-mysteries","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/235851"}},{"articleId":284787,"title":"What Your Society Says About You","slug":"what-your-society-says-about-you","categoryList":["academics-the-arts","humanities"],"_links":{"self":"/articles/284787"}}],"inThisArticle":[{"label":"A short overview and a really short elevator pitch","target":"#tab1"},{"label":"Your time commitment","target":"#tab2"},{"label":"Your schedule and major milestones","target":"#tab3"},{"label":"Key players in your side hustle","target":"#tab4"},{"label":"Your customers","target":"#tab5"},{"label":"Startup money, budget, and financial projections","target":"#tab6"},{"label":"How you’ll operate","target":"#tab7"},{"label":"Risks and mitigation","target":"#tab8"}],"relatedArticles":{"fromBook":[{"articleId":299799,"title":"How to Do Taxes for Side Hustles","slug":"how-to-deal-with-your-side-hustle-income-taxes","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/299799"}},{"articleId":299313,"title":"Exploring Side Hustle Opportunities","slug":"exploring-side-hustle-opportunities","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/299313"}},{"articleId":291541,"title":"Side Hustles For Dummies Cheat Sheet","slug":"side-hustles-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/291541"}}],"fromCategory":[{"articleId":299799,"title":"How to Do Taxes for Side Hustles","slug":"how-to-deal-with-your-side-hustle-income-taxes","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/299799"}},{"articleId":297984,"title":"Starting & Running a Business All-in-One For Dummies Cheat Sheet (UK Edition)","slug":"starting-and-running-a-business-all-in-one-for-dummies-cheat-sheet-uk-edition","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/297984"}},{"articleId":291541,"title":"Side Hustles For Dummies Cheat Sheet","slug":"side-hustles-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/291541"}},{"articleId":289724,"title":"Launching and Building a Brand For Dummies Cheat Sheet","slug":"launching-and-building-a-brand-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/289724"}},{"articleId":269861,"title":"Establishing Website Goals for Your Online Business","slug":"establish-website-goals-and-conversions-for-your-online-business","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/269861"}}]},"hasRelatedBookFromSearch":false,"relatedBook":{"bookId":291196,"slug":"side-hustles-for-dummies","isbn":"9781119870135","categoryList":["business-careers-money","business","small-business","general-small-business"],"amazon":{"default":"https://www.amazon.com/gp/product/1119870135/ref=as_li_tl?ie=UTF8&tag=wiley01-20","ca":"https://www.amazon.ca/gp/product/1119870135/ref=as_li_tl?ie=UTF8&tag=wiley01-20","indigo_ca":"http://www.tkqlhce.com/click-9208661-13710633?url=https://www.chapters.indigo.ca/en-ca/books/product/1119870135-item.html&cjsku=978111945484","gb":"https://www.amazon.co.uk/gp/product/1119870135/ref=as_li_tl?ie=UTF8&tag=wiley01-20","de":"https://www.amazon.de/gp/product/1119870135/ref=as_li_tl?ie=UTF8&tag=wiley01-20"},"image":{"src":"https://www.dummies.com/wp-content/uploads/9781119870135-203x255.jpg","width":203,"height":255},"title":"Side Hustles For Dummies","testBankPinActivationLink":"","bookOutOfPrint":true,"authorsInfo":"<p><b>Alan Simon</b> began his first side hustle in 1982, doing consulting for small businesses and not-for-profits. He's been juggling a variety of side gigs ever since. Alan has been writing novels for 20 years and is currently the managing principal of Thinking Helmet, Inc., a boutique consulting firm.</p>","authors":[{"authorId":10511,"name":"Alan R. Simon","slug":"alan-r-simon","description":" <p><b>Alan Simon</b> began his first side hustle in 1982, doing consulting for small businesses and not-for-profits. He's been juggling a variety of side gigs ever since. Alan has been writing novels for 20 years and is currently the managing principal of Thinking Helmet, Inc., a boutique consulting firm.</p>","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/10511"}}],"_links":{"self":"https://dummies-api.dummies.com/v2/books/"}},"collections":[],"articleAds":{"footerAd":"<div class=\"du-ad-region row\" id=\"article_page_adhesion_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_adhesion_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;start-ups&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781119870135&quot;]}]\" id=\"du-slot-64cbeb5f940d6\"></div></div>","rightAd":"<div class=\"du-ad-region row\" id=\"article_page_right_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_right_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;start-ups&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781119870135&quot;]}]\" id=\"du-slot-64cbeb5f94b0f\"></div></div>"},"articleType":{"articleType":"Articles","articleList":null,"content":null,"videoInfo":{"videoId":null,"name":null,"accountId":null,"playerId":null,"thumbnailUrl":null,"description":null,"uploadDate":null}},"sponsorship":{"sponsorshipPage":false,"backgroundImage":{"src":null,"width":0,"height":0},"brandingLine":"","brandingLink":"","brandingLogo":{"src":null,"width":0,"height":0},"sponsorAd":"","sponsorEbookTitle":"","sponsorEbookLink":"","sponsorEbookImage":{"src":null,"width":0,"height":0}},"primaryLearningPath":"Advance","lifeExpectancy":"Five years","lifeExpectancySetFrom":"2023-07-11T00:00:00+00:00","dummiesForKids":"no","sponsoredContent":"no","adInfo":"","adPairKey":[]},"status":"publish","visibility":"public","articleId":299705},{"headers":{"creationTime":"2023-07-21T13:47:55+00:00","modifiedTime":"2023-08-03T16:31:02+00:00","timestamp":"2023-08-03T18:01:03+00:00"},"data":{"breadcrumbs":[{"name":"Business, Careers, & Money","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34224"},"slug":"business-careers-money","categoryId":34224},{"name":"Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34225"},"slug":"business","categoryId":34225},{"name":"Small Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34251"},"slug":"small-business","categoryId":34251},{"name":"Start-Ups","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34252"},"slug":"start-ups","categoryId":34252}],"title":"How to Do Taxes for Side Hustles","strippedTitle":"how to do taxes for side hustles","slug":"how-to-deal-with-your-side-hustle-income-taxes","canonicalUrl":"","seo":{"metaDescription":"Learn what you need to know about taxes for your side hustle business, including factors to consider for how you must file taxes.","noIndex":0,"noFollow":0},"content":"Even if you’re doing your side hustle on your own rather than with a partner or with the assistance of employees, plenty of other people want to share in your success — specifically, your friends and family.\r\n\r\nGuess who else wants to share in your success? The tax people.\r\n\r\n[caption id=\"attachment_299818\" align=\"alignnone\" width=\"630\"]<img class=\"size-full wp-image-299818\" src=\"https://www.dummies.com/wp-content/uploads/woman-small-business-owner-adobeStock_384871442.jpg\" alt=\"\" width=\"630\" height=\"420\" /> ©Insta_photos / Adobe Stock[/caption]\r\n\r\nAnd unlike your friends and family, who share in your success by offering you encouragement and celebrating your accomplishments, the tax people want something from you. Actually, they want two things from you:\r\n<ul>\r\n \t<li>Lots of documents and forms</li>\r\n \t<li>Money</li>\r\n</ul>\r\nLike it or not, you’ll need to deal with all sorts of tax-related matters for your side hustle. Some of the tax stuff is pretty easy to understand, while other tax-related requirements and rules can get tricky. So, buckle up!\r\n\r\nYou won’t find a one-size-fits-all playbook or checklist for your side hustle taxes. Your tax-filing requirements will vary depending on:\r\n<ul>\r\n \t<li>The legal organization you set up for your side hustle</li>\r\n \t<li>What type of business you’re doing for your side hustle</li>\r\n \t<li>Where you live and work</li>\r\n</ul>\r\n<h2 id=\"tab1\" >How to file taxes for a side hustle</h2>\r\nIf you organized your side hustle as a sole proprietorship or a single-member limited liability company (LLC), I have good news for you: Your U.S. federal tax filings for your business will be just another section of your personal taxes on your Form 1040. You don’t have to file any separate returns, at least at the federal level. You will, however, need to file an additional form — a Schedule C — that is basically an attachment to the rest of your personal tax return.\r\n\r\nWhat if you set up your side hustle as an S corporation or a partnership? Or what if you set up an LLC with a partner? Great news … if you enjoy more paperwork. In addition to your personal tax return, you’ll need to file a <em>separate</em> return, not just an additional form attached to your personal tax return. Depending on how you structured your business, you need to file either:\r\n<ul>\r\n \t<li>Form 1065 if your side hustle is organized as a partnership or a multi-member LLC</li>\r\n \t<li>Form 1120-S if your side hustle is organized as an S corporation</li>\r\n</ul>\r\nDon’t worry, your Form 1040 for your personal tax return won’t feel left out if your side hustle financials show up on either a Form 1065 or a Form 1120-S. Technically, you don’t pay taxes on either S corporation or partnership income — at least not directly. If you used either of those legal structures for your side hustle, your business income (or loss) will <em>pass through</em> to your Form 1040, where you’ll mash all those details together with income from your day job, your personal deductions, and the rest of your personal tax stuff.\r\n\r\nYou use an IRS form called a K-1 to carry your side hustle corporate or partnership finances over to your personal return. (You’ll have slightly different versions of a K-1 depending on whether your side hustle is an S corporation, a partnership, or a multi-member LLC.)\r\n\r\nThe more complicated your side hustle’s legal structure is, the more complex your filing requirements will be — basically, you have a straight-line relationship up the complexity ladder.\r\n\r\nHere’s a little bit of good news: If your side hustle is one of those where you’re paid as a part-time employee rather than as an independent contractor — say, teaching a class or two at the local community college — then you’ll receive an IRS Form W-2 for each tax year, the same as you get from your full-time employer. In that case, all you need to do for your taxes is treat your side hustle just like it’s another job and add your side hustle income to your regular income.\r\n<h2 id=\"tab2\" >Side hustle tax rules and forms</h2>\r\nIf your side hustle is service-oriented and you aren’t dealing with any physical inventory, your tax returns won’t be all that complicated, even if you did set yourself up as an S corporation or a partnership. If, however, you’re running an online store where you need to keep track of your cost of goods sold and the value of your inventory, then not only is your overall side hustle record-keeping more complicated, but your taxes may turn into a head-scratcher, too.\r\n<p class=\"article-tips tip\">Remember this simple equation when you're working on your side hustle tax filing: The more physical items you have that play any sort of a role in your side hustle, the more complicated your taxes will be. If you’re buying goods to resell, or if you need to purchase shelving and containers to hold products, then your taxes will be more complicated than if you’re recording and uploading videos, or doing software work, or doing ridesharing for Uber or Lyft.</p>\r\n\r\n<h2 id=\"tab3\" >Everyone wants a piece of the tax action</h2>\r\nIf you live in the United States, you’re well aware of the Internal Revenue Service (IRS). If you live outside the United States, then you need to file tax returns with the equivalent of the IRS in your country.\r\n\r\nYou don’t only have to pay up and file returns with the feds, however. Your state and maybe even your city want their cut of your side-hustle profits, and you’ll need to file the proper returns along with writing the checks or doing the electronic funds transfers to pay the taxes that you’ll owe.\r\n\r\nAs complicated as the federal side of taxes can be, in many cases the state and local side is even more complicated. Why?\r\n<ul>\r\n \t<li>If you’re doing your side hustle in Arizona, you’ll file different state tax return forms than if you’re side hustling in Pennsylvania or California or any other state.</li>\r\n \t<li>Some states just wants a copy of your federal return, but others have their own sets of forms. And to complicate matters even further, many states allow different deductions for expenses than the feds do, meaning that the net income from your side hustle for tax purposes may be different for the IRS than it is for the state where you live.</li>\r\n \t<li>Some cities get in on the act also, and you have to file yet another set of tax returns — and shell out even more money — to the city where you live and where you’re side hustling. Or maybe you’re getting hit at the county level rather than the city level. Sometimes those local taxes are only on W-2 wages (basically, the money you make from your day job), but in other cases, they’re full-blown tax returns that apply to side hustles.</li>\r\n</ul>\r\n<h2 id=\"tab4\" >Decision time</h2>\r\nYou have two paths you can take when it comes to your side-hustle taxes and filing your returns:\r\n<ul>\r\n \t<li>Do it yourself.</li>\r\n \t<li>Hire an accountant.</li>\r\n</ul>\r\nEven if you decide that you want to do your own taxes, you don’t have to study up on a ton of tax laws that are always changing or do a whole lot of calculations by hand.\r\n\r\nAll of the big tax-filing programs, such as Credit Karma Taxes, TaxSlayer, TurboTax, and many others, will step you through not only your personal taxes but also basic small-business taxes that would apply to your side hustle, no matter how you set up your business (sole proprietorship, partnership, S corporation), even if your side hustle is just another part-time job with a regular old W-2.\r\n<p class=\"article-tips tip\">And speaking of small-business taxes: You don’t need to be an expert in taxes for your side hustle. After all, you have dozens or even hundreds of other tasks to take care of or decisions to make. However, you should still have a basic idea of the big picture, tax-wise, for your side hustle. Beyond the basics I cover in this article, you can also check out <a href=\"https://www.dummies.com/book/business-careers-money/business/small-business/general-small-business/small-business-taxes-for-dummies-282584/\" target=\"_blank\" rel=\"noopener\"><em>Small Business Taxes For Dummies,</em> <em>3rd Edition</em></a>.</p>\r\nEven if you made the command decision to hire an accountant to file the tax returns related to your side hustle, you still need to pay attention to some key points and beware of a few big-time traps that could really trip up you and your side hustle. Specifically:\r\n<ul>\r\n \t<li>Avoid the temptation to use your side hustle to “get creative” with your tax returns.</li>\r\n \t<li>Be aware that if your side hustle crosses state lines, your tax picture could get murky and complicated.</li>\r\n \t<li>Remember that tax laws change frequently and can be tricky.</li>\r\n \t<li>Be sure to correct any tax-related mistakes that you make.</li>\r\n</ul>\r\n<h2 id=\"tab5\" >Staying legal and staying honest</h2>\r\nMaybe you’ve read or heard someone saying something along the lines of “I deduct all kinds of expenses through my home business — it’s great!”\r\n\r\nIf that person’s statement really meant “I <em>legally</em> deduct all kinds of <em>allowable</em> expenses through my home business,” then no problem. If, however, the statement actually meant “I sneak in all kinds of personal expenses and deduct them through my home business,” then that person may be in for all sorts of tax and legal problems. And if you follow in their footsteps and start playing shady tax games with your side hustle, <em>you</em> could wind up in a lot of trouble.\r\n<h3>Business deductions for your side hustle</h3>\r\nSuppose your side hustle is an online retail site, where you buy clothing items from wholesalers that you then list and sell. While you’re buying clothing items for your business, why not buy some for yourself that you can “hide” among your business purchases? Then you can deduct all that clothing, and basically get your jeans and shirts and shoes at a 30 percent or 35 percent discount because you’ll owe less in federal and state taxes.\r\n\r\nDon’t do it!\r\n\r\nMaybe you do a little bit of traveling for your side hustle, and you deduct all those travel-related expenses. You know what? Why not deduct the costs of your next family vacation as well? You already have a bunch of legitimate tax deductions for airfare, hotels, meals, and other travel expenses, so who would ever know if you added a few more travel expenses that really shouldn’t be on your side hustle’s tax return?\r\n\r\nDon’t do it!\r\n\r\nSuppose you send a lot of packages to your customers via FedEx, UPS, and the U.S. Postal Service (USPS). Everything that you spend on packing materials and shipping costs is deductible. Why not also include the cost of shipping about a dozen packages to your out-of-town friends and family members for the holidays?\r\n\r\nDon’t do it!\r\n<p class=\"article-tips remember\">Even if you’re not swayed by the morality and ethics of cheating the government by lying — yeah, I said lying! — on your tax returns, how about a practical reason to be honest when it comes to your side hustle’s taxes? If you get caught, you’ll be in big trouble! At best, you’ll owe money — maybe a lot of money! — for back taxes, interest, and (most likely) penalties. At worst, the government could decide to criminally charge you with tax fraud. Even if you escape being convicted, you’ll have to spend a ton of money on attorneys’ fees.</p>\r\nWill the government really come after you for claiming $100 in shipping expenses that you shouldn’t have, or for “only” $2,000 in personal travel that you inaccurately claimed as a legitimate business expense? Maybe not — but do you really want to take the chance?","description":"Even if you’re doing your side hustle on your own rather than with a partner or with the assistance of employees, plenty of other people want to share in your success — specifically, your friends and family.\r\n\r\nGuess who else wants to share in your success? The tax people.\r\n\r\n[caption id=\"attachment_299818\" align=\"alignnone\" width=\"630\"]<img class=\"size-full wp-image-299818\" src=\"https://www.dummies.com/wp-content/uploads/woman-small-business-owner-adobeStock_384871442.jpg\" alt=\"\" width=\"630\" height=\"420\" /> ©Insta_photos / Adobe Stock[/caption]\r\n\r\nAnd unlike your friends and family, who share in your success by offering you encouragement and celebrating your accomplishments, the tax people want something from you. Actually, they want two things from you:\r\n<ul>\r\n \t<li>Lots of documents and forms</li>\r\n \t<li>Money</li>\r\n</ul>\r\nLike it or not, you’ll need to deal with all sorts of tax-related matters for your side hustle. Some of the tax stuff is pretty easy to understand, while other tax-related requirements and rules can get tricky. So, buckle up!\r\n\r\nYou won’t find a one-size-fits-all playbook or checklist for your side hustle taxes. Your tax-filing requirements will vary depending on:\r\n<ul>\r\n \t<li>The legal organization you set up for your side hustle</li>\r\n \t<li>What type of business you’re doing for your side hustle</li>\r\n \t<li>Where you live and work</li>\r\n</ul>\r\n<h2 id=\"tab1\" >How to file taxes for a side hustle</h2>\r\nIf you organized your side hustle as a sole proprietorship or a single-member limited liability company (LLC), I have good news for you: Your U.S. federal tax filings for your business will be just another section of your personal taxes on your Form 1040. You don’t have to file any separate returns, at least at the federal level. You will, however, need to file an additional form — a Schedule C — that is basically an attachment to the rest of your personal tax return.\r\n\r\nWhat if you set up your side hustle as an S corporation or a partnership? Or what if you set up an LLC with a partner? Great news … if you enjoy more paperwork. In addition to your personal tax return, you’ll need to file a <em>separate</em> return, not just an additional form attached to your personal tax return. Depending on how you structured your business, you need to file either:\r\n<ul>\r\n \t<li>Form 1065 if your side hustle is organized as a partnership or a multi-member LLC</li>\r\n \t<li>Form 1120-S if your side hustle is organized as an S corporation</li>\r\n</ul>\r\nDon’t worry, your Form 1040 for your personal tax return won’t feel left out if your side hustle financials show up on either a Form 1065 or a Form 1120-S. Technically, you don’t pay taxes on either S corporation or partnership income — at least not directly. If you used either of those legal structures for your side hustle, your business income (or loss) will <em>pass through</em> to your Form 1040, where you’ll mash all those details together with income from your day job, your personal deductions, and the rest of your personal tax stuff.\r\n\r\nYou use an IRS form called a K-1 to carry your side hustle corporate or partnership finances over to your personal return. (You’ll have slightly different versions of a K-1 depending on whether your side hustle is an S corporation, a partnership, or a multi-member LLC.)\r\n\r\nThe more complicated your side hustle’s legal structure is, the more complex your filing requirements will be — basically, you have a straight-line relationship up the complexity ladder.\r\n\r\nHere’s a little bit of good news: If your side hustle is one of those where you’re paid as a part-time employee rather than as an independent contractor — say, teaching a class or two at the local community college — then you’ll receive an IRS Form W-2 for each tax year, the same as you get from your full-time employer. In that case, all you need to do for your taxes is treat your side hustle just like it’s another job and add your side hustle income to your regular income.\r\n<h2 id=\"tab2\" >Side hustle tax rules and forms</h2>\r\nIf your side hustle is service-oriented and you aren’t dealing with any physical inventory, your tax returns won’t be all that complicated, even if you did set yourself up as an S corporation or a partnership. If, however, you’re running an online store where you need to keep track of your cost of goods sold and the value of your inventory, then not only is your overall side hustle record-keeping more complicated, but your taxes may turn into a head-scratcher, too.\r\n<p class=\"article-tips tip\">Remember this simple equation when you're working on your side hustle tax filing: The more physical items you have that play any sort of a role in your side hustle, the more complicated your taxes will be. If you’re buying goods to resell, or if you need to purchase shelving and containers to hold products, then your taxes will be more complicated than if you’re recording and uploading videos, or doing software work, or doing ridesharing for Uber or Lyft.</p>\r\n\r\n<h2 id=\"tab3\" >Everyone wants a piece of the tax action</h2>\r\nIf you live in the United States, you’re well aware of the Internal Revenue Service (IRS). If you live outside the United States, then you need to file tax returns with the equivalent of the IRS in your country.\r\n\r\nYou don’t only have to pay up and file returns with the feds, however. Your state and maybe even your city want their cut of your side-hustle profits, and you’ll need to file the proper returns along with writing the checks or doing the electronic funds transfers to pay the taxes that you’ll owe.\r\n\r\nAs complicated as the federal side of taxes can be, in many cases the state and local side is even more complicated. Why?\r\n<ul>\r\n \t<li>If you’re doing your side hustle in Arizona, you’ll file different state tax return forms than if you’re side hustling in Pennsylvania or California or any other state.</li>\r\n \t<li>Some states just wants a copy of your federal return, but others have their own sets of forms. And to complicate matters even further, many states allow different deductions for expenses than the feds do, meaning that the net income from your side hustle for tax purposes may be different for the IRS than it is for the state where you live.</li>\r\n \t<li>Some cities get in on the act also, and you have to file yet another set of tax returns — and shell out even more money — to the city where you live and where you’re side hustling. Or maybe you’re getting hit at the county level rather than the city level. Sometimes those local taxes are only on W-2 wages (basically, the money you make from your day job), but in other cases, they’re full-blown tax returns that apply to side hustles.</li>\r\n</ul>\r\n<h2 id=\"tab4\" >Decision time</h2>\r\nYou have two paths you can take when it comes to your side-hustle taxes and filing your returns:\r\n<ul>\r\n \t<li>Do it yourself.</li>\r\n \t<li>Hire an accountant.</li>\r\n</ul>\r\nEven if you decide that you want to do your own taxes, you don’t have to study up on a ton of tax laws that are always changing or do a whole lot of calculations by hand.\r\n\r\nAll of the big tax-filing programs, such as Credit Karma Taxes, TaxSlayer, TurboTax, and many others, will step you through not only your personal taxes but also basic small-business taxes that would apply to your side hustle, no matter how you set up your business (sole proprietorship, partnership, S corporation), even if your side hustle is just another part-time job with a regular old W-2.\r\n<p class=\"article-tips tip\">And speaking of small-business taxes: You don’t need to be an expert in taxes for your side hustle. After all, you have dozens or even hundreds of other tasks to take care of or decisions to make. However, you should still have a basic idea of the big picture, tax-wise, for your side hustle. Beyond the basics I cover in this article, you can also check out <a href=\"https://www.dummies.com/book/business-careers-money/business/small-business/general-small-business/small-business-taxes-for-dummies-282584/\" target=\"_blank\" rel=\"noopener\"><em>Small Business Taxes For Dummies,</em> <em>3rd Edition</em></a>.</p>\r\nEven if you made the command decision to hire an accountant to file the tax returns related to your side hustle, you still need to pay attention to some key points and beware of a few big-time traps that could really trip up you and your side hustle. Specifically:\r\n<ul>\r\n \t<li>Avoid the temptation to use your side hustle to “get creative” with your tax returns.</li>\r\n \t<li>Be aware that if your side hustle crosses state lines, your tax picture could get murky and complicated.</li>\r\n \t<li>Remember that tax laws change frequently and can be tricky.</li>\r\n \t<li>Be sure to correct any tax-related mistakes that you make.</li>\r\n</ul>\r\n<h2 id=\"tab5\" >Staying legal and staying honest</h2>\r\nMaybe you’ve read or heard someone saying something along the lines of “I deduct all kinds of expenses through my home business — it’s great!”\r\n\r\nIf that person’s statement really meant “I <em>legally</em> deduct all kinds of <em>allowable</em> expenses through my home business,” then no problem. If, however, the statement actually meant “I sneak in all kinds of personal expenses and deduct them through my home business,” then that person may be in for all sorts of tax and legal problems. And if you follow in their footsteps and start playing shady tax games with your side hustle, <em>you</em> could wind up in a lot of trouble.\r\n<h3>Business deductions for your side hustle</h3>\r\nSuppose your side hustle is an online retail site, where you buy clothing items from wholesalers that you then list and sell. While you’re buying clothing items for your business, why not buy some for yourself that you can “hide” among your business purchases? Then you can deduct all that clothing, and basically get your jeans and shirts and shoes at a 30 percent or 35 percent discount because you’ll owe less in federal and state taxes.\r\n\r\nDon’t do it!\r\n\r\nMaybe you do a little bit of traveling for your side hustle, and you deduct all those travel-related expenses. You know what? Why not deduct the costs of your next family vacation as well? You already have a bunch of legitimate tax deductions for airfare, hotels, meals, and other travel expenses, so who would ever know if you added a few more travel expenses that really shouldn’t be on your side hustle’s tax return?\r\n\r\nDon’t do it!\r\n\r\nSuppose you send a lot of packages to your customers via FedEx, UPS, and the U.S. Postal Service (USPS). Everything that you spend on packing materials and shipping costs is deductible. Why not also include the cost of shipping about a dozen packages to your out-of-town friends and family members for the holidays?\r\n\r\nDon’t do it!\r\n<p class=\"article-tips remember\">Even if you’re not swayed by the morality and ethics of cheating the government by lying — yeah, I said lying! — on your tax returns, how about a practical reason to be honest when it comes to your side hustle’s taxes? If you get caught, you’ll be in big trouble! At best, you’ll owe money — maybe a lot of money! — for back taxes, interest, and (most likely) penalties. At worst, the government could decide to criminally charge you with tax fraud. Even if you escape being convicted, you’ll have to spend a ton of money on attorneys’ fees.</p>\r\nWill the government really come after you for claiming $100 in shipping expenses that you shouldn’t have, or for “only” $2,000 in personal travel that you inaccurately claimed as a legitimate business expense? Maybe not — but do you really want to take the chance?","blurb":"","authors":[{"authorId":10511,"name":"Alan R. Simon","slug":"alan-r-simon","description":" <p><b>Alan Simon</b> began his first side hustle in 1982, doing consulting for small businesses and not-for-profits. He's been juggling a variety of side gigs ever since. Alan has been writing novels for 20 years and is currently the managing principal of Thinking Helmet, Inc., a boutique consulting firm.</p>","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/10511"}}],"primaryCategoryTaxonomy":{"categoryId":34252,"title":"Start-Ups","slug":"start-ups","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34252"}},"secondaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"tertiaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"trendingArticles":[{"articleId":192609,"title":"How to Pray the Rosary: A Comprehensive Guide","slug":"how-to-pray-the-rosary","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/192609"}},{"articleId":208741,"title":"Kabbalah For Dummies Cheat Sheet","slug":"kabbalah-for-dummies-cheat-sheet","categoryList":["body-mind-spirit","religion-spirituality","kabbalah"],"_links":{"self":"/articles/208741"}},{"articleId":230957,"title":"Nikon D3400 For Dummies Cheat Sheet","slug":"nikon-d3400-dummies-cheat-sheet","categoryList":["home-auto-hobbies","photography"],"_links":{"self":"/articles/230957"}},{"articleId":235851,"title":"Praying the Rosary and Meditating on the Mysteries","slug":"praying-rosary-meditating-mysteries","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/235851"}},{"articleId":284787,"title":"What Your Society Says About You","slug":"what-your-society-says-about-you","categoryList":["academics-the-arts","humanities"],"_links":{"self":"/articles/284787"}}],"inThisArticle":[{"label":"How to file taxes for a side hustle","target":"#tab1"},{"label":"Side hustle tax rules and forms","target":"#tab2"},{"label":"Everyone wants a piece of the tax action","target":"#tab3"},{"label":"Decision time","target":"#tab4"},{"label":"Staying legal and staying honest","target":"#tab5"}],"relatedArticles":{"fromBook":[{"articleId":299705,"title":"How to Develop a Side Hustle Business Plan","slug":"how-to-develop-a-side-hustle-business-plan","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/299705"}},{"articleId":299313,"title":"Exploring Side Hustle Opportunities","slug":"exploring-side-hustle-opportunities","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/299313"}},{"articleId":291541,"title":"Side Hustles For Dummies Cheat Sheet","slug":"side-hustles-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/291541"}}],"fromCategory":[{"articleId":299705,"title":"How to Develop a Side Hustle Business Plan","slug":"how-to-develop-a-side-hustle-business-plan","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/299705"}},{"articleId":297984,"title":"Starting & Running a Business All-in-One For Dummies Cheat Sheet (UK Edition)","slug":"starting-and-running-a-business-all-in-one-for-dummies-cheat-sheet-uk-edition","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/297984"}},{"articleId":291541,"title":"Side Hustles For Dummies Cheat Sheet","slug":"side-hustles-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/291541"}},{"articleId":289724,"title":"Launching and Building a Brand For Dummies Cheat Sheet","slug":"launching-and-building-a-brand-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/289724"}},{"articleId":269861,"title":"Establishing Website Goals for Your Online Business","slug":"establish-website-goals-and-conversions-for-your-online-business","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/269861"}}]},"hasRelatedBookFromSearch":false,"relatedBook":{"bookId":291196,"slug":"side-hustles-for-dummies","isbn":"9781119870135","categoryList":["business-careers-money","business","small-business","general-small-business"],"amazon":{"default":"https://www.amazon.com/gp/product/1119870135/ref=as_li_tl?ie=UTF8&tag=wiley01-20","ca":"https://www.amazon.ca/gp/product/1119870135/ref=as_li_tl?ie=UTF8&tag=wiley01-20","indigo_ca":"http://www.tkqlhce.com/click-9208661-13710633?url=https://www.chapters.indigo.ca/en-ca/books/product/1119870135-item.html&cjsku=978111945484","gb":"https://www.amazon.co.uk/gp/product/1119870135/ref=as_li_tl?ie=UTF8&tag=wiley01-20","de":"https://www.amazon.de/gp/product/1119870135/ref=as_li_tl?ie=UTF8&tag=wiley01-20"},"image":{"src":"https://www.dummies.com/wp-content/uploads/9781119870135-203x255.jpg","width":203,"height":255},"title":"Side Hustles For Dummies","testBankPinActivationLink":"","bookOutOfPrint":true,"authorsInfo":"<p><b>Alan Simon</b> began his first side hustle in 1982, doing consulting for small businesses and not-for-profits. He's been juggling a variety of side gigs ever since. Alan has been writing novels for 20 years and is currently the managing principal of Thinking Helmet, Inc., a boutique consulting firm.</p>","authors":[{"authorId":10511,"name":"Alan R. Simon","slug":"alan-r-simon","description":" <p><b>Alan Simon</b> began his first side hustle in 1982, doing consulting for small businesses and not-for-profits. He's been juggling a variety of side gigs ever since. Alan has been writing novels for 20 years and is currently the managing principal of Thinking Helmet, Inc., a boutique consulting firm.</p>","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/10511"}}],"_links":{"self":"https://dummies-api.dummies.com/v2/books/"}},"collections":[],"articleAds":{"footerAd":"<div class=\"du-ad-region row\" id=\"article_page_adhesion_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_adhesion_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;start-ups&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781119870135&quot;]}]\" id=\"du-slot-64cbeb5f8397c\"></div></div>","rightAd":"<div class=\"du-ad-region row\" id=\"article_page_right_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_right_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;start-ups&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781119870135&quot;]}]\" id=\"du-slot-64cbeb5f83e7f\"></div></div>"},"articleType":{"articleType":"Articles","articleList":null,"content":null,"videoInfo":{"videoId":null,"name":null,"accountId":null,"playerId":null,"thumbnailUrl":null,"description":null,"uploadDate":null}},"sponsorship":{"sponsorshipPage":false,"backgroundImage":{"src":null,"width":0,"height":0},"brandingLine":"","brandingLink":"","brandingLogo":{"src":null,"width":0,"height":0},"sponsorAd":"","sponsorEbookTitle":"","sponsorEbookLink":"","sponsorEbookImage":{"src":null,"width":0,"height":0}},"primaryLearningPath":"Advance","lifeExpectancy":"Five years","lifeExpectancySetFrom":"2023-07-21T00:00:00+00:00","dummiesForKids":"no","sponsoredContent":"no","adInfo":"","adPairKey":[]},"status":"publish","visibility":"public","articleId":299799},{"headers":{"creationTime":"2023-03-21T19:40:19+00:00","modifiedTime":"2023-08-02T14:26:11+00:00","timestamp":"2023-08-02T15:01:03+00:00"},"data":{"breadcrumbs":[{"name":"Business, Careers, & Money","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34224"},"slug":"business-careers-money","categoryId":34224},{"name":"Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34225"},"slug":"business","categoryId":34225},{"name":"Small Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34251"},"slug":"small-business","categoryId":34251},{"name":"Start-Ups","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34252"},"slug":"start-ups","categoryId":34252}],"title":"Starting & Running a Business All-in-One For Dummies Cheat Sheet (UK Edition)","strippedTitle":"starting & running a business all-in-one for dummies cheat sheet (uk edition)","slug":"starting-and-running-a-business-all-in-one-for-dummies-cheat-sheet-uk-edition","canonicalUrl":"","seo":{"metaDescription":"Keep this Cheat Sheet handy to remind you of the key components of starting and running a business, including how to avoid business trouble.","noIndex":0,"noFollow":0},"content":"So you've decided to start running your own business but are at a bit of a loss when it comes to some of the basics? Here, you find useful breakdowns of everything from how to plan, run, and most importantly, profit from your new and exciting venture.","description":"So you've decided to start running your own business but are at a bit of a loss when it comes to some of the basics? Here, you find useful breakdowns of everything from how to plan, run, and most importantly, profit from your new and exciting venture.","blurb":"","authors":[{"authorId":9484,"name":"Colin Barrow","slug":"colin-barrow","description":" <p><b>Colin Barrow</b> is a strategic advisor and the author of more than 30 books. He has held senior staff and line positions in business and was head of the Enterprise Group at Cranfield School of Management for ten years. He was also a non&#45;executive director of a high&#45;tech venture capital fund and has served on government task forces. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9484"}}],"primaryCategoryTaxonomy":{"categoryId":34252,"title":"Start-Ups","slug":"start-ups","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34252"}},"secondaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"tertiaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"trendingArticles":[{"articleId":192609,"title":"How to Pray the Rosary: A Comprehensive Guide","slug":"how-to-pray-the-rosary","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/192609"}},{"articleId":208741,"title":"Kabbalah For Dummies Cheat Sheet","slug":"kabbalah-for-dummies-cheat-sheet","categoryList":["body-mind-spirit","religion-spirituality","kabbalah"],"_links":{"self":"/articles/208741"}},{"articleId":230957,"title":"Nikon D3400 For Dummies Cheat Sheet","slug":"nikon-d3400-dummies-cheat-sheet","categoryList":["home-auto-hobbies","photography"],"_links":{"self":"/articles/230957"}},{"articleId":235851,"title":"Praying the Rosary and Meditating on the Mysteries","slug":"praying-rosary-meditating-mysteries","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/235851"}},{"articleId":284787,"title":"What Your Society Says About You","slug":"what-your-society-says-about-you","categoryList":["academics-the-arts","humanities"],"_links":{"self":"/articles/284787"}}],"inThisArticle":[],"relatedArticles":{"fromBook":[],"fromCategory":[{"articleId":299799,"title":"How To Do Taxes for Side Hustles","slug":"how-to-deal-with-your-side-hustle-income-taxes","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/299799"}},{"articleId":299705,"title":"How To Develop a Side Hustle Business Plan","slug":"how-to-develop-a-side-hustle-business-plan","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/299705"}},{"articleId":291541,"title":"Side Hustles For Dummies Cheat Sheet","slug":"side-hustles-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/291541"}},{"articleId":289724,"title":"Launching and Building a Brand For Dummies Cheat Sheet","slug":"launching-and-building-a-brand-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/289724"}},{"articleId":269861,"title":"Establishing Website Goals for Your Online Business","slug":"establish-website-goals-and-conversions-for-your-online-business","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/269861"}}]},"hasRelatedBookFromSearch":false,"relatedBook":{"bookId":292432,"slug":"starting-and-running-a-business-all-in-one-for-dummies","isbn":"9781394201655","categoryList":["business-careers-money","business","small-business","start-ups"],"amazon":{"default":"https://www.amazon.com/gp/product/1394201656/ref=as_li_tl?ie=UTF8&tag=wiley01-20","ca":"https://www.amazon.ca/gp/product/1394201656/ref=as_li_tl?ie=UTF8&tag=wiley01-20","indigo_ca":"http://www.tkqlhce.com/click-9208661-13710633?url=https://www.chapters.indigo.ca/en-ca/books/product/1394201656-item.html&cjsku=978111945484","gb":"https://www.amazon.co.uk/gp/product/1394201656/ref=as_li_tl?ie=UTF8&tag=wiley01-20","de":"https://www.amazon.de/gp/product/1394201656/ref=as_li_tl?ie=UTF8&tag=wiley01-20"},"image":{"src":"https://www.dummies.com/wp-content/uploads/starting-and-running-a-business-all-in-one-for-dummies-4th-edition-uk-cover-9781394201655-207x255.jpg","width":207,"height":255},"title":"Starting & Running a Business All-in-One For Dummies (UK Edition)","testBankPinActivationLink":"","bookOutOfPrint":true,"authorsInfo":"<p><p><b><b data-author-id=\"9484\">Colin Barrow</b></b> is a strategic advisor and the author of more than 30 books. He has held senior staff and line positions in business and was head of the Enterprise Group at Cranfield School of Management for ten years. He was also a non&#45;executive director of a high&#45;tech venture capital fund and has served on government task forces.</p>","authors":[{"authorId":9484,"name":"Colin Barrow","slug":"colin-barrow","description":" <p><b>Colin Barrow</b> is a strategic advisor and the author of more than 30 books. He has held senior staff and line positions in business and was head of the Enterprise Group at Cranfield School of Management for ten years. He was also a non&#45;executive director of a high&#45;tech venture capital fund and has served on government task forces. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9484"}}],"_links":{"self":"https://dummies-api.dummies.com/v2/books/"}},"collections":[],"articleAds":{"footerAd":"<div class=\"du-ad-region row\" id=\"article_page_adhesion_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_adhesion_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;start-ups&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781394201655&quot;]}]\" id=\"du-slot-64ca6faf87212\"></div></div>","rightAd":"<div class=\"du-ad-region row\" id=\"article_page_right_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_right_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;start-ups&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781394201655&quot;]}]\" id=\"du-slot-64ca6faf8777a\"></div></div>"},"articleType":{"articleType":"Cheat Sheet","articleList":[{"articleId":0,"title":"","slug":null,"categoryList":[],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/"}}],"content":[{"title":"Key considerations for starting a business","thumb":null,"image":null,"content":"<p>Read these useful tips to get an idea about what sorts of questions you should be asking yourself as you consider setting up your own business:</p>\n<ul>\n<li>Get everyone involved in setting goals and objectives.</li>\n<li>Find out all you can about your customers.</li>\n<li>Understand who your competitors are.</li>\n<li>Identify your strengths and weaknesses relative to opportunities and threats.</li>\n<li>Determine which capabilities you absolutely need to succeed.</li>\n<li>List all the things you do that add customer value.</li>\n<li>Make sure that you do your financial homework.</li>\n<li>Imagine several different versions of your company&#8217;s future.</li>\n<li>Appreciate the impact of the Internet on your business sector.</li>\n<li>Recognise the value of leveraging social media.</li>\n</ul>\n"},{"title":"Business success based on six factors","thumb":null,"image":null,"content":"<p>A combination of several fundamental factors determines the success of a business. Refer to the following important points to make sure that you&#8217;re covering all vital areas:</p>\n<ol>\n<li><strong>Plans:</strong> Company mission, vision, goals and objectives that all work together.</li>\n<li><strong>Organisation:</strong> A structure for your company that makes sense.</li>\n<li><strong>Procedures:</strong> Efficient and effective ways of doing things.</li>\n<li><strong>Leadership:</strong> An ability to build a team and to influence and encourage others around you.</li>\n<li><strong>Skills:</strong> The talents and expertise your people need to succeed.</li>\n<li><strong>Culture:</strong> Beliefs and attitudes that lead to doing the right thing, always.</li>\n</ol>\n"},{"title":"Key components of a business plan","thumb":null,"image":null,"content":"<p>A business plan is a key document communicating the developmental objectives of your business. To be sure that this vital information is as functional, accurate and comprehensive as possible, be sure to include the following basics:</p>\n<ul>\n<li>Executive summary</li>\n<li>Company overview</li>\n<li>Business environment</li>\n<li>Company description</li>\n<li>Company strategy</li>\n<li>Financial review</li>\n<li>Risk analysis</li>\n<li>Funding requirements and milestones</li>\n<li>Action plan</li>\n</ul>\n"},{"title":"10 key rules for avoiding business trouble","thumb":null,"image":null,"content":"<p>In business, a dangerous area of marketing arises when people try to bypass regulations that ensure fair pricing, safety and honest advertising. In the UK, as in Europe and North America, there are regulations as well as self-regulatory industry guidelines:</p>\n<ol>\n<li>Make sure your pricing is fair (because unfair competitive practices are usually illegal).</li>\n<li>Clarify the limits of warranties for services or goods.</li>\n<li>Provide full warnings and details about your product&#8217;s content and source on labels.</li>\n<li>Follow an open and honest policy with the media.</li>\n<li>Never say anything deceptive or misleading in ads or other communications — remember the watchwords &#8220;legal, decent, honest and truthful.&#8221;</li>\n<li>Never distribute products that can do harm to anyone.</li>\n<li>Never discuss prices with competitors (that&#8217;s called price fixing).</li>\n<li>Keep an eye on future trends that may impact on your performance.</li>\n<li>Don&#8217;t become complacent — change is inevitable, so see it as an opportunity.</li>\n<li>Pay attention to how your business appears online.</li>\n</ol>\n"},{"title":"Keeping tabs on your business cash","thumb":null,"image":null,"content":"<p>Cash is the lifeblood of any business, whether it’s a multi-billion-pound empire or a small independent company. Refer to these handy guidelines when delegating the handling of cash within your business to ensure a fail-safe system of cash flow:</p>\n<ul>\n<li><strong>Separate cash handlers.</strong> Be sure that the person who accepts cash isn’t also recording the transaction.</li>\n<li><strong>Separate authorisation responsibilities.</strong> Be sure that the person who authorises a payment isn’t also signing the cheque or dispersing the cash.</li>\n<li><strong>Separate the duties of your bookkeeping function to ensure a good system of checks and balances.</strong> Don’t put too much trust in one person – unless it’s yourself.</li>\n<li><strong>Have a cash reserve.</strong> By monitoring business cash, you can be better prepared for unexpected events or emergencies. A sufficient cash reserve allows you to handle unforeseen expenses, weather economic downturns or seize opportunities that may arise. It provides a safety net and enhances your business’s resilience<strong>.</strong></li>\n<li><strong>Start out each month with a cash-flow projection as far out as is needed to break even. </strong>Without sufficient cash, you won’t be able to pay essential suppliers or your key employees.</li>\n</ul>\n"},{"title":"Tracking business finances through timely bookkeeping","thumb":null,"image":null,"content":"<p>All businesses need to keep a record of their financial transactions in order to assess their financial health, provide status reports to various bodies and comply with legal regulations. Use these steps as a guide to keeping your books well and truly up to date:</p>\n<ul>\n<li><strong>Transactions:</strong> The purchases or sales of items start the process of bookkeeping.</li>\n<li><strong>Journal entries:</strong> Enter transactions into the books through journals.</li>\n<li><strong>Posting:</strong> Post journal entries to the Nominal Ledger.</li>\n<li><strong>Trial balance:</strong> Test accounts in the Nominal Ledger to see if they&#8217;re in balance.</li>\n<li><strong>Worksheet:</strong> Enter on a worksheet any account adjustments needed after the trial balance.</li>\n<li><strong>Adjusting journal entries:</strong> Post adjustments from the worksheet to affected accounts in the Nominal Ledger.</li>\n<li><strong>Financial statements:</strong> Prepare the balance sheet and income statement using the corrected account balances.</li>\n<li><strong>Ratios:</strong> Use ratios to cross check performance from one accounting period to another. Any major change could signal an error in record-keeping if you can&#8217;t account for it by a known change in performance.</li>\n<li><strong>Closing:</strong> Close the books for the revenue and expense accounts, and start the entire cycle again with zero balances in both accounts.</li>\n</ul>\n"}],"videoInfo":{"videoId":null,"name":null,"accountId":null,"playerId":null,"thumbnailUrl":null,"description":null,"uploadDate":null}},"sponsorship":{"sponsorshipPage":false,"backgroundImage":{"src":null,"width":0,"height":0},"brandingLine":"","brandingLink":"","brandingLogo":{"src":null,"width":0,"height":0},"sponsorAd":"","sponsorEbookTitle":"","sponsorEbookLink":"","sponsorEbookImage":{"src":null,"width":0,"height":0}},"primaryLearningPath":"Advance","lifeExpectancy":"Five years","lifeExpectancySetFrom":"2023-08-01T00:00:00+00:00","dummiesForKids":"no","sponsoredContent":"no","adInfo":"","adPairKey":[]},"status":"publish","visibility":"public","articleId":297984},{"headers":{"creationTime":"2023-06-15T18:59:25+00:00","modifiedTime":"2023-07-13T13:34:20+00:00","timestamp":"2023-07-13T15:01:02+00:00"},"data":{"breadcrumbs":[{"name":"Business, Careers, & Money","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34224"},"slug":"business-careers-money","categoryId":34224},{"name":"Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34225"},"slug":"business","categoryId":34225},{"name":"Small Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34251"},"slug":"small-business","categoryId":34251},{"name":"General Small Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34253"},"slug":"general-small-business","categoryId":34253}],"title":"Exploring Side Hustle Opportunities","strippedTitle":"exploring side hustle opportunities","slug":"exploring-side-hustle-opportunities","canonicalUrl":"","seo":{"metaDescription":"Learn about the different types of side hustle opportunities you can consider as a way to make extra money while doing something you enjoy.","noIndex":0,"noFollow":0},"content":"If you’re thinking about jumping into a side hustle — or if you’ve already taken the plunge — you’re not alone! According to a <a href=\"https://www.sidehustlenation.com/side-hustle-statistics/\" target=\"_blank\" rel=\"noopener\">study reported on Side Hustle Nation</a>, 45 percent of working Americans — about 70 million people! — had at least one side hustle going. Even better: Another 60 million were thinking about jumping into the side-hustle game.\r\n\r\n[caption id=\"attachment_299322\" align=\"alignnone\" width=\"630\"]<img class=\"size-full wp-image-299322\" src=\"https://www.dummies.com/wp-content/uploads/walking-multiple-dogs-side-hustle.jpg\" alt=\"\" width=\"630\" height=\"420\" /> ©Drazen / Adobe Stock[/caption]\r\n\r\nSide hustles aren’t only popular in the United States either. According to an <a href=\"https://www.usatoday.com/story/sponsor-story/godaddy/2017/12/12/how-people-side-hustling-around-globe/108532604/\" target=\"_blank\" rel=\"noopener\">article paid for by GoDaddy</a> appearing on the <em>USA Today</em> website, 54 percent of people in the United Kingdom, another 54 percent of people in Singapore, and an astounding 77 percent of people in the Philippines had side hustles.\r\n\r\nPeople start side hustles for a variety of reasons. For many people, money is the prime motivator. But to some people, the financial side of their side hustle is so secondary that it’s almost an afterthought.\r\n\r\nSo, why are <em>you</em> interested in a side hustle? Maybe it’s money, knowledge, or experience. Maybe you’re hoping to make a big career change. Maybe you’re looking to monetize a hobby or passion. Maybe you want a safety net in place in case you get laid off. Or maybe you’re trying to make ends meet after losing your full-time job.\r\n<h2 id=\"tab1\" >How a passion becomes a side hustle</h2>\r\nAs mentioned above, you might start a side hustle based on a hobby or passion. For example of how this can lead to a fantastic opportunity, let’s consider a man named Sandy. He’s been a sports fanatic all his life. He played sports when he was young, and he collected sports cards and memorabilia. Today, a man with children and many responsibilities, his sports cards and memorabilia were stuffed in a box, somewhere in the basement.\r\n\r\nThen, at the beginning of the COVID-19 pandemic, Sandy noticed that baseball cards, football, and basketball cards, along with all sorts of sports memorabilia, suddenly became wildly popular.\r\n\r\nMany people were working from home, and many others unfortunately lost their jobs (but fortunately, millions of them started side hustles!). Overall, people were at home much more than before and had a lot of time on their hands, as well as surprisingly flexible work and personal schedules. For whatever reason, lots of people either discovered sports cards and collectibles for the first time or, as with Sandy, rediscovered their long-forgotten collections.\r\n\r\nSo, it’s settled: Sandy has selected his topical area and is going to start a side hustle related to baseball cards, primarily, but also including other cards from football and other sports along with other types of sports collectibles.\r\n\r\nBut exactly what kind of side hustle is this?\r\n\r\nSandy could, under the general umbrella of “sports cards and collectibles side hustle,” focus on any of the following:\r\n<ul>\r\n \t<li>Just baseball cards</li>\r\n \t<li>Baseball, football, basketball, and soccer cards — but basically only sports cards</li>\r\n \t<li>“Game-used” memorabilia, such as uniforms and hats, or balls and baseball bats</li>\r\n \t<li>Autographs</li>\r\n \t<li>Old sports books, almanacs, yearbooks, scorecards, and similar items</li>\r\n</ul>\r\nBut wait! Sandy isn’t even close to being done with his narrowing down and filtering. He decides to focus on baseball cards. But what kind? The baseball-card world is divided into different eras:\r\n<ul>\r\n \t<li>Vintage (basically, older cards from before around 1980)</li>\r\n \t<li>The so-called “junk wax” era from the mid-1980s to the mid-1990s</li>\r\n \t<li>Modern and ultra-modern cards that came after the “junk wax” era ended</li>\r\n</ul>\r\nSandy decides to focus on vintage cards. However, he still has some more narrowing down to do! He could specialize in:\r\n<ul>\r\n \t<li>Individual cards</li>\r\n \t<li>Cards for specific baseball teams</li>\r\n \t<li>Unopened packs and cases of old cards (yes, they still exist)</li>\r\n \t<li>Complete sets for a given year</li>\r\n</ul>\r\nEven if you don’t know the first thing about baseball cards and sports collectibles — and don’t care in the least about them, either! — you probably get the idea. Of course, Sandy isn’t limited to only one particular subcategory, or sub-subcategory, or sub-sub-subcategory, or… . But Sandy’s chances for side-hustle success go way up if he hasn’t cast too wide of a net.\r\n\r\nWhether he plans to buy and then <em>flip</em> (sell quickly) vintage baseball cards, start a podcast about jumping back into the sports collectible hobby, or provide advice to other returning collectors to help them get the most value when they sell their collections, the more focused Sandy is, the better off he’ll be.\r\n\r\nSandy could also head right for the techie world for his sports collectible–related side hustle by focusing on <em>non-fungible tokens</em> (NFTs), a hot new area in the sports marketplace (as well as the art world and other areas of society).\r\n\r\nAn NFT is a unique “digital asset” (basically, an online image, audio clip, or video) that uses blockchain technology to essentially make that digital asset behave as if it were a physical “piece of something” that is actually owned by someone.\r\n\r\nSandy obviously doesn’t have any NFTs stashed away in those cardboard boxes up in his attic, but as he jumps into a sports-collectible side hustle, he absolutely could find something interesting and potentially lucrative related to NFTs.\r\n<p class=\"article-tips tip\">If you don’t have a clue about blockchain or NFTs and you’d like to learn more, check out <a href=\"https://www.dummies.com/book/technology/information-technology/data-science/general-data-science/blockchain-for-dummies-2nd-edition-281641/\" target=\"_blank\" rel=\"noopener\"><em>Blockchain For Dummies, 2nd Edition</em></a>, by Tiana Laurence, or <a href=\"https://www.dummies.com/book/business-careers-money/personal-finance/investing/investment-vehicles/nfts-for-dummies-288915/\" target=\"_blank\" rel=\"noopener\"><em>NFTs For Dummies</em></a> by Tiana Laurence and Seoyoung Kim, PhD.</p>\r\nSandy began his <a href=\"https://www.dummies.com/article/business-careers-money/business/small-business/start-ups/how-to-develop-a-side-hustle-business-plan-299705/\" target=\"_blank\" rel=\"noopener\">side-hustle planning</a> the right way: by first selecting some area of interest and then narrowing that area down. No matter what your side hustle is going to be, you’ll almost certainly find yourself following the same narrowing-down steps. The table below shows a few different side-hustle topical areas and then, for each one, some of the underlying narrowed-down subcategories.\r\n\r\n \r\n<table>\r\n<tbody>\r\n<tr>\r\n<td><strong>Side-Hustle Topical Areas</strong></td>\r\n<td><strong>Example Subcategories</strong></td>\r\n</tr>\r\n<tr>\r\n<td>Beauty and appearance</td>\r\n<td>Haircutting and hairstyling, women’s haircutting and hairstyling, hair blowouts, manicures and pedicures, eyebrow microblading, laser hair removal</td>\r\n</tr>\r\n<tr>\r\n<td>Health and exercise</td>\r\n<td>Outdoor biking, stationary biking and spinning, hiking, weightlifting, resistance training, martial arts</td>\r\n</tr>\r\n<tr>\r\n<td>Home-design services</td>\r\n<td>Furniture layout, kitchen remodeling, home exteriors, backyard design, firepits</td>\r\n</tr>\r\n<tr>\r\n<td>Fashion</td>\r\n<td>Women’s clothing, vintage women’s clothing, jewelry and accessories, vintage jewelry</td>\r\n</tr>\r\n</tbody>\r\n</table>\r\n \r\n\r\nEven if you’re doing the “just something to earn extra money” version of a side hustle rather than trying to monetize an interest or hobby, you still need to do at least a little bit of narrowing down. Suppose you’ve decided to do some gig-economy delivery service. Do you want to also do shopping and then deliver what you buy at the supermarket or at other stores?\r\n\r\nMaybe you just want to pick up food from restaurants and deliver the food to homes, with no shopping involved. Making this particular decision will help you decide between, say, an Instacart side hustle versus doing something with DoorDash or Grubhub. Or you may want to just deliver packages for Amazon.\r\n<p class=\"article-tips remember\">You can “package up” as many different side-hustle ideas as you have time for or that make sense for you. You aren’t even limited to ones that are closely related to one another, such as baseball and football cards, or hair and eyebrow microblading. Be careful not to spread yourself too thin, especially as you’re first getting started in the world of side hustles.</p>\r\n\r\n<h2 id=\"tab2\" >Taking your side hustle to market</h2>\r\nYou’ve selected your side-hustle topical areas to focus on, and you’ve decided what sort of side hustle to do (providing a service, selling something, delivering content, or monetizing an asset). Guess what: Your decision-making still needs to march ahead! Now you need to decide how you’re going to take your side hustle to market and how you’re going to reach prospective customers.\r\n\r\nYou could:\r\n<ul>\r\n \t<li>Go to market totally on your own.</li>\r\n \t<li>Leverage an online marketplace.</li>\r\n \t<li>Join a multilevel marketing (MLM) organization.</li>\r\n</ul>\r\n<h3>Going to market on your own</h3>\r\nYou can start, build, and run a side hustle that is structurally identical to a full-time business. As another example of someone starting a side hustle, let's say a woman named Breanna went down this particular side-hustle road for her online boutique. She built a simple website and Shopify store and is doing her own social-media marketing.\r\n\r\nBreanna lined up her suppliers and set aside a spare bedroom in her house to serve as a warehouse and shipping area. She processes customer orders as they come in and then packs and ships each outgoing package herself.\r\n\r\nBreanna’s brother, Brian, is also in the side-hustle game, but he has taken a different route than his sister did. Brian is a software engineer who wants to do a little smaller-scale contract software development for his side hustle. So, whereas Breanna is selling physical products for her side hustle, Brian is providing a service for his.\r\n\r\nBut other than the product-versus-service and fashion-versus-tech differences, Brian’s side hustle is very similar to Breanna’s. He also built his own website and has been doing online targeted ads to drum up business. Basically, Brian’s side hustle mirrors that of his sister in terms of going to market as a microcosm of a larger business.\r\n<h3>Leveraging an online marketplace</h3>\r\nRather than try to market and advertise your side hustle totally from scratch, you can get a head start by posting your services on an existing online marketplace that’s widely known and that your potential customers frequently visit to find providers for what you’re selling.\r\n\r\nKeith is a software engineer at the same company where Brian works, and he also wants to start a software development side hustle. Keith, however, doesn’t have the patience to set up his own website or to do his own targeted marketing on social media to try to find business.\r\n\r\nInstead, Keith lists his services on Fiverr, an online marketplace where people and businesses come to find contractors for software development, video editing and production, graphic design, market research, writing a business plan, or other professional services.\r\n<p class=\"article-tips remember\">Many people like Keith use online marketplaces such as Fiverr, Upwork, Freelancer, Guru, and other sites as the foundation for their side hustles.</p>\r\nOnline marketplaces aren’t limited to professional services side hustles, either. For example:\r\n<ul>\r\n \t<li>If you do dog walking or pet sitting for your side hustle, you can list your services on Rover, Holidog, or Puppy Friends Social Club.</li>\r\n \t<li>If you provide home-related services, you can go to market through Angi or Thumbtack.</li>\r\n \t<li>If you do freelance hair styling or tutoring, or provide dance lessons, you can post your services on the aforementioned Fiverr under the “Lifestyle” category.</li>\r\n</ul>\r\nSuppose Sandy decides his sports collectible–related side hustle will be to help other people figure out how much their long-forgotten vintage card collections are worth. Sandy could list “Vintage Baseball Card Appraisal and Valuation” on Fiverr under “Lifestyle” services.\r\n\r\nIn fact, if you happen to be a Pokémon collector, you’re in good company with other side hustlers who post that they’ll help you figure out how much your Pokémon collection is worth. Another side-hustle freelancer posts that they’ll appraise Peanuts (the comic strip with Snoopy, Charlie Brown, and their friends) collectibles.\r\n\r\nIf you can imagine a product or service, odds are that you can come up with a related side hustle!\r\n<h3>Multilevel marketing organizations</h3>\r\nMLM organizations — also called <em>network marketing</em> companies — are <em>the</em> most controversial topic in the world of side hustles. Some people swear that MLMs are the absolute best way to do a side hustle, while others swear <em>at</em> MLMs and regret the day they ever signed up for one. So, what’s the story with MLMs?\r\n\r\nSuppose you’re interested in selling exercise clothing, activewear, and leisurewear for a side hustle. You could do what Breanna did:\r\n<ul>\r\n \t<li>Build your own website or storefront.</li>\r\n \t<li>Decide which specific products you want to sell.</li>\r\n \t<li>Find suppliers for the products you want to sell.</li>\r\n \t<li>Figure out the tricks of social-media advertising to reach potential customers.</li>\r\n \t<li>Pack and ship orders if you’re handling your own inventory.</li>\r\n</ul>\r\nOn the other hand, you could find an MLM that markets the type of activewear and leisurewear that you want to sell and then join that MLM.\r\n\r\nYou don’t just sign up with an MLM, however. The term <em>multilevel</em> is part of the name for a reason. You typically become part of the sales network for someone who is already a member of that company (thus, the significance of the work <em>network</em> in <em>network marketing</em>). Further, as illustrated in the figure below, that network is constructed in multiple tiers, or levels, thus, the name <em>multilevel marketing.</em>\r\n\r\n[caption id=\"attachment_299318\" align=\"alignnone\" width=\"630\"]<img class=\"size-full wp-image-299318\" src=\"https://www.dummies.com/wp-content/uploads/multilevel-marketing-diagram.jpg\" alt=\"Diagram showing a typical multilevel marketing (MLM) hierarchical structure\" width=\"630\" height=\"485\" /> ©John Wiley & Sons, Inc.<br />A typical multilevel marketing (MLM) hierarchical structure[/caption]\r\n\r\nIf you join an MLM, you make money from selling products to other people. But you also make money by bringing other people into the company and typically by receiving a small portion of the sales made by each person in your network. Basically, the larger your network, the more money you can make from products that other people sell.\r\n\r\nThe pyramid-like structure of the typical sales force within a multilevel marketing company is why many people view MLMs as a “pyramid scheme.” The full story is somewhat murkier.\r\n\r\nIf an MLM company has a viable product that its independent contractor sales associates — basically, a whole bunch of people doing side hustles — offers and sells to the public, then despite the pyramid-like structure the MLM likely isn’t a pyramid <em>scheme</em> in the classic financial fraud sense. But the key is that the company does need to have real products or services that you and others actually sell.\r\n\r\nYou need to do your homework and determine:\r\n<ul>\r\n \t<li>How to figure out if a given MLM’s compensation model is good for you</li>\r\n \t<li>Whether you can make any money if you’re way, way down the sales ladder</li>\r\n \t<li>How sales territories are allocated</li>\r\n \t<li>If you’re required to purchase a monthly allocation of products, or if you can purchase products as you sell them</li>\r\n</ul>\r\nFrom a side-hustle perspective, MLMs have some interesting advantages and possible disadvantages. On the plus side, you can find an MLM for almost anything that you want to sell for your side hustle: clothing, health and wellness products, cleaning supplies, cooking-related products, makeup, and even (ahem) “adult” products. If you can imagine something, you almost certainly can find an MLM to join!\r\n<p class=\"article-tips warning\">One possible drawback, however, is that if you join an MLM, much — maybe even most or all — of your selling will be to family members and friends. Before you head down the MLM road for your side hustle, think about the possibility of constantly pushing new products on your friends and family, or dealing with them as dissatisfied customers, or telling your sister or a parent that the automatic payment on their credit card was rejected last month — yeah, might not be a whole lot of fun.</p>","description":"If you’re thinking about jumping into a side hustle — or if you’ve already taken the plunge — you’re not alone! According to a <a href=\"https://www.sidehustlenation.com/side-hustle-statistics/\" target=\"_blank\" rel=\"noopener\">study reported on Side Hustle Nation</a>, 45 percent of working Americans — about 70 million people! — had at least one side hustle going. Even better: Another 60 million were thinking about jumping into the side-hustle game.\r\n\r\n[caption id=\"attachment_299322\" align=\"alignnone\" width=\"630\"]<img class=\"size-full wp-image-299322\" src=\"https://www.dummies.com/wp-content/uploads/walking-multiple-dogs-side-hustle.jpg\" alt=\"\" width=\"630\" height=\"420\" /> ©Drazen / Adobe Stock[/caption]\r\n\r\nSide hustles aren’t only popular in the United States either. According to an <a href=\"https://www.usatoday.com/story/sponsor-story/godaddy/2017/12/12/how-people-side-hustling-around-globe/108532604/\" target=\"_blank\" rel=\"noopener\">article paid for by GoDaddy</a> appearing on the <em>USA Today</em> website, 54 percent of people in the United Kingdom, another 54 percent of people in Singapore, and an astounding 77 percent of people in the Philippines had side hustles.\r\n\r\nPeople start side hustles for a variety of reasons. For many people, money is the prime motivator. But to some people, the financial side of their side hustle is so secondary that it’s almost an afterthought.\r\n\r\nSo, why are <em>you</em> interested in a side hustle? Maybe it’s money, knowledge, or experience. Maybe you’re hoping to make a big career change. Maybe you’re looking to monetize a hobby or passion. Maybe you want a safety net in place in case you get laid off. Or maybe you’re trying to make ends meet after losing your full-time job.\r\n<h2 id=\"tab1\" >How a passion becomes a side hustle</h2>\r\nAs mentioned above, you might start a side hustle based on a hobby or passion. For example of how this can lead to a fantastic opportunity, let’s consider a man named Sandy. He’s been a sports fanatic all his life. He played sports when he was young, and he collected sports cards and memorabilia. Today, a man with children and many responsibilities, his sports cards and memorabilia were stuffed in a box, somewhere in the basement.\r\n\r\nThen, at the beginning of the COVID-19 pandemic, Sandy noticed that baseball cards, football, and basketball cards, along with all sorts of sports memorabilia, suddenly became wildly popular.\r\n\r\nMany people were working from home, and many others unfortunately lost their jobs (but fortunately, millions of them started side hustles!). Overall, people were at home much more than before and had a lot of time on their hands, as well as surprisingly flexible work and personal schedules. For whatever reason, lots of people either discovered sports cards and collectibles for the first time or, as with Sandy, rediscovered their long-forgotten collections.\r\n\r\nSo, it’s settled: Sandy has selected his topical area and is going to start a side hustle related to baseball cards, primarily, but also including other cards from football and other sports along with other types of sports collectibles.\r\n\r\nBut exactly what kind of side hustle is this?\r\n\r\nSandy could, under the general umbrella of “sports cards and collectibles side hustle,” focus on any of the following:\r\n<ul>\r\n \t<li>Just baseball cards</li>\r\n \t<li>Baseball, football, basketball, and soccer cards — but basically only sports cards</li>\r\n \t<li>“Game-used” memorabilia, such as uniforms and hats, or balls and baseball bats</li>\r\n \t<li>Autographs</li>\r\n \t<li>Old sports books, almanacs, yearbooks, scorecards, and similar items</li>\r\n</ul>\r\nBut wait! Sandy isn’t even close to being done with his narrowing down and filtering. He decides to focus on baseball cards. But what kind? The baseball-card world is divided into different eras:\r\n<ul>\r\n \t<li>Vintage (basically, older cards from before around 1980)</li>\r\n \t<li>The so-called “junk wax” era from the mid-1980s to the mid-1990s</li>\r\n \t<li>Modern and ultra-modern cards that came after the “junk wax” era ended</li>\r\n</ul>\r\nSandy decides to focus on vintage cards. However, he still has some more narrowing down to do! He could specialize in:\r\n<ul>\r\n \t<li>Individual cards</li>\r\n \t<li>Cards for specific baseball teams</li>\r\n \t<li>Unopened packs and cases of old cards (yes, they still exist)</li>\r\n \t<li>Complete sets for a given year</li>\r\n</ul>\r\nEven if you don’t know the first thing about baseball cards and sports collectibles — and don’t care in the least about them, either! — you probably get the idea. Of course, Sandy isn’t limited to only one particular subcategory, or sub-subcategory, or sub-sub-subcategory, or… . But Sandy’s chances for side-hustle success go way up if he hasn’t cast too wide of a net.\r\n\r\nWhether he plans to buy and then <em>flip</em> (sell quickly) vintage baseball cards, start a podcast about jumping back into the sports collectible hobby, or provide advice to other returning collectors to help them get the most value when they sell their collections, the more focused Sandy is, the better off he’ll be.\r\n\r\nSandy could also head right for the techie world for his sports collectible–related side hustle by focusing on <em>non-fungible tokens</em> (NFTs), a hot new area in the sports marketplace (as well as the art world and other areas of society).\r\n\r\nAn NFT is a unique “digital asset” (basically, an online image, audio clip, or video) that uses blockchain technology to essentially make that digital asset behave as if it were a physical “piece of something” that is actually owned by someone.\r\n\r\nSandy obviously doesn’t have any NFTs stashed away in those cardboard boxes up in his attic, but as he jumps into a sports-collectible side hustle, he absolutely could find something interesting and potentially lucrative related to NFTs.\r\n<p class=\"article-tips tip\">If you don’t have a clue about blockchain or NFTs and you’d like to learn more, check out <a href=\"https://www.dummies.com/book/technology/information-technology/data-science/general-data-science/blockchain-for-dummies-2nd-edition-281641/\" target=\"_blank\" rel=\"noopener\"><em>Blockchain For Dummies, 2nd Edition</em></a>, by Tiana Laurence, or <a href=\"https://www.dummies.com/book/business-careers-money/personal-finance/investing/investment-vehicles/nfts-for-dummies-288915/\" target=\"_blank\" rel=\"noopener\"><em>NFTs For Dummies</em></a> by Tiana Laurence and Seoyoung Kim, PhD.</p>\r\nSandy began his <a href=\"https://www.dummies.com/article/business-careers-money/business/small-business/start-ups/how-to-develop-a-side-hustle-business-plan-299705/\" target=\"_blank\" rel=\"noopener\">side-hustle planning</a> the right way: by first selecting some area of interest and then narrowing that area down. No matter what your side hustle is going to be, you’ll almost certainly find yourself following the same narrowing-down steps. The table below shows a few different side-hustle topical areas and then, for each one, some of the underlying narrowed-down subcategories.\r\n\r\n \r\n<table>\r\n<tbody>\r\n<tr>\r\n<td><strong>Side-Hustle Topical Areas</strong></td>\r\n<td><strong>Example Subcategories</strong></td>\r\n</tr>\r\n<tr>\r\n<td>Beauty and appearance</td>\r\n<td>Haircutting and hairstyling, women’s haircutting and hairstyling, hair blowouts, manicures and pedicures, eyebrow microblading, laser hair removal</td>\r\n</tr>\r\n<tr>\r\n<td>Health and exercise</td>\r\n<td>Outdoor biking, stationary biking and spinning, hiking, weightlifting, resistance training, martial arts</td>\r\n</tr>\r\n<tr>\r\n<td>Home-design services</td>\r\n<td>Furniture layout, kitchen remodeling, home exteriors, backyard design, firepits</td>\r\n</tr>\r\n<tr>\r\n<td>Fashion</td>\r\n<td>Women’s clothing, vintage women’s clothing, jewelry and accessories, vintage jewelry</td>\r\n</tr>\r\n</tbody>\r\n</table>\r\n \r\n\r\nEven if you’re doing the “just something to earn extra money” version of a side hustle rather than trying to monetize an interest or hobby, you still need to do at least a little bit of narrowing down. Suppose you’ve decided to do some gig-economy delivery service. Do you want to also do shopping and then deliver what you buy at the supermarket or at other stores?\r\n\r\nMaybe you just want to pick up food from restaurants and deliver the food to homes, with no shopping involved. Making this particular decision will help you decide between, say, an Instacart side hustle versus doing something with DoorDash or Grubhub. Or you may want to just deliver packages for Amazon.\r\n<p class=\"article-tips remember\">You can “package up” as many different side-hustle ideas as you have time for or that make sense for you. You aren’t even limited to ones that are closely related to one another, such as baseball and football cards, or hair and eyebrow microblading. Be careful not to spread yourself too thin, especially as you’re first getting started in the world of side hustles.</p>\r\n\r\n<h2 id=\"tab2\" >Taking your side hustle to market</h2>\r\nYou’ve selected your side-hustle topical areas to focus on, and you’ve decided what sort of side hustle to do (providing a service, selling something, delivering content, or monetizing an asset). Guess what: Your decision-making still needs to march ahead! Now you need to decide how you’re going to take your side hustle to market and how you’re going to reach prospective customers.\r\n\r\nYou could:\r\n<ul>\r\n \t<li>Go to market totally on your own.</li>\r\n \t<li>Leverage an online marketplace.</li>\r\n \t<li>Join a multilevel marketing (MLM) organization.</li>\r\n</ul>\r\n<h3>Going to market on your own</h3>\r\nYou can start, build, and run a side hustle that is structurally identical to a full-time business. As another example of someone starting a side hustle, let's say a woman named Breanna went down this particular side-hustle road for her online boutique. She built a simple website and Shopify store and is doing her own social-media marketing.\r\n\r\nBreanna lined up her suppliers and set aside a spare bedroom in her house to serve as a warehouse and shipping area. She processes customer orders as they come in and then packs and ships each outgoing package herself.\r\n\r\nBreanna’s brother, Brian, is also in the side-hustle game, but he has taken a different route than his sister did. Brian is a software engineer who wants to do a little smaller-scale contract software development for his side hustle. So, whereas Breanna is selling physical products for her side hustle, Brian is providing a service for his.\r\n\r\nBut other than the product-versus-service and fashion-versus-tech differences, Brian’s side hustle is very similar to Breanna’s. He also built his own website and has been doing online targeted ads to drum up business. Basically, Brian’s side hustle mirrors that of his sister in terms of going to market as a microcosm of a larger business.\r\n<h3>Leveraging an online marketplace</h3>\r\nRather than try to market and advertise your side hustle totally from scratch, you can get a head start by posting your services on an existing online marketplace that’s widely known and that your potential customers frequently visit to find providers for what you’re selling.\r\n\r\nKeith is a software engineer at the same company where Brian works, and he also wants to start a software development side hustle. Keith, however, doesn’t have the patience to set up his own website or to do his own targeted marketing on social media to try to find business.\r\n\r\nInstead, Keith lists his services on Fiverr, an online marketplace where people and businesses come to find contractors for software development, video editing and production, graphic design, market research, writing a business plan, or other professional services.\r\n<p class=\"article-tips remember\">Many people like Keith use online marketplaces such as Fiverr, Upwork, Freelancer, Guru, and other sites as the foundation for their side hustles.</p>\r\nOnline marketplaces aren’t limited to professional services side hustles, either. For example:\r\n<ul>\r\n \t<li>If you do dog walking or pet sitting for your side hustle, you can list your services on Rover, Holidog, or Puppy Friends Social Club.</li>\r\n \t<li>If you provide home-related services, you can go to market through Angi or Thumbtack.</li>\r\n \t<li>If you do freelance hair styling or tutoring, or provide dance lessons, you can post your services on the aforementioned Fiverr under the “Lifestyle” category.</li>\r\n</ul>\r\nSuppose Sandy decides his sports collectible–related side hustle will be to help other people figure out how much their long-forgotten vintage card collections are worth. Sandy could list “Vintage Baseball Card Appraisal and Valuation” on Fiverr under “Lifestyle” services.\r\n\r\nIn fact, if you happen to be a Pokémon collector, you’re in good company with other side hustlers who post that they’ll help you figure out how much your Pokémon collection is worth. Another side-hustle freelancer posts that they’ll appraise Peanuts (the comic strip with Snoopy, Charlie Brown, and their friends) collectibles.\r\n\r\nIf you can imagine a product or service, odds are that you can come up with a related side hustle!\r\n<h3>Multilevel marketing organizations</h3>\r\nMLM organizations — also called <em>network marketing</em> companies — are <em>the</em> most controversial topic in the world of side hustles. Some people swear that MLMs are the absolute best way to do a side hustle, while others swear <em>at</em> MLMs and regret the day they ever signed up for one. So, what’s the story with MLMs?\r\n\r\nSuppose you’re interested in selling exercise clothing, activewear, and leisurewear for a side hustle. You could do what Breanna did:\r\n<ul>\r\n \t<li>Build your own website or storefront.</li>\r\n \t<li>Decide which specific products you want to sell.</li>\r\n \t<li>Find suppliers for the products you want to sell.</li>\r\n \t<li>Figure out the tricks of social-media advertising to reach potential customers.</li>\r\n \t<li>Pack and ship orders if you’re handling your own inventory.</li>\r\n</ul>\r\nOn the other hand, you could find an MLM that markets the type of activewear and leisurewear that you want to sell and then join that MLM.\r\n\r\nYou don’t just sign up with an MLM, however. The term <em>multilevel</em> is part of the name for a reason. You typically become part of the sales network for someone who is already a member of that company (thus, the significance of the work <em>network</em> in <em>network marketing</em>). Further, as illustrated in the figure below, that network is constructed in multiple tiers, or levels, thus, the name <em>multilevel marketing.</em>\r\n\r\n[caption id=\"attachment_299318\" align=\"alignnone\" width=\"630\"]<img class=\"size-full wp-image-299318\" src=\"https://www.dummies.com/wp-content/uploads/multilevel-marketing-diagram.jpg\" alt=\"Diagram showing a typical multilevel marketing (MLM) hierarchical structure\" width=\"630\" height=\"485\" /> ©John Wiley & Sons, Inc.<br />A typical multilevel marketing (MLM) hierarchical structure[/caption]\r\n\r\nIf you join an MLM, you make money from selling products to other people. But you also make money by bringing other people into the company and typically by receiving a small portion of the sales made by each person in your network. Basically, the larger your network, the more money you can make from products that other people sell.\r\n\r\nThe pyramid-like structure of the typical sales force within a multilevel marketing company is why many people view MLMs as a “pyramid scheme.” The full story is somewhat murkier.\r\n\r\nIf an MLM company has a viable product that its independent contractor sales associates — basically, a whole bunch of people doing side hustles — offers and sells to the public, then despite the pyramid-like structure the MLM likely isn’t a pyramid <em>scheme</em> in the classic financial fraud sense. But the key is that the company does need to have real products or services that you and others actually sell.\r\n\r\nYou need to do your homework and determine:\r\n<ul>\r\n \t<li>How to figure out if a given MLM’s compensation model is good for you</li>\r\n \t<li>Whether you can make any money if you’re way, way down the sales ladder</li>\r\n \t<li>How sales territories are allocated</li>\r\n \t<li>If you’re required to purchase a monthly allocation of products, or if you can purchase products as you sell them</li>\r\n</ul>\r\nFrom a side-hustle perspective, MLMs have some interesting advantages and possible disadvantages. On the plus side, you can find an MLM for almost anything that you want to sell for your side hustle: clothing, health and wellness products, cleaning supplies, cooking-related products, makeup, and even (ahem) “adult” products. If you can imagine something, you almost certainly can find an MLM to join!\r\n<p class=\"article-tips warning\">One possible drawback, however, is that if you join an MLM, much — maybe even most or all — of your selling will be to family members and friends. Before you head down the MLM road for your side hustle, think about the possibility of constantly pushing new products on your friends and family, or dealing with them as dissatisfied customers, or telling your sister or a parent that the automatic payment on their credit card was rejected last month — yeah, might not be a whole lot of fun.</p>","blurb":"","authors":[{"authorId":10511,"name":"Alan R. Simon","slug":"alan-r-simon","description":" <p><b>Alan Simon</b> began his first side hustle in 1982, doing consulting for small businesses and not-for-profits. He's been juggling a variety of side gigs ever since. Alan has been writing novels for 20 years and is currently the managing principal of Thinking Helmet, Inc., a boutique consulting firm.</p>","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/10511"}}],"primaryCategoryTaxonomy":{"categoryId":34253,"title":"General Small Business","slug":"general-small-business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34253"}},"secondaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"tertiaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"trendingArticles":[{"articleId":192609,"title":"How to Pray the Rosary: A Comprehensive Guide","slug":"how-to-pray-the-rosary","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/192609"}},{"articleId":208741,"title":"Kabbalah For Dummies Cheat Sheet","slug":"kabbalah-for-dummies-cheat-sheet","categoryList":["body-mind-spirit","religion-spirituality","kabbalah"],"_links":{"self":"/articles/208741"}},{"articleId":230957,"title":"Nikon D3400 For Dummies Cheat Sheet","slug":"nikon-d3400-dummies-cheat-sheet","categoryList":["home-auto-hobbies","photography"],"_links":{"self":"/articles/230957"}},{"articleId":235851,"title":"Praying the Rosary and Meditating on the Mysteries","slug":"praying-rosary-meditating-mysteries","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/235851"}},{"articleId":284787,"title":"What Your Society Says About You","slug":"what-your-society-says-about-you","categoryList":["academics-the-arts","humanities"],"_links":{"self":"/articles/284787"}}],"inThisArticle":[{"label":"How a passion becomes a side hustle","target":"#tab1"},{"label":"Taking your side hustle to market","target":"#tab2"}],"relatedArticles":{"fromBook":[{"articleId":299705,"title":"How To Develop a Side Hustle Business Plan","slug":"how-to-develop-a-side-hustle-business-plan","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/299705"}},{"articleId":291541,"title":"Side Hustles For Dummies Cheat Sheet","slug":"side-hustles-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/291541"}}],"fromCategory":[{"articleId":226108,"title":"Packing Power into Advertising Headlines","slug":"packing-power-advertising-headlines","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/226108"}},{"articleId":226105,"title":"How Small Business Marketing Is Different","slug":"small-business-marketing-different","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/226105"}},{"articleId":226102,"title":"Marketing a Start-Up Business","slug":"marketing-start-business","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/226102"}},{"articleId":226099,"title":"The Relationship between Marketing and Sales","slug":"relationship-marketing-sales","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/226099"}},{"articleId":226096,"title":"Marketing: The Whole is Greater Than the Parts","slug":"marketing-whole-greater-parts","categoryList":["business-careers-money","business","small-business","general-small-business"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/226096"}}]},"hasRelatedBookFromSearch":false,"relatedBook":{"bookId":291196,"slug":"side-hustles-for-dummies","isbn":"9781119870135","categoryList":["business-careers-money","business","small-business","general-small-business"],"amazon":{"default":"https://www.amazon.com/gp/product/1119870135/ref=as_li_tl?ie=UTF8&tag=wiley01-20","ca":"https://www.amazon.ca/gp/product/1119870135/ref=as_li_tl?ie=UTF8&tag=wiley01-20","indigo_ca":"http://www.tkqlhce.com/click-9208661-13710633?url=https://www.chapters.indigo.ca/en-ca/books/product/1119870135-item.html&cjsku=978111945484","gb":"https://www.amazon.co.uk/gp/product/1119870135/ref=as_li_tl?ie=UTF8&tag=wiley01-20","de":"https://www.amazon.de/gp/product/1119870135/ref=as_li_tl?ie=UTF8&tag=wiley01-20"},"image":{"src":"https://www.dummies.com/wp-content/uploads/9781119870135-203x255.jpg","width":203,"height":255},"title":"Side Hustles For Dummies","testBankPinActivationLink":"","bookOutOfPrint":true,"authorsInfo":"<p><b>Alan Simon</b> began his first side hustle in 1982, doing consulting for small businesses and not-for-profits. He's been juggling a variety of side gigs ever since. Alan has been writing novels for 20 years and is currently the managing principal of Thinking Helmet, Inc., a boutique consulting firm.</p>","authors":[{"authorId":10511,"name":"Alan R. Simon","slug":"alan-r-simon","description":" <p><b>Alan Simon</b> began his first side hustle in 1982, doing consulting for small businesses and not-for-profits. He's been juggling a variety of side gigs ever since. Alan has been writing novels for 20 years and is currently the managing principal of Thinking Helmet, Inc., a boutique consulting firm.</p>","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/10511"}}],"_links":{"self":"https://dummies-api.dummies.com/v2/books/"}},"collections":[],"articleAds":{"footerAd":"<div class=\"du-ad-region row\" id=\"article_page_adhesion_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_adhesion_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;general-small-business&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781119870135&quot;]}]\" id=\"du-slot-64b011aee0883\"></div></div>","rightAd":"<div class=\"du-ad-region row\" id=\"article_page_right_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_right_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;general-small-business&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781119870135&quot;]}]\" id=\"du-slot-64b011aee0f74\"></div></div>"},"articleType":{"articleType":"Articles","articleList":null,"content":null,"videoInfo":{"videoId":null,"name":null,"accountId":null,"playerId":null,"thumbnailUrl":null,"description":null,"uploadDate":null}},"sponsorship":{"sponsorshipPage":false,"backgroundImage":{"src":null,"width":0,"height":0},"brandingLine":"","brandingLink":"","brandingLogo":{"src":null,"width":0,"height":0},"sponsorAd":"","sponsorEbookTitle":"","sponsorEbookLink":"","sponsorEbookImage":{"src":null,"width":0,"height":0}},"primaryLearningPath":"Advance","lifeExpectancy":"Five years","lifeExpectancySetFrom":"2023-06-15T00:00:00+00:00","dummiesForKids":"no","sponsoredContent":"no","adInfo":"","adPairKey":[]},"status":"publish","visibility":"public","articleId":299313},{"headers":{"creationTime":"2019-10-14T12:31:39+00:00","modifiedTime":"2023-07-10T19:01:59+00:00","timestamp":"2023-07-10T21:01:03+00:00"},"data":{"breadcrumbs":[{"name":"Business, Careers, & Money","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34224"},"slug":"business-careers-money","categoryId":34224},{"name":"Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34225"},"slug":"business","categoryId":34225},{"name":"Small Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34251"},"slug":"small-business","categoryId":34251},{"name":"Start-Ups","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34252"},"slug":"start-ups","categoryId":34252}],"title":"Ready to Start a Home Business? Take this Quiz to Find Out","strippedTitle":"ready to start a home business? take this quiz to find out","slug":"want-to-start-a-work-from-home-business-take-this-quiz-to-see-if-youre-ready","canonicalUrl":"","seo":{"metaDescription":"Are you ready to take the plunge and start your work-from-home business? Take this quiz from Dummies.com to determine your readiness.","noIndex":0,"noFollow":0},"content":"Many people talk <a href=\"https://www.dummies.com/business/start-a-business/good-reasons-to-start-a-home-based-business/\">about starting a work-from-home businesses</a>, and many dream about becoming their own bosses. Making the transition from a full-time career to self-employment, however, is a big change in anyone’s life. Are you really ready to make the move to a home business, or should you put the idea of <a href=\"https://www.dummies.com/business/start-a-business/home-based-business-for-dummies-cheat-sheet/\">having your own work-from-home business</a> on the back burner for a while longer?\r\n\r\nTo help you decide, take the following work-from-home business quiz. Circle your answer to each of these questions, add up the results, and find out if you’re ready to take the plunge!\r\n<ol>\r\n \t<li><strong> How strong is your drive to succeed in your own work-from-home business?</strong>\r\n<ol>\r\n \t<li>I can and will be a success. Period.</li>\r\n \t<li>I’m fairly confident that if I put my mind to it, I will succeed.</li>\r\n \t<li>I’m not sure. Let me think about it for a while.</li>\r\n \t<li>Did I say that I wanted to start my own business? Are you sure that was me?</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> Are you ready to work as hard as or harder than you have ever worked before?</strong>\r\n<ol>\r\n \t<li>You bet — I’m ready to do whatever it takes to succeed!</li>\r\n \t<li>Sure, I don’t mind working hard as long as I get something out of it.</li>\r\n \t<li>Okay, as long as I still get weekends and evenings off.</li>\r\n \t<li>What? You mean I’ll still have to work after I start my own business? Isn’t that why I hire employees?</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> Do you like the idea of controlling your own work instead of having someone else control it for you?</strong>\r\n<ol>\r\n \t<li>I don’t want anyone controlling my work but me!</li>\r\n \t<li>That’s certainly my first choice.</li>\r\n \t<li>It sounds like an interesting idea — can I?</li>\r\n \t<li>Do I have to control my own work? Can’t someone control it for me?</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> Have you developed a strong network of potential customers?</strong>\r\n<ol>\r\n \t<li>Yes, here are their names and numbers.</li>\r\n \t<li>Yes, I have some pretty strong leads.</li>\r\n \t<li>Not yet, but I’ve started kicking around some ideas with potential customers.</li>\r\n \t<li>I’m sure that as soon as I let people know that I’m starting my own business, customers will line up.</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> Do you have a plan for making the transition into your work-from-home job?</strong>\r\n<ol>\r\n \t<li>Here it is — would you like to read the executive summary or the full plan?</li>\r\n \t<li>Yes, I’ve spent a lot of time considering my options and making plans.</li>\r\n \t<li>I’m just getting started.</li>\r\n \t<li>I don’t believe in plans — they crimp my style.</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> Do you have enough money saved to tide you over while you get your work-from-home business off the ground?</strong>\r\n<ol>\r\n \t<li>Will the year’s salary that I have saved be enough?</li>\r\n \t<li>I have six months’ expenses hidden away for a rainy day.</li>\r\n \t<li>I have three months’ worth.</li>\r\n \t<li>I’m still trying to pay off my college student loans.</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> How strong is your self-image?</strong>\r\n<ol>\r\n \t<li>I <em>am</em> self-esteem!</li>\r\n \t<li>I strongly believe in my own self-worth and in my ability to create my own opportunities.</li>\r\n \t<li>I feel fairly secure with myself; just don’t push too hard.</li>\r\n \t<li>I don’t know — what do you think?</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> Do you have the support of your significant other and/or family?</strong>\r\n<ol>\r\n \t<li>They’re all on board, are an integral part of my plan, and have been assigned responsibilities.</li>\r\n \t<li>They’re in favor of whatever makes me happy.</li>\r\n \t<li>I’m pretty sure they’ll support me.</li>\r\n \t<li>I’m going to tell them about it later.</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> If it’s a necessary part of your plan, will you be able to start up your work-from-home business while you remain in your current job?</strong>\r\n<ol>\r\n \t<li>Sure — in fact, my boss wants in!</li>\r\n \t<li>If I make a few adjustments in my schedule, I can’t see any other reason why I can’t.</li>\r\n \t<li>Would you please repeat the question?</li>\r\n \t<li>Maybe I’ll be able to work on it for a couple of hours a month.</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> What will you tell friends when they ask why you quit that great job?</strong>\r\n<ol>\r\n \t<li>I’m free at last!</li>\r\n \t<li>That the benefits clearly outweigh the potential costs.</li>\r\n \t<li>I don’t know; maybe they won’t ask.</li>\r\n \t<li>I’ll pretend that I’m still working for my old organization.</li>\r\n</ol>\r\n</li>\r\n</ol>\r\nGive yourself 5 points for every 1 answer, 3 points for every 2, –3 for every 3 (should be easy to calculate), and –5 for every 4. Now tally up the numbers, and compare your results with the following ranges of numbers.\r\n\r\nBy comparing your total points with the points contained in each of the six following categories, you can find out whether you’re ready to jump into your own work-from-home business:\r\n<ul>\r\n \t<li><strong>25 to 50 points:</strong> Assuming you were honest with yourself as you answered the preceding questions (you were, weren’t you?), you’re ready to start a work-from-home business! You just need to decide whether to drop your day job or work into your new business gradually.</li>\r\n \t<li><strong>1 to 24 points:</strong> You’re definitely warming up to the idea of starting your own work-from-home business. Consider starting your own business in the near future, but make sure to keep your day job until you have your venture well under way.</li>\r\n \t<li><strong>0 points:</strong> You can go either way on this one. Why don’t you try taking this test again in another month or two? Read this book in the meantime.</li>\r\n \t<li>–<strong>1 to –24 points:</strong> Unfortunately, you don’t appear to be quite ready to make the move from career to work-from-home business. You should do <a href=\"https://www.dummies.com/business/human-resources/workplace/shattering-the-myths-about-working-from-home/\">some additional research</a> and then take this test again in a few months. Maybe working for someone else isn’t the worst thing that can happen to you.</li>\r\n \t<li>–<strong>25 to –50:</strong> Forget it. You were clearly born to work for someone else. A work-from-home business isn’t for you.</li>\r\n</ul>\r\nAre you ready to make the move to starting a work-from-home business? If the quiz indicates otherwise, don’t worry — you’ll have plenty of opportunities in the future. When you’re ready for a work-from-home job, they’ll be ready for you. If you’re ready now, congratulations!\r\n<p class=\"article-tips tip\">If you’re ready, use these <a href=\"https://www.dummies.com/business/start-a-business/business-plans/how-to-succeed-in-your-home-based-business/\">tips to succeed in your work-from-home business</a>.</p>","description":"Many people talk <a href=\"https://www.dummies.com/business/start-a-business/good-reasons-to-start-a-home-based-business/\">about starting a work-from-home businesses</a>, and many dream about becoming their own bosses. Making the transition from a full-time career to self-employment, however, is a big change in anyone’s life. Are you really ready to make the move to a home business, or should you put the idea of <a href=\"https://www.dummies.com/business/start-a-business/home-based-business-for-dummies-cheat-sheet/\">having your own work-from-home business</a> on the back burner for a while longer?\r\n\r\nTo help you decide, take the following work-from-home business quiz. Circle your answer to each of these questions, add up the results, and find out if you’re ready to take the plunge!\r\n<ol>\r\n \t<li><strong> How strong is your drive to succeed in your own work-from-home business?</strong>\r\n<ol>\r\n \t<li>I can and will be a success. Period.</li>\r\n \t<li>I’m fairly confident that if I put my mind to it, I will succeed.</li>\r\n \t<li>I’m not sure. Let me think about it for a while.</li>\r\n \t<li>Did I say that I wanted to start my own business? Are you sure that was me?</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> Are you ready to work as hard as or harder than you have ever worked before?</strong>\r\n<ol>\r\n \t<li>You bet — I’m ready to do whatever it takes to succeed!</li>\r\n \t<li>Sure, I don’t mind working hard as long as I get something out of it.</li>\r\n \t<li>Okay, as long as I still get weekends and evenings off.</li>\r\n \t<li>What? You mean I’ll still have to work after I start my own business? Isn’t that why I hire employees?</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> Do you like the idea of controlling your own work instead of having someone else control it for you?</strong>\r\n<ol>\r\n \t<li>I don’t want anyone controlling my work but me!</li>\r\n \t<li>That’s certainly my first choice.</li>\r\n \t<li>It sounds like an interesting idea — can I?</li>\r\n \t<li>Do I have to control my own work? Can’t someone control it for me?</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> Have you developed a strong network of potential customers?</strong>\r\n<ol>\r\n \t<li>Yes, here are their names and numbers.</li>\r\n \t<li>Yes, I have some pretty strong leads.</li>\r\n \t<li>Not yet, but I’ve started kicking around some ideas with potential customers.</li>\r\n \t<li>I’m sure that as soon as I let people know that I’m starting my own business, customers will line up.</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> Do you have a plan for making the transition into your work-from-home job?</strong>\r\n<ol>\r\n \t<li>Here it is — would you like to read the executive summary or the full plan?</li>\r\n \t<li>Yes, I’ve spent a lot of time considering my options and making plans.</li>\r\n \t<li>I’m just getting started.</li>\r\n \t<li>I don’t believe in plans — they crimp my style.</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> Do you have enough money saved to tide you over while you get your work-from-home business off the ground?</strong>\r\n<ol>\r\n \t<li>Will the year’s salary that I have saved be enough?</li>\r\n \t<li>I have six months’ expenses hidden away for a rainy day.</li>\r\n \t<li>I have three months’ worth.</li>\r\n \t<li>I’m still trying to pay off my college student loans.</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> How strong is your self-image?</strong>\r\n<ol>\r\n \t<li>I <em>am</em> self-esteem!</li>\r\n \t<li>I strongly believe in my own self-worth and in my ability to create my own opportunities.</li>\r\n \t<li>I feel fairly secure with myself; just don’t push too hard.</li>\r\n \t<li>I don’t know — what do you think?</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> Do you have the support of your significant other and/or family?</strong>\r\n<ol>\r\n \t<li>They’re all on board, are an integral part of my plan, and have been assigned responsibilities.</li>\r\n \t<li>They’re in favor of whatever makes me happy.</li>\r\n \t<li>I’m pretty sure they’ll support me.</li>\r\n \t<li>I’m going to tell them about it later.</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> If it’s a necessary part of your plan, will you be able to start up your work-from-home business while you remain in your current job?</strong>\r\n<ol>\r\n \t<li>Sure — in fact, my boss wants in!</li>\r\n \t<li>If I make a few adjustments in my schedule, I can’t see any other reason why I can’t.</li>\r\n \t<li>Would you please repeat the question?</li>\r\n \t<li>Maybe I’ll be able to work on it for a couple of hours a month.</li>\r\n</ol>\r\n</li>\r\n \t<li><strong> What will you tell friends when they ask why you quit that great job?</strong>\r\n<ol>\r\n \t<li>I’m free at last!</li>\r\n \t<li>That the benefits clearly outweigh the potential costs.</li>\r\n \t<li>I don’t know; maybe they won’t ask.</li>\r\n \t<li>I’ll pretend that I’m still working for my old organization.</li>\r\n</ol>\r\n</li>\r\n</ol>\r\nGive yourself 5 points for every 1 answer, 3 points for every 2, –3 for every 3 (should be easy to calculate), and –5 for every 4. Now tally up the numbers, and compare your results with the following ranges of numbers.\r\n\r\nBy comparing your total points with the points contained in each of the six following categories, you can find out whether you’re ready to jump into your own work-from-home business:\r\n<ul>\r\n \t<li><strong>25 to 50 points:</strong> Assuming you were honest with yourself as you answered the preceding questions (you were, weren’t you?), you’re ready to start a work-from-home business! You just need to decide whether to drop your day job or work into your new business gradually.</li>\r\n \t<li><strong>1 to 24 points:</strong> You’re definitely warming up to the idea of starting your own work-from-home business. Consider starting your own business in the near future, but make sure to keep your day job until you have your venture well under way.</li>\r\n \t<li><strong>0 points:</strong> You can go either way on this one. Why don’t you try taking this test again in another month or two? Read this book in the meantime.</li>\r\n \t<li>–<strong>1 to –24 points:</strong> Unfortunately, you don’t appear to be quite ready to make the move from career to work-from-home business. You should do <a href=\"https://www.dummies.com/business/human-resources/workplace/shattering-the-myths-about-working-from-home/\">some additional research</a> and then take this test again in a few months. Maybe working for someone else isn’t the worst thing that can happen to you.</li>\r\n \t<li>–<strong>25 to –50:</strong> Forget it. You were clearly born to work for someone else. A work-from-home business isn’t for you.</li>\r\n</ul>\r\nAre you ready to make the move to starting a work-from-home business? If the quiz indicates otherwise, don’t worry — you’ll have plenty of opportunities in the future. When you’re ready for a work-from-home job, they’ll be ready for you. If you’re ready now, congratulations!\r\n<p class=\"article-tips tip\">If you’re ready, use these <a href=\"https://www.dummies.com/business/start-a-business/business-plans/how-to-succeed-in-your-home-based-business/\">tips to succeed in your work-from-home business</a>.</p>","blurb":"","authors":[{"authorId":8975,"name":"Eric Tyson","slug":"eric-tyson","description":" <p><b>Eric Tyson, MBA,</b> has been a personal finance writer, lecturer, and counselor for the past 25+ years. He is the author or coauthor of numerous For Dummies bestsellers on personal finance, investing, and home buying.</p> <p><b>Bob Nelson, PhD,</b> is considered one of the world&#8217;s leading experts on employee engagement, recognition, and rewards. He is president of Nelson Motivation, Inc., a management training and consulting company that helps organizations improve their administration practices, programs, and systems. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/8975"}},{"authorId":9062,"name":"Bob Nelson","slug":"bob-nelson","description":" <b>Bob Nelson</b> (San Diego, CA) is founder and president of Nelson Motivation, Inc., a management training and consulting firm based in San Diego, California. As a practicing manager and a best-selling author, he is an internationally recognized expert in the areas of employee recognition, rewards, motivation, morale, retention, productivity, and management. He is author of the bestselling book <i>1001 Ways to Reward Employees</i> (Workman) &#8212; which has sold over 1.5 million copies worldwide &#8212; and coauthor of the best-selling book <i>Managing For Dummies,</i> 2nd Edition, with Peter Economy (Wiley), as well as 18 other books on management and motivation.<br /> Bob has been featured extensively in the media, including television appearances on CNN, CNBC, PBS, and MSNBC; radio appearances on NPR, USA Radio Network and the Business News Network; and print appearances in the <i>New York Times</i>, the <i>Wall Street Journal</i>, the <i>Washington Post</i>, and many more. He writes a weekly column for <i>American City Business Journals</i> and a monthly column for <i>Corporate Meetings &amp; Incentives</i>, among others.<br /> Dr. Nelson received his PhD in management from The Peter F. Drucker Graduate Management Center of Claremont Graduate University in suburban Los Angeles, and received his MBA in organizational behavior from The University of California at Berkeley. For more information on products and services offered by Nelson Motivation, Inc. &#8212; including speaking or consulting services &#8212; call 800-575-5521. Visit Bob at his Web site: www.nelsonmotivation.com. <p><b>Peter Economy</b> (La Jolla, CA) is a freelance business writer and publishing consultant who is associate editor of the Apex award-winning magazine <i>Leader to Leader</i>, and coauthor of the best-selling book <i>Managing For Dummies,</i> 2nd Edition, with Bob Nelson (Wiley), <i>Giving Back</i> with Bert Berkley (Wiley), <i>The SAIC Solution</i> with J. Robert Beyster (Wiley), as well as the author or coauthor of more than 30 other books on a wide variety of business and other topics. Visit Peter at his Web site: www.petereconomy.com and be sure to check out his Free Book Project at: www.booksforfree.org.</p>","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9062"}}],"primaryCategoryTaxonomy":{"categoryId":34252,"title":"Start-Ups","slug":"start-ups","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34252"}},"secondaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"tertiaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"trendingArticles":[{"articleId":192609,"title":"How to Pray the Rosary: A Comprehensive Guide","slug":"how-to-pray-the-rosary","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/192609"}},{"articleId":208741,"title":"Kabbalah For Dummies Cheat Sheet","slug":"kabbalah-for-dummies-cheat-sheet","categoryList":["body-mind-spirit","religion-spirituality","kabbalah"],"_links":{"self":"/articles/208741"}},{"articleId":230957,"title":"Nikon D3400 For Dummies Cheat Sheet","slug":"nikon-d3400-dummies-cheat-sheet","categoryList":["home-auto-hobbies","photography"],"_links":{"self":"/articles/230957"}},{"articleId":235851,"title":"Praying the Rosary and Meditating on the Mysteries","slug":"praying-rosary-meditating-mysteries","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/235851"}},{"articleId":284787,"title":"What Your Society Says About You","slug":"what-your-society-says-about-you","categoryList":["academics-the-arts","humanities"],"_links":{"self":"/articles/284787"}}],"inThisArticle":[],"relatedArticles":{"fromBook":[{"articleId":265147,"title":"Job Coaching Tips that Foster Employee Development","slug":"job-coaching-tips-to-promote-career-growth-and-success-in-your-employees","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/265147"}},{"articleId":265141,"title":"Basic Accounting Terms for Small Business Owners","slug":"basic-accounting-terms-for-small-business-owners","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/265141"}},{"articleId":265131,"title":"How To Start Your Own Work-from-Home Business","slug":"what-you-need-to-know-about-starting-your-own-work-from-home-business","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/265131"}},{"articleId":265126,"title":"How to Conduct Great Job Interviews","slug":"how-to-be-a-great-interviewer-interviewer-tips-for-hiring-good-people","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/265126"}},{"articleId":207554,"title":"Starting a Business All-In-One For Dummies Cheat Sheet","slug":"starting-a-business-all-in-one-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/207554"}}],"fromCategory":[{"articleId":297984,"title":"Starting and Running a Business All-in-One For Dummies Cheat Sheet (UK Edition)","slug":"starting-and-running-a-business-all-in-one-for-dummies-cheat-sheet-uk-edition","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/297984"}},{"articleId":291541,"title":"Side Hustles For Dummies Cheat Sheet","slug":"side-hustles-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/291541"}},{"articleId":289724,"title":"Launching and Building a Brand For Dummies Cheat Sheet","slug":"launching-and-building-a-brand-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/289724"}},{"articleId":269861,"title":"Establishing Website Goals for Your Online Business","slug":"establish-website-goals-and-conversions-for-your-online-business","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/269861"}},{"articleId":269855,"title":"How to Choose an Identity for Your Online Business","slug":"how-to-choose-an-identity-for-your-online-business","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/269855"}}]},"hasRelatedBookFromSearch":false,"relatedBook":{"bookId":282599,"slug":"starting-a-business-all-in-one-for-dummies","isbn":"9781119868569","categoryList":["business-careers-money","business","small-business","start-ups"],"amazon":{"default":"https://www.amazon.com/gp/product/1119868564/ref=as_li_tl?ie=UTF8&tag=wiley01-20","ca":"https://www.amazon.ca/gp/product/1119868564/ref=as_li_tl?ie=UTF8&tag=wiley01-20","indigo_ca":"http://www.tkqlhce.com/click-9208661-13710633?url=https://www.chapters.indigo.ca/en-ca/books/product/1119868564-item.html&cjsku=978111945484","gb":"https://www.amazon.co.uk/gp/product/1119868564/ref=as_li_tl?ie=UTF8&tag=wiley01-20","de":"https://www.amazon.de/gp/product/1119868564/ref=as_li_tl?ie=UTF8&tag=wiley01-20"},"image":{"src":"https://www.dummies.com/wp-content/uploads/starting-a-business-all-in-one-for-dummies-3rd-edition-cover-9781119868569-203x255.jpg","width":203,"height":255},"title":"Starting a Business All-in-One For Dummies","testBankPinActivationLink":"","bookOutOfPrint":true,"authorsInfo":"","authors":[{"authorId":8975,"name":"Eric Tyson","slug":"eric-tyson","description":" <p><b>Eric Tyson, MBA,</b> has been a personal finance writer, lecturer, and counselor for the past 25+ years. He is the author or coauthor of numerous For Dummies bestsellers on personal finance, investing, and home buying.</p> <p><b>Bob Nelson, PhD,</b> is considered one of the world&#8217;s leading experts on employee engagement, recognition, and rewards. He is president of Nelson Motivation, Inc., a management training and consulting company that helps organizations improve their administration practices, programs, and systems. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/8975"}},{"authorId":9062,"name":"Bob Nelson","slug":"bob-nelson","description":" <b>Bob Nelson</b> (San Diego, CA) is founder and president of Nelson Motivation, Inc., a management training and consulting firm based in San Diego, California. As a practicing manager and a best-selling author, he is an internationally recognized expert in the areas of employee recognition, rewards, motivation, morale, retention, productivity, and management. He is author of the bestselling book <i>1001 Ways to Reward Employees</i> (Workman) &#8212; which has sold over 1.5 million copies worldwide &#8212; and coauthor of the best-selling book <i>Managing For Dummies,</i> 2nd Edition, with Peter Economy (Wiley), as well as 18 other books on management and motivation.<br /> Bob has been featured extensively in the media, including television appearances on CNN, CNBC, PBS, and MSNBC; radio appearances on NPR, USA Radio Network and the Business News Network; and print appearances in the <i>New York Times</i>, the <i>Wall Street Journal</i>, the <i>Washington Post</i>, and many more. He writes a weekly column for <i>American City Business Journals</i> and a monthly column for <i>Corporate Meetings &amp; Incentives</i>, among others.<br /> Dr. Nelson received his PhD in management from The Peter F. Drucker Graduate Management Center of Claremont Graduate University in suburban Los Angeles, and received his MBA in organizational behavior from The University of California at Berkeley. For more information on products and services offered by Nelson Motivation, Inc. &#8212; including speaking or consulting services &#8212; call 800-575-5521. Visit Bob at his Web site: www.nelsonmotivation.com. <p><b>Peter Economy</b> (La Jolla, CA) is a freelance business writer and publishing consultant who is associate editor of the Apex award-winning magazine <i>Leader to Leader</i>, and coauthor of the best-selling book <i>Managing For Dummies,</i> 2nd Edition, with Bob Nelson (Wiley), <i>Giving Back</i> with Bert Berkley (Wiley), <i>The SAIC Solution</i> with J. Robert Beyster (Wiley), as well as the author or coauthor of more than 30 other books on a wide variety of business and other topics. Visit Peter at his Web site: www.petereconomy.com and be sure to check out his Free Book Project at: www.booksforfree.org.</p>","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9062"}},{"authorId":34784,"name":"","slug":"","description":" <p><b>Eric Tyson, MBA,</b> has been a personal finance writer, lecturer, and counselor for the past 25+ years. He is the author or coauthor of numerous For Dummies bestsellers on personal finance, investing, and home buying.</p> <p><b>Bob Nelson, PhD,</b> is considered one of the world&#8217;s leading experts on employee engagement, recognition, and rewards. He is president of Nelson Motivation, Inc., a management training and consulting company that helps organizations improve their administration practices, programs, and systems. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/34784"}}],"_links":{"self":"https://dummies-api.dummies.com/v2/books/"}},"collections":[],"articleAds":{"footerAd":"<div class=\"du-ad-region row\" id=\"article_page_adhesion_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_adhesion_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;start-ups&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781119868569&quot;]}]\" id=\"du-slot-64ac718f68a02\"></div></div>","rightAd":"<div class=\"du-ad-region row\" id=\"article_page_right_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_right_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;start-ups&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781119868569&quot;]}]\" id=\"du-slot-64ac718f69174\"></div></div>"},"articleType":{"articleType":"Articles","articleList":null,"content":null,"videoInfo":{"videoId":null,"name":null,"accountId":null,"playerId":null,"thumbnailUrl":null,"description":null,"uploadDate":null}},"sponsorship":{"sponsorshipPage":false,"backgroundImage":{"src":null,"width":0,"height":0},"brandingLine":"","brandingLink":"","brandingLogo":{"src":null,"width":0,"height":0},"sponsorAd":"","sponsorEbookTitle":"","sponsorEbookLink":"","sponsorEbookImage":{"src":null,"width":0,"height":0}},"primaryLearningPath":"Explore","lifeExpectancy":"Two years","lifeExpectancySetFrom":"2023-07-10T00:00:00+00:00","dummiesForKids":"no","sponsoredContent":"no","adInfo":"","adPairKey":[]},"status":"publish","visibility":"public","articleId":265123},{"headers":{"creationTime":"2019-10-14T17:54:33+00:00","modifiedTime":"2023-07-10T17:39:31+00:00","timestamp":"2023-07-10T18:01:05+00:00"},"data":{"breadcrumbs":[{"name":"Business, Careers, & Money","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34224"},"slug":"business-careers-money","categoryId":34224},{"name":"Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34225"},"slug":"business","categoryId":34225},{"name":"Small Business","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34251"},"slug":"small-business","categoryId":34251},{"name":"Start-Ups","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34252"},"slug":"start-ups","categoryId":34252}],"title":"Job Coaching Tips that Foster Employee Development","strippedTitle":"job coaching tips that foster employee development","slug":"job-coaching-tips-to-promote-career-growth-and-success-in-your-employees","canonicalUrl":"","seo":{"metaDescription":"Want to promote career growth and success in our employees? Use these job coaching tips from Dummies.com to help develop the right skills in your personnel.","noIndex":0,"noFollow":0},"content":"Job coaching plays a critical part in the learning process for employees who are developing their skills, knowledge, and self-confidence. Your employees don’t learn effectively when you simply tell them what to do. In fact, they usually don’t learn at all.\r\n\r\nWith the right guidance, anyone can be <a href=\"https://www.dummies.com/business/human-resources/employee-engagement/tips-for-successful-employee-coaching-and-mentoring/\">a good job coach</a>. This article considers what effective job coaches do and how they do it so that you can coach your employees toward successful results.\r\n\r\n[caption id=\"attachment_265148\" align=\"aligncenter\" width=\"535\"]<img class=\"wp-image-265148 size-full\" src=\"https://www.dummies.com/wp-content/uploads/start-business-job-coaching.jpg\" alt=\"Job coaching\" width=\"535\" height=\"381\" /> ©Shutterstock/stoatphoto[/caption]\r\n<h2 id=\"tab1\" >Serve as both manager and job coach</h2>\r\nEven if you have a pretty good sense of what it means to be a manager, do you really know what it means to be a coach? A coach is a colleague, counselor, and cheerleader, all rolled into one. Based on that definition, are you a coach? Why or why not?\r\n\r\nSurely you’re familiar with the role of job coaches in other realms. A drama coach, for example, is almost always an accomplished actor or actress. The drama coach’s job is to conduct auditions for parts, assign roles, schedule rehearsals, train and direct cast members throughout rehearsals, and support and encourage the actors and actresses during the final stage production. These roles aren’t all that different from the roles managers perform in a business, are they?\r\n\r\nCoaching a team of individuals isn’t easy, and <a href=\"https://www.dummies.com/business/human-resources/employee-relations/great-leadership-mentor/\">certain characteristics make some coaches better than other</a>s. Fortunately, as with most other business skills, you can discover, practice, and improve the traits of good coaches. You can always find room for improvement, and good coaches are the first to admit it. Following are key characteristics and tasks for coaches:\r\n<ul>\r\n \t<li><strong>Job coaches set goals.</strong> Whether a small business’s vision is to become the leading pizza franchise in the city, to increase revenues by 20 percent a year, or simply to get the break room walls painted this year, coaches work with their employees to set goals and deadlines for completion. They then go away and allow their employees to determine how to accomplish the goals.</li>\r\n \t<li><strong>Job coaches support and encourage.</strong> Employees — even the best and most experienced — can easily become discouraged from time to time. When employees are learning new tasks, when a long-term account is lost, or when business is down, coaches are there, ready to step in and help the team members through the worst of it. “That’s okay, Kim. You’ve learned from your mistake, and I know that you’ll get it right next time!”</li>\r\n \t<li><strong>Job coaches emphasize team success over individual success.</strong> The team’s overall performance is the most important concern, not the stellar abilities of a particular team member. Coaches know that no one person can carry an entire team to success; winning takes the combined efforts of all team members. The development of teamwork skills is a vital step in an employee’s progress in a company.</li>\r\n \t<li><strong>Job coaches can quickly assess the talents and shortfalls of team members.</strong> The most successful job coaches can quickly determine their team members’ strengths and weaknesses and, as a result, tailor their approach to each. For example, if one team member has strong analytical skills but poor presentation skills, a coach can concentrate on providing support for the employee’s development of better presentation skills. “You know, Mark, I want to spend some time with you to work on making your viewgraph presentations more effective.”</li>\r\n \t<li><strong>Job coaches inspire their team members.</strong> Through their support and guidance, coaches are skilled at inspiring their team members to the highest levels of human performance. Teams of inspired individuals are willing to do whatever it takes to achieve their organization’s goals.</li>\r\n \t<li><strong>Job coaches create environments that allow individuals to succeed.</strong> Great coaches ensure that their workplaces are structured to let team members take risks and stretch their limits without fear of retribution if they fail.\r\n<p class=\"article-tips remember\">Job coaches are available to advise their employees or just to listen to their problems, as needed. “Carol, do you have a minute to discuss a personal problem?”</p>\r\n</li>\r\n \t<li><strong>Job coaches provide feedback.</strong> Communication and feedback between coach and employee is a critical element of the coaching process. Employees must know where they stand in the company — what they’re doing right and what they’re doing wrong. Equally important, employees must let their coaches know when they need help or assistance. And both parties need this dialogue in a timely manner, on an ongoing basis — not just once a year in a performance review.</li>\r\n</ul>\r\n<p class=\"article-tips warning\">Firing someone doesn’t constitute effective feedback. Unless an employee has engaged in some sort of intolerable offense (such as physical violence, theft, or intoxication on the job), a manager needs to give the employee plenty of verbal and written feedback before even considering termination. Giving employees several warnings offers them opportunities to correct deficiencies that they may not be able to see.</p>\r\n\r\n<h2 id=\"tab2\" >Identify a job coach’s tools</h2>\r\nJob coaching isn’t a one-dimensional activity. Because every person is different, <a href=\"https://www.dummies.com/business/management/how-to-coach-employees-for-engagement/\">the best job coaches tailor their approach to their team members’ specific, individualized needs</a>. If one team member is independent and needs only occasional guidance, recognize where she stands and provide that level of support. This support may consist of an occasional, informal progress check while making the rounds of the office\r\n\r\nOn the other hand, if another team member is insecure and needs more guidance, the job coach must recognize this employee’s position and assist as needed. In this case, support may consist of frequent, formal meetings with the employee to assess progress and provide advice and direction as needed.\r\n\r\nAlthough you have your own job coaching style, the best coaches employ certain techniques to elicit the greatest performance from their team members:\r\n<ul>\r\n \t<li><strong>Make time for team members.</strong> Managing is primarily a people job. Part of being a good manager and coach is being available to your employees when they need your help. If you’re not available, your employees may seek out other avenues to meet their needs — or simply stop trying to work with you. Always keep your door open to your employees and remember that they are your first priority. Manage by walking around. Regularly get out of your office and visit your employees at their workstations. “Do I have a minute, Elaine? Of course, I always have time for you and the other members of my staff.”</li>\r\n \t<li><strong>Provide context and vision.</strong> Instead of simply telling employees what to do, effective job coaches explain the why. Coaches provide their employees with context and a big-picture perspective. Instead of spouting long lists of do’s and don’ts, they explain how a system or procedure works and then define their employees’ parts in the scheme of things. “Chris, you have a very important part in the financial health and vitality of our company. By ensuring that our customers pay their invoices within 30 days after we ship their products, we’re able to keep our cash flow on the plus side, and we can pay our obligations such as rent, electricity, and your paycheck on time.”</li>\r\n \t<li><strong>Transfer knowledge and perspective.</strong> A great benefit of having a good job coach is the opportunity to learn from someone who has more experience than you do. In response to the unique needs of each team member, coaches transfer their personal knowledge and perspective<em>.</em> “We faced this exact situation about five years ago, Dwight. I’m going to tell you what we did then, and I want you to tell me whether you think it still makes sense today.”</li>\r\n \t<li><strong>Be a sounding board.</strong> <a href=\"https://www.dummies.com/careers/project-management/how-to-coach-employees-using-critical-conversation-skills/\">Job coaches talk through new ideas and approaches to solving problems</a> with their employees. Job coaches and employees can consider the implications of different approaches to solving a problem and role-play customer or client reactions before trying them out for real. By using active listening skills, coaches can often help their employees work through issues and come up with the best solutions themselves. “Okay, Priscilla, you’ve told me that you don’t think your customer will buy off on a 20 percent price increase. What options do you have to present the price increase, and are some more palatable than others?”</li>\r\n \t<li><strong>Obtain needed resources.</strong> Sometimes coaches can help their employees make the jump from marginal to outstanding performance simply by providing the resources those employees need. These resources can take many forms: money, time, staff, equipment, or other tangible assets. “So, Gene, you’re confident that we can improve our cash flow if we throw a couple more clerks into collections? Okay, we’ll give it a try.”</li>\r\n \t<li><strong>Offer a helping hand.</strong> For an employee who is learning a new job and is still responsible for performing her current job, the total workload can be overwhelming. Coaches can help workers through this transitional phase by reassigning current duties to other employees, authorizing overtime, or taking other measures to relieve the pressure. “Phoebe, while you’re learning how to troubleshoot that new network server, I’m going to assign your maintenance workload to Rachel. we can get back together at the end of the week to see how you’re doing.”</li>\r\n</ul>\r\n<h2 id=\"tab3\" >Effective job coaches teach through show and tell</h2>\r\nBesides the obvious job coaching roles of supporting and encouraging employees in their quest to achieve an organization’s goals, managers as coaches also teach their employees how to achieve an organization’s goals. Drawing from your experience, you lead your workers step by step through work processes or procedures. After they discover how to perform a task, you delegate full authority and responsibility for its performance to them.\r\n\r\nFor the transfer of specific skills, you can find no better way of teaching, and no better way of learning, than the <em>show-and-tell</em> method. Developed by a post–World War II American industrial society desperate to quickly train new workers in manufacturing processes, show-and-tell is beautiful in its simplicity and effectiveness.\r\n\r\nShow-and-tell coaching has three steps:\r\n<ol>\r\n \t<li><strong> You do, you say.</strong> Sit down with your employees and explain the procedure in general terms while you perform the task.</li>\r\n \t<li><strong> They do, you say.</strong> Now have the employees do the same procedure as you explain each step in the procedure.</li>\r\n \t<li><strong> They do, they say.</strong> Finally, as you observe, have your employees perform the task again as they explain to you what they’re doing.</li>\r\n</ol>\r\n<p class=\"article-tips tip\">As you go through these steps, have employees create a “cheat sheet” of the new steps to refer to until they become habit.</p>\r\n\r\n<h2 id=\"tab4\" >Good job coaches make turning points big successes</h2>\r\nDespite popular impressions to the contrary, 90 percent of management isn’t the big event — the blinding flash of brilliance that creates markets where none previously existed, the magnificent negotiation that results in unheard-of levels of union-management cooperation, or the masterful stroke that catapults the firm into the big leagues. No, 90 percent of a manager’s job consists of the daily chipping away at problems and the shaping of talents.\r\n<p class=\"article-tips remember\">The best coaches are constantly on the lookout for turning points — the daily opportunities to succeed that are available to all employees.</p>\r\nThe big successes — the victories against competitors, the dramatic surges in revenues or profits, the astounding new products — are typically the result of building a foundation of countless small successes along the way.\r\n\r\nMaking a phone-prompt system more responsive to your customers’ needs, sending an employee to a seminar on time management, writing a great sales agreement, conducting a meaningful performance appraisal with an employee, meeting a prospective client for lunch — all are turning points in the average business day. Although each event may not be particularly spectacular on its own, when aggregated over time, they can add up to big things.\r\n\r\nThis is the job of a coach. Instead of using dynamite to transform the business in one fell swoop (and taking the chance of destroying their business, their employees, or themselves in the process), job coaches are like the ancient stonemasons who built the great pyramids of Egypt. The movement and placement of each individual stone may not have seemed like a big deal when considered as a separate activity.\r\n\r\nHowever, each was an important step in achieving the ultimate result — the construction of awe-inspiring structures that have withstood thousands of years of war, weather, and tourists.\r\n<h2 id=\"tab5\" >Incorporate job coaching into your day-to-day interactions</h2>\r\nJob coaches focus daily on spending time with employees to help them succeed — to assess their progress and to find out what they can do to help the employees capitalize on the turning points that present themselves every day. Job coaches complement and supplement the abilities and experience of their employees by bringing their own abilities and experience to the table. They reward positive performance and help their employees learn important lessons from making mistakes — lessons that, in turn, help the employees improve their future performance.\r\n\r\nFor example, suppose you have a young and inexperienced, but bright and energetic, sales trainee on your staff. Your employee has done a great job of contacting customers and making sales calls, but she hasn’t yet closed her first deal. When you talk to her about this, she confesses that she’s nervous about her own personal turning point: She’s worried that she may become confused in front of the customer and blow the deal at the last minute. She needs your coaching.\r\n\r\nThe following guidelines can help you, the job coach, handle any employee’s concerns:\r\n<ul>\r\n \t<li><strong>Meet with your employee.</strong> Make an appointment with your employee as soon as possible for a relaxed discussion of the concerns. Find a quiet place free of distractions, and put your phone on hold or forward it to voice-mail.</li>\r\n \t<li><strong>Listen!</strong> One of the most motivating things one person can do for another is to listen. Avoid instant solutions or lectures. Before you say a word, ask your employee to bring you up-to-date with the situation, her concerns, and any possible approaches or solutions she’s considered. Let her do the talking while you do the listening.</li>\r\n \t<li><strong>Reinforce the positive.</strong> Begin by pointing out what your employee did right in the particular situation. Let your employee know when she’s on the right track. Give her positive feedback on her performance.</li>\r\n \t<li><strong>Highlight areas for improvement.</strong> Point out what your employee needs to do to improve and tell her what you can do to help. Agree on the assistance you can provide, whether your employee needs further training, an increased budget, more time, or something else. Be enthusiastic about your confidence in the employee’s ability to do a great job.</li>\r\n \t<li><strong>Follow through.</strong> After you determine what you can do to support your employee, do it! Notice when she improves. Periodically check up on the progress your employee is making and offer your support as necessary.</li>\r\n</ul>\r\n<p class=\"article-tips remember\">Above all, be patient. <a href=\"https://www.dummies.com/business/human-resources/employee-relations/mentoring-is-not-about-creating-a-mini-me/\">You can’t accomplish job coaching on your terms alone</a>. At the outset, understand that everyone is different. Some employees catch on sooner than others and some employees need more time to develop. Differences in ability don’t make certain employees any better or worse than their co-workers — they just make them different. Just as you need time to build relationships and trust in business, your employees need time to develop skills and experience.</p>","description":"Job coaching plays a critical part in the learning process for employees who are developing their skills, knowledge, and self-confidence. Your employees don’t learn effectively when you simply tell them what to do. In fact, they usually don’t learn at all.\r\n\r\nWith the right guidance, anyone can be <a href=\"https://www.dummies.com/business/human-resources/employee-engagement/tips-for-successful-employee-coaching-and-mentoring/\">a good job coach</a>. This article considers what effective job coaches do and how they do it so that you can coach your employees toward successful results.\r\n\r\n[caption id=\"attachment_265148\" align=\"aligncenter\" width=\"535\"]<img class=\"wp-image-265148 size-full\" src=\"https://www.dummies.com/wp-content/uploads/start-business-job-coaching.jpg\" alt=\"Job coaching\" width=\"535\" height=\"381\" /> ©Shutterstock/stoatphoto[/caption]\r\n<h2 id=\"tab1\" >Serve as both manager and job coach</h2>\r\nEven if you have a pretty good sense of what it means to be a manager, do you really know what it means to be a coach? A coach is a colleague, counselor, and cheerleader, all rolled into one. Based on that definition, are you a coach? Why or why not?\r\n\r\nSurely you’re familiar with the role of job coaches in other realms. A drama coach, for example, is almost always an accomplished actor or actress. The drama coach’s job is to conduct auditions for parts, assign roles, schedule rehearsals, train and direct cast members throughout rehearsals, and support and encourage the actors and actresses during the final stage production. These roles aren’t all that different from the roles managers perform in a business, are they?\r\n\r\nCoaching a team of individuals isn’t easy, and <a href=\"https://www.dummies.com/business/human-resources/employee-relations/great-leadership-mentor/\">certain characteristics make some coaches better than other</a>s. Fortunately, as with most other business skills, you can discover, practice, and improve the traits of good coaches. You can always find room for improvement, and good coaches are the first to admit it. Following are key characteristics and tasks for coaches:\r\n<ul>\r\n \t<li><strong>Job coaches set goals.</strong> Whether a small business’s vision is to become the leading pizza franchise in the city, to increase revenues by 20 percent a year, or simply to get the break room walls painted this year, coaches work with their employees to set goals and deadlines for completion. They then go away and allow their employees to determine how to accomplish the goals.</li>\r\n \t<li><strong>Job coaches support and encourage.</strong> Employees — even the best and most experienced — can easily become discouraged from time to time. When employees are learning new tasks, when a long-term account is lost, or when business is down, coaches are there, ready to step in and help the team members through the worst of it. “That’s okay, Kim. You’ve learned from your mistake, and I know that you’ll get it right next time!”</li>\r\n \t<li><strong>Job coaches emphasize team success over individual success.</strong> The team’s overall performance is the most important concern, not the stellar abilities of a particular team member. Coaches know that no one person can carry an entire team to success; winning takes the combined efforts of all team members. The development of teamwork skills is a vital step in an employee’s progress in a company.</li>\r\n \t<li><strong>Job coaches can quickly assess the talents and shortfalls of team members.</strong> The most successful job coaches can quickly determine their team members’ strengths and weaknesses and, as a result, tailor their approach to each. For example, if one team member has strong analytical skills but poor presentation skills, a coach can concentrate on providing support for the employee’s development of better presentation skills. “You know, Mark, I want to spend some time with you to work on making your viewgraph presentations more effective.”</li>\r\n \t<li><strong>Job coaches inspire their team members.</strong> Through their support and guidance, coaches are skilled at inspiring their team members to the highest levels of human performance. Teams of inspired individuals are willing to do whatever it takes to achieve their organization’s goals.</li>\r\n \t<li><strong>Job coaches create environments that allow individuals to succeed.</strong> Great coaches ensure that their workplaces are structured to let team members take risks and stretch their limits without fear of retribution if they fail.\r\n<p class=\"article-tips remember\">Job coaches are available to advise their employees or just to listen to their problems, as needed. “Carol, do you have a minute to discuss a personal problem?”</p>\r\n</li>\r\n \t<li><strong>Job coaches provide feedback.</strong> Communication and feedback between coach and employee is a critical element of the coaching process. Employees must know where they stand in the company — what they’re doing right and what they’re doing wrong. Equally important, employees must let their coaches know when they need help or assistance. And both parties need this dialogue in a timely manner, on an ongoing basis — not just once a year in a performance review.</li>\r\n</ul>\r\n<p class=\"article-tips warning\">Firing someone doesn’t constitute effective feedback. Unless an employee has engaged in some sort of intolerable offense (such as physical violence, theft, or intoxication on the job), a manager needs to give the employee plenty of verbal and written feedback before even considering termination. Giving employees several warnings offers them opportunities to correct deficiencies that they may not be able to see.</p>\r\n\r\n<h2 id=\"tab2\" >Identify a job coach’s tools</h2>\r\nJob coaching isn’t a one-dimensional activity. Because every person is different, <a href=\"https://www.dummies.com/business/management/how-to-coach-employees-for-engagement/\">the best job coaches tailor their approach to their team members’ specific, individualized needs</a>. If one team member is independent and needs only occasional guidance, recognize where she stands and provide that level of support. This support may consist of an occasional, informal progress check while making the rounds of the office\r\n\r\nOn the other hand, if another team member is insecure and needs more guidance, the job coach must recognize this employee’s position and assist as needed. In this case, support may consist of frequent, formal meetings with the employee to assess progress and provide advice and direction as needed.\r\n\r\nAlthough you have your own job coaching style, the best coaches employ certain techniques to elicit the greatest performance from their team members:\r\n<ul>\r\n \t<li><strong>Make time for team members.</strong> Managing is primarily a people job. Part of being a good manager and coach is being available to your employees when they need your help. If you’re not available, your employees may seek out other avenues to meet their needs — or simply stop trying to work with you. Always keep your door open to your employees and remember that they are your first priority. Manage by walking around. Regularly get out of your office and visit your employees at their workstations. “Do I have a minute, Elaine? Of course, I always have time for you and the other members of my staff.”</li>\r\n \t<li><strong>Provide context and vision.</strong> Instead of simply telling employees what to do, effective job coaches explain the why. Coaches provide their employees with context and a big-picture perspective. Instead of spouting long lists of do’s and don’ts, they explain how a system or procedure works and then define their employees’ parts in the scheme of things. “Chris, you have a very important part in the financial health and vitality of our company. By ensuring that our customers pay their invoices within 30 days after we ship their products, we’re able to keep our cash flow on the plus side, and we can pay our obligations such as rent, electricity, and your paycheck on time.”</li>\r\n \t<li><strong>Transfer knowledge and perspective.</strong> A great benefit of having a good job coach is the opportunity to learn from someone who has more experience than you do. In response to the unique needs of each team member, coaches transfer their personal knowledge and perspective<em>.</em> “We faced this exact situation about five years ago, Dwight. I’m going to tell you what we did then, and I want you to tell me whether you think it still makes sense today.”</li>\r\n \t<li><strong>Be a sounding board.</strong> <a href=\"https://www.dummies.com/careers/project-management/how-to-coach-employees-using-critical-conversation-skills/\">Job coaches talk through new ideas and approaches to solving problems</a> with their employees. Job coaches and employees can consider the implications of different approaches to solving a problem and role-play customer or client reactions before trying them out for real. By using active listening skills, coaches can often help their employees work through issues and come up with the best solutions themselves. “Okay, Priscilla, you’ve told me that you don’t think your customer will buy off on a 20 percent price increase. What options do you have to present the price increase, and are some more palatable than others?”</li>\r\n \t<li><strong>Obtain needed resources.</strong> Sometimes coaches can help their employees make the jump from marginal to outstanding performance simply by providing the resources those employees need. These resources can take many forms: money, time, staff, equipment, or other tangible assets. “So, Gene, you’re confident that we can improve our cash flow if we throw a couple more clerks into collections? Okay, we’ll give it a try.”</li>\r\n \t<li><strong>Offer a helping hand.</strong> For an employee who is learning a new job and is still responsible for performing her current job, the total workload can be overwhelming. Coaches can help workers through this transitional phase by reassigning current duties to other employees, authorizing overtime, or taking other measures to relieve the pressure. “Phoebe, while you’re learning how to troubleshoot that new network server, I’m going to assign your maintenance workload to Rachel. we can get back together at the end of the week to see how you’re doing.”</li>\r\n</ul>\r\n<h2 id=\"tab3\" >Effective job coaches teach through show and tell</h2>\r\nBesides the obvious job coaching roles of supporting and encouraging employees in their quest to achieve an organization’s goals, managers as coaches also teach their employees how to achieve an organization’s goals. Drawing from your experience, you lead your workers step by step through work processes or procedures. After they discover how to perform a task, you delegate full authority and responsibility for its performance to them.\r\n\r\nFor the transfer of specific skills, you can find no better way of teaching, and no better way of learning, than the <em>show-and-tell</em> method. Developed by a post–World War II American industrial society desperate to quickly train new workers in manufacturing processes, show-and-tell is beautiful in its simplicity and effectiveness.\r\n\r\nShow-and-tell coaching has three steps:\r\n<ol>\r\n \t<li><strong> You do, you say.</strong> Sit down with your employees and explain the procedure in general terms while you perform the task.</li>\r\n \t<li><strong> They do, you say.</strong> Now have the employees do the same procedure as you explain each step in the procedure.</li>\r\n \t<li><strong> They do, they say.</strong> Finally, as you observe, have your employees perform the task again as they explain to you what they’re doing.</li>\r\n</ol>\r\n<p class=\"article-tips tip\">As you go through these steps, have employees create a “cheat sheet” of the new steps to refer to until they become habit.</p>\r\n\r\n<h2 id=\"tab4\" >Good job coaches make turning points big successes</h2>\r\nDespite popular impressions to the contrary, 90 percent of management isn’t the big event — the blinding flash of brilliance that creates markets where none previously existed, the magnificent negotiation that results in unheard-of levels of union-management cooperation, or the masterful stroke that catapults the firm into the big leagues. No, 90 percent of a manager’s job consists of the daily chipping away at problems and the shaping of talents.\r\n<p class=\"article-tips remember\">The best coaches are constantly on the lookout for turning points — the daily opportunities to succeed that are available to all employees.</p>\r\nThe big successes — the victories against competitors, the dramatic surges in revenues or profits, the astounding new products — are typically the result of building a foundation of countless small successes along the way.\r\n\r\nMaking a phone-prompt system more responsive to your customers’ needs, sending an employee to a seminar on time management, writing a great sales agreement, conducting a meaningful performance appraisal with an employee, meeting a prospective client for lunch — all are turning points in the average business day. Although each event may not be particularly spectacular on its own, when aggregated over time, they can add up to big things.\r\n\r\nThis is the job of a coach. Instead of using dynamite to transform the business in one fell swoop (and taking the chance of destroying their business, their employees, or themselves in the process), job coaches are like the ancient stonemasons who built the great pyramids of Egypt. The movement and placement of each individual stone may not have seemed like a big deal when considered as a separate activity.\r\n\r\nHowever, each was an important step in achieving the ultimate result — the construction of awe-inspiring structures that have withstood thousands of years of war, weather, and tourists.\r\n<h2 id=\"tab5\" >Incorporate job coaching into your day-to-day interactions</h2>\r\nJob coaches focus daily on spending time with employees to help them succeed — to assess their progress and to find out what they can do to help the employees capitalize on the turning points that present themselves every day. Job coaches complement and supplement the abilities and experience of their employees by bringing their own abilities and experience to the table. They reward positive performance and help their employees learn important lessons from making mistakes — lessons that, in turn, help the employees improve their future performance.\r\n\r\nFor example, suppose you have a young and inexperienced, but bright and energetic, sales trainee on your staff. Your employee has done a great job of contacting customers and making sales calls, but she hasn’t yet closed her first deal. When you talk to her about this, she confesses that she’s nervous about her own personal turning point: She’s worried that she may become confused in front of the customer and blow the deal at the last minute. She needs your coaching.\r\n\r\nThe following guidelines can help you, the job coach, handle any employee’s concerns:\r\n<ul>\r\n \t<li><strong>Meet with your employee.</strong> Make an appointment with your employee as soon as possible for a relaxed discussion of the concerns. Find a quiet place free of distractions, and put your phone on hold or forward it to voice-mail.</li>\r\n \t<li><strong>Listen!</strong> One of the most motivating things one person can do for another is to listen. Avoid instant solutions or lectures. Before you say a word, ask your employee to bring you up-to-date with the situation, her concerns, and any possible approaches or solutions she’s considered. Let her do the talking while you do the listening.</li>\r\n \t<li><strong>Reinforce the positive.</strong> Begin by pointing out what your employee did right in the particular situation. Let your employee know when she’s on the right track. Give her positive feedback on her performance.</li>\r\n \t<li><strong>Highlight areas for improvement.</strong> Point out what your employee needs to do to improve and tell her what you can do to help. Agree on the assistance you can provide, whether your employee needs further training, an increased budget, more time, or something else. Be enthusiastic about your confidence in the employee’s ability to do a great job.</li>\r\n \t<li><strong>Follow through.</strong> After you determine what you can do to support your employee, do it! Notice when she improves. Periodically check up on the progress your employee is making and offer your support as necessary.</li>\r\n</ul>\r\n<p class=\"article-tips remember\">Above all, be patient. <a href=\"https://www.dummies.com/business/human-resources/employee-relations/mentoring-is-not-about-creating-a-mini-me/\">You can’t accomplish job coaching on your terms alone</a>. At the outset, understand that everyone is different. Some employees catch on sooner than others and some employees need more time to develop. Differences in ability don’t make certain employees any better or worse than their co-workers — they just make them different. Just as you need time to build relationships and trust in business, your employees need time to develop skills and experience.</p>","blurb":"","authors":[{"authorId":8975,"name":"Eric Tyson","slug":"eric-tyson","description":" <p><b>Eric Tyson, MBA,</b> has been a personal finance writer, lecturer, and counselor for the past 25+ years. He is the author or coauthor of numerous For Dummies bestsellers on personal finance, investing, and home buying.</p> <p><b>Bob Nelson, PhD,</b> is considered one of the world&#8217;s leading experts on employee engagement, recognition, and rewards. He is president of Nelson Motivation, Inc., a management training and consulting company that helps organizations improve their administration practices, programs, and systems. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/8975"}},{"authorId":9062,"name":"Bob Nelson","slug":"bob-nelson","description":" <b>Bob Nelson</b> (San Diego, CA) is founder and president of Nelson Motivation, Inc., a management training and consulting firm based in San Diego, California. As a practicing manager and a best-selling author, he is an internationally recognized expert in the areas of employee recognition, rewards, motivation, morale, retention, productivity, and management. He is author of the bestselling book <i>1001 Ways to Reward Employees</i> (Workman) &#8212; which has sold over 1.5 million copies worldwide &#8212; and coauthor of the best-selling book <i>Managing For Dummies,</i> 2nd Edition, with Peter Economy (Wiley), as well as 18 other books on management and motivation.<br /> Bob has been featured extensively in the media, including television appearances on CNN, CNBC, PBS, and MSNBC; radio appearances on NPR, USA Radio Network and the Business News Network; and print appearances in the <i>New York Times</i>, the <i>Wall Street Journal</i>, the <i>Washington Post</i>, and many more. He writes a weekly column for <i>American City Business Journals</i> and a monthly column for <i>Corporate Meetings &amp; Incentives</i>, among others.<br /> Dr. Nelson received his PhD in management from The Peter F. Drucker Graduate Management Center of Claremont Graduate University in suburban Los Angeles, and received his MBA in organizational behavior from The University of California at Berkeley. For more information on products and services offered by Nelson Motivation, Inc. &#8212; including speaking or consulting services &#8212; call 800-575-5521. Visit Bob at his Web site: www.nelsonmotivation.com. <p><b>Peter Economy</b> (La Jolla, CA) is a freelance business writer and publishing consultant who is associate editor of the Apex award-winning magazine <i>Leader to Leader</i>, and coauthor of the best-selling book <i>Managing For Dummies,</i> 2nd Edition, with Bob Nelson (Wiley), <i>Giving Back</i> with Bert Berkley (Wiley), <i>The SAIC Solution</i> with J. Robert Beyster (Wiley), as well as the author or coauthor of more than 30 other books on a wide variety of business and other topics. Visit Peter at his Web site: www.petereconomy.com and be sure to check out his Free Book Project at: www.booksforfree.org.</p>","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9062"}}],"primaryCategoryTaxonomy":{"categoryId":34252,"title":"Start-Ups","slug":"start-ups","_links":{"self":"https://dummies-api.dummies.com/v2/categories/34252"}},"secondaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"tertiaryCategoryTaxonomy":{"categoryId":0,"title":null,"slug":null,"_links":null},"trendingArticles":[{"articleId":192609,"title":"How to Pray the Rosary: A Comprehensive Guide","slug":"how-to-pray-the-rosary","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/192609"}},{"articleId":208741,"title":"Kabbalah For Dummies Cheat Sheet","slug":"kabbalah-for-dummies-cheat-sheet","categoryList":["body-mind-spirit","religion-spirituality","kabbalah"],"_links":{"self":"/articles/208741"}},{"articleId":230957,"title":"Nikon D3400 For Dummies Cheat Sheet","slug":"nikon-d3400-dummies-cheat-sheet","categoryList":["home-auto-hobbies","photography"],"_links":{"self":"/articles/230957"}},{"articleId":235851,"title":"Praying the Rosary and Meditating on the Mysteries","slug":"praying-rosary-meditating-mysteries","categoryList":["body-mind-spirit","religion-spirituality","christianity","catholicism"],"_links":{"self":"/articles/235851"}},{"articleId":284787,"title":"What Your Society Says About You","slug":"what-your-society-says-about-you","categoryList":["academics-the-arts","humanities"],"_links":{"self":"/articles/284787"}}],"inThisArticle":[{"label":"Serve as both manager and job coach","target":"#tab1"},{"label":"Identify a job coach’s tools","target":"#tab2"},{"label":"Effective job coaches teach through show and tell","target":"#tab3"},{"label":"Good job coaches make turning points big successes","target":"#tab4"},{"label":"Incorporate job coaching into your day-to-day interactions","target":"#tab5"}],"relatedArticles":{"fromBook":[{"articleId":265141,"title":"Basic Accounting Terms for Small Business Owners","slug":"basic-accounting-terms-for-small-business-owners","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/265141"}},{"articleId":265131,"title":"How To Start Your Own Work-from-Home Business","slug":"what-you-need-to-know-about-starting-your-own-work-from-home-business","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/265131"}},{"articleId":265126,"title":"How to Conduct Great Job Interviews","slug":"how-to-be-a-great-interviewer-interviewer-tips-for-hiring-good-people","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/265126"}},{"articleId":265123,"title":"Want to Start a Work-from-Home Business? Take this Quiz to See if You’re Ready","slug":"want-to-start-a-work-from-home-business-take-this-quiz-to-see-if-youre-ready","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/265123"}},{"articleId":207554,"title":"Starting a Business All-In-One For Dummies Cheat Sheet","slug":"starting-a-business-all-in-one-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/207554"}}],"fromCategory":[{"articleId":297984,"title":"Starting and Running a Business All-in-One For Dummies Cheat Sheet (UK Edition)","slug":"starting-and-running-a-business-all-in-one-for-dummies-cheat-sheet-uk-edition","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/297984"}},{"articleId":291541,"title":"Side Hustles For Dummies Cheat Sheet","slug":"side-hustles-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/291541"}},{"articleId":289724,"title":"Launching and Building a Brand For Dummies Cheat Sheet","slug":"launching-and-building-a-brand-for-dummies-cheat-sheet","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/289724"}},{"articleId":269861,"title":"Establishing Website Goals for Your Online Business","slug":"establish-website-goals-and-conversions-for-your-online-business","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/269861"}},{"articleId":269855,"title":"How to Choose an Identity for Your Online Business","slug":"how-to-choose-an-identity-for-your-online-business","categoryList":["business-careers-money","business","small-business","start-ups"],"_links":{"self":"https://dummies-api.dummies.com/v2/articles/269855"}}]},"hasRelatedBookFromSearch":false,"relatedBook":{"bookId":282599,"slug":"starting-a-business-all-in-one-for-dummies","isbn":"9781119868569","categoryList":["business-careers-money","business","small-business","start-ups"],"amazon":{"default":"https://www.amazon.com/gp/product/1119868564/ref=as_li_tl?ie=UTF8&tag=wiley01-20","ca":"https://www.amazon.ca/gp/product/1119868564/ref=as_li_tl?ie=UTF8&tag=wiley01-20","indigo_ca":"http://www.tkqlhce.com/click-9208661-13710633?url=https://www.chapters.indigo.ca/en-ca/books/product/1119868564-item.html&cjsku=978111945484","gb":"https://www.amazon.co.uk/gp/product/1119868564/ref=as_li_tl?ie=UTF8&tag=wiley01-20","de":"https://www.amazon.de/gp/product/1119868564/ref=as_li_tl?ie=UTF8&tag=wiley01-20"},"image":{"src":"https://www.dummies.com/wp-content/uploads/starting-a-business-all-in-one-for-dummies-3rd-edition-cover-9781119868569-203x255.jpg","width":203,"height":255},"title":"Starting a Business All-in-One For Dummies","testBankPinActivationLink":"","bookOutOfPrint":true,"authorsInfo":"","authors":[{"authorId":8975,"name":"Eric Tyson","slug":"eric-tyson","description":" <p><b>Eric Tyson, MBA,</b> has been a personal finance writer, lecturer, and counselor for the past 25+ years. He is the author or coauthor of numerous For Dummies bestsellers on personal finance, investing, and home buying.</p> <p><b>Bob Nelson, PhD,</b> is considered one of the world&#8217;s leading experts on employee engagement, recognition, and rewards. He is president of Nelson Motivation, Inc., a management training and consulting company that helps organizations improve their administration practices, programs, and systems. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/8975"}},{"authorId":9062,"name":"Bob Nelson","slug":"bob-nelson","description":" <b>Bob Nelson</b> (San Diego, CA) is founder and president of Nelson Motivation, Inc., a management training and consulting firm based in San Diego, California. As a practicing manager and a best-selling author, he is an internationally recognized expert in the areas of employee recognition, rewards, motivation, morale, retention, productivity, and management. He is author of the bestselling book <i>1001 Ways to Reward Employees</i> (Workman) &#8212; which has sold over 1.5 million copies worldwide &#8212; and coauthor of the best-selling book <i>Managing For Dummies,</i> 2nd Edition, with Peter Economy (Wiley), as well as 18 other books on management and motivation.<br /> Bob has been featured extensively in the media, including television appearances on CNN, CNBC, PBS, and MSNBC; radio appearances on NPR, USA Radio Network and the Business News Network; and print appearances in the <i>New York Times</i>, the <i>Wall Street Journal</i>, the <i>Washington Post</i>, and many more. He writes a weekly column for <i>American City Business Journals</i> and a monthly column for <i>Corporate Meetings &amp; Incentives</i>, among others.<br /> Dr. Nelson received his PhD in management from The Peter F. Drucker Graduate Management Center of Claremont Graduate University in suburban Los Angeles, and received his MBA in organizational behavior from The University of California at Berkeley. For more information on products and services offered by Nelson Motivation, Inc. &#8212; including speaking or consulting services &#8212; call 800-575-5521. Visit Bob at his Web site: www.nelsonmotivation.com. <p><b>Peter Economy</b> (La Jolla, CA) is a freelance business writer and publishing consultant who is associate editor of the Apex award-winning magazine <i>Leader to Leader</i>, and coauthor of the best-selling book <i>Managing For Dummies,</i> 2nd Edition, with Bob Nelson (Wiley), <i>Giving Back</i> with Bert Berkley (Wiley), <i>The SAIC Solution</i> with J. Robert Beyster (Wiley), as well as the author or coauthor of more than 30 other books on a wide variety of business and other topics. Visit Peter at his Web site: www.petereconomy.com and be sure to check out his Free Book Project at: www.booksforfree.org.</p>","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/9062"}},{"authorId":34784,"name":"","slug":"","description":" <p><b>Eric Tyson, MBA,</b> has been a personal finance writer, lecturer, and counselor for the past 25+ years. He is the author or coauthor of numerous For Dummies bestsellers on personal finance, investing, and home buying.</p> <p><b>Bob Nelson, PhD,</b> is considered one of the world&#8217;s leading experts on employee engagement, recognition, and rewards. He is president of Nelson Motivation, Inc., a management training and consulting company that helps organizations improve their administration practices, programs, and systems. ","hasArticle":false,"_links":{"self":"https://dummies-api.dummies.com/v2/authors/34784"}}],"_links":{"self":"https://dummies-api.dummies.com/v2/books/"}},"collections":[],"articleAds":{"footerAd":"<div class=\"du-ad-region row\" id=\"article_page_adhesion_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_adhesion_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;start-ups&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781119868569&quot;]}]\" id=\"du-slot-64ac476196b6c\"></div></div>","rightAd":"<div class=\"du-ad-region row\" id=\"article_page_right_ad\"><div class=\"du-ad-unit col-md-12\" data-slot-id=\"article_page_right_ad\" data-refreshed=\"false\" \r\n data-target = \"[{&quot;key&quot;:&quot;cat&quot;,&quot;values&quot;:[&quot;business-careers-money&quot;,&quot;business&quot;,&quot;small-business&quot;,&quot;start-ups&quot;]},{&quot;key&quot;:&quot;isbn&quot;,&quot;values&quot;:[&quot;9781119868569&quot;]}]\" id=\"du-slot-64ac476197547\"></div></div>"},"articleType":{"articleType":"Articles","articleList":null,"content":null,"videoInfo":{"videoId":null,"name":null,"accountId":null,"playerId":null,"thumbnailUrl":null,"description":null,"uploadDate":null}},"sponsorship":{"sponsorshipPage":false,"backgroundImage":{"src":null,"width":0,"height":0},"brandingLine":"","brandingLink":"","brandingLogo":{"src":null,"width":0,"height":0},"sponsorAd":"","sponsorEbookTitle":"","sponsorEbookLink":"","sponsorEbookImage":{"src":null,"width":0,"height":0}},"primaryLearningPath":"Advance","lifeExpectancy":"Five years","lifeExpectancySetFrom":"2023-07-10T00:00:00+00:00","dummiesForKids":"no","sponsoredContent":"no","adInfo":"","adPairKey":[]},"status":"publish","visibility":"public","articleId":265147}],"_links":{"self":{"self":"https://dummies-api.dummies.com/v2/categories/34251/categoryArticles?sortField=time&sortOrder=1&size=10&offset=0"},"next":{"self":"https://dummies-api.dummies.com/v2/categories/34251/categoryArticles?sortField=time&sortOrder=1&size=10&offset=10"},"last":{"self":"https://dummies-api.dummies.com/v2/categories/34251/categoryArticles?sortField=time&sortOrder=1&size=10&offset=460"}}},"objectTitle":"","status":"success","pageType":"article-category","objectId":"34251","page":1,"sortField":"time","sortOrder":1,"categoriesIds":[],"articleTypes":[],"filterData":{"categoriesFilter":[{"itemId":0,"itemName":"All Categories","count":470},{"itemId":34253,"itemName":"General Small Business","count":348},{"itemId":34251,"itemName":"Small Business","count":1},{"itemId":34252,"itemName":"Start-Ups","count":121}],"articleTypeFilter":[{"articleType":"All Types","count":470},{"articleType":"Articles","count":434},{"articleType":"Cheat Sheet","count":25},{"articleType":"Step by Step","count":11}]},"filterDataLoadedStatus":"success","pageSize":10},"adsState":{"pageScripts":{"headers":{"timestamp":"2025-04-17T15:50:01+00:00"},"adsId":0,"data":{"scripts":[{"pages":["all"],"location":"header","script":"<!--Optimizely Script-->\r\n<script src=\"https://cdn.optimizely.com/js/10563184655.js\"></script>","enabled":false},{"pages":["all"],"location":"header","script":"<!-- comScore Tag -->\r\n<script>var _comscore = _comscore || [];_comscore.push({ c1: \"2\", c2: \"15097263\" });(function() {var s = document.createElement(\"script\"), el = document.getElementsByTagName(\"script\")[0]; s.async = true;s.src = (document.location.protocol == \"https:\" ? \"https://sb\" : \"http://b\") + \".scorecardresearch.com/beacon.js\";el.parentNode.insertBefore(s, el);})();</script><noscript><img src=\"https://sb.scorecardresearch.com/p?c1=2&c2=15097263&cv=2.0&cj=1\" /></noscript>\r\n<!-- / comScore Tag -->","enabled":true},{"pages":["all"],"location":"footer","script":"<!--BEGIN QUALTRICS WEBSITE FEEDBACK SNIPPET-->\r\n<script type='text/javascript'>\r\n(function(){var g=function(e,h,f,g){\r\nthis.get=function(a){for(var a=a+\"=\",c=document.cookie.split(\";\"),b=0,e=c.length;b<e;b++){for(var d=c[b];\" \"==d.charAt(0);)d=d.substring(1,d.length);if(0==d.indexOf(a))return d.substring(a.length,d.length)}return null};\r\nthis.set=function(a,c){var b=\"\",b=new Date;b.setTime(b.getTime()+6048E5);b=\"; expires=\"+b.toGMTString();document.cookie=a+\"=\"+c+b+\"; path=/; \"};\r\nthis.check=function(){var a=this.get(f);if(a)a=a.split(\":\");else if(100!=e)\"v\"==h&&(e=Math.random()>=e/100?0:100),a=[h,e,0],this.set(f,a.join(\":\"));else return!0;var c=a[1];if(100==c)return!0;switch(a[0]){case \"v\":return!1;case \"r\":return c=a[2]%Math.floor(100/c),a[2]++,this.set(f,a.join(\":\")),!c}return!0};\r\nthis.go=function(){if(this.check()){var a=document.createElement(\"script\");a.type=\"text/javascript\";a.src=g;document.body&&document.body.appendChild(a)}};\r\nthis.start=function(){var t=this;\"complete\"!==document.readyState?window.addEventListener?window.addEventListener(\"load\",function(){t.go()},!1):window.attachEvent&&window.attachEvent(\"onload\",function(){t.go()}):t.go()};};\r\ntry{(new g(100,\"r\",\"QSI_S_ZN_5o5yqpvMVjgDOuN\",\"https://zn5o5yqpvmvjgdoun-wiley.siteintercept.qualtrics.com/SIE/?Q_ZID=ZN_5o5yqpvMVjgDOuN\")).start()}catch(i){}})();\r\n</script><div id='ZN_5o5yqpvMVjgDOuN'><!--DO NOT REMOVE-CONTENTS PLACED HERE--></div>\r\n<!--END WEBSITE FEEDBACK SNIPPET-->","enabled":false},{"pages":["all"],"location":"header","script":"<!-- Hotjar Tracking Code for http://www.dummies.com -->\r\n<script>\r\n (function(h,o,t,j,a,r){\r\n h.hj=h.hj||function(){(h.hj.q=h.hj.q||[]).push(arguments)};\r\n h._hjSettings={hjid:257151,hjsv:6};\r\n a=o.getElementsByTagName('head')[0];\r\n r=o.createElement('script');r.async=1;\r\n r.src=t+h._hjSettings.hjid+j+h._hjSettings.hjsv;\r\n a.appendChild(r);\r\n })(window,document,'https://static.hotjar.com/c/hotjar-','.js?sv=');\r\n</script>","enabled":false},{"pages":["article"],"location":"header","script":"<!-- //Connect Container: dummies --> <script src=\"//get.s-onetag.com/bffe21a1-6bb8-4928-9449-7beadb468dae/tag.min.js\" async defer></script>","enabled":true},{"pages":["homepage"],"location":"header","script":"<meta name=\"facebook-domain-verification\" content=\"irk8y0irxf718trg3uwwuexg6xpva0\" />","enabled":true},{"pages":["homepage","article","category","search"],"location":"footer","script":"<!-- Facebook Pixel Code -->\r\n<noscript>\r\n<img height=\"1\" width=\"1\" src=\"https://www.facebook.com/tr?id=256338321977984&ev=PageView&noscript=1\"/>\r\n</noscript>\r\n<!-- End Facebook Pixel Code -->","enabled":true}]}},"pageScriptsLoadedStatus":"success"},"navigationState":{"navigationCollections":[{"collectionId":287568,"title":"BYOB (Be Your Own Boss)","hasSubCategories":false,"url":"/collection/for-the-entry-level-entrepreneur-287568"},{"collectionId":293237,"title":"Be a Rad Dad","hasSubCategories":false,"url":"/collection/be-the-best-dad-293237"},{"collectionId":295890,"title":"Career Shifting","hasSubCategories":false,"url":"/collection/career-shifting-295890"},{"collectionId":294090,"title":"Contemplating the Cosmos","hasSubCategories":false,"url":"/collection/theres-something-about-space-294090"},{"collectionId":287563,"title":"For Those Seeking Peace of Mind","hasSubCategories":false,"url":"/collection/for-those-seeking-peace-of-mind-287563"},{"collectionId":287570,"title":"For the Aspiring Aficionado","hasSubCategories":false,"url":"/collection/for-the-bougielicious-287570"},{"collectionId":291903,"title":"For the Budding Cannabis Enthusiast","hasSubCategories":false,"url":"/collection/for-the-budding-cannabis-enthusiast-291903"},{"collectionId":299891,"title":"For the College Bound","hasSubCategories":false,"url":"/collection/for-the-college-bound-299891"},{"collectionId":291934,"title":"For the Exam-Season Crammer","hasSubCategories":false,"url":"/collection/for-the-exam-season-crammer-291934"},{"collectionId":301547,"title":"For the Game Day Prepper","hasSubCategories":false,"url":"/collection/big-game-day-prep-made-easy-301547"}],"navigationCollectionsLoadedStatus":"success","navigationCategories":{"books":{"0":{"data":[{"categoryId":33512,"title":"Technology","hasSubCategories":true,"url":"/category/books/technology-33512"},{"categoryId":33662,"title":"Academics & The Arts","hasSubCategories":true,"url":"/category/books/academics-the-arts-33662"},{"categoryId":33809,"title":"Home, Auto, & Hobbies","hasSubCategories":true,"url":"/category/books/home-auto-hobbies-33809"},{"categoryId":34038,"title":"Body, Mind, & Spirit","hasSubCategories":true,"url":"/category/books/body-mind-spirit-34038"},{"categoryId":34224,"title":"Business, Careers, & Money","hasSubCategories":true,"url":"/category/books/business-careers-money-34224"}],"breadcrumbs":[],"categoryTitle":"Level 0 Category","mainCategoryUrl":"/category/books/level-0-category-0"}},"articles":{"0":{"data":[{"categoryId":33512,"title":"Technology","hasSubCategories":true,"url":"/category/articles/technology-33512"},{"categoryId":33662,"title":"Academics & The Arts","hasSubCategories":true,"url":"/category/articles/academics-the-arts-33662"},{"categoryId":33809,"title":"Home, Auto, & Hobbies","hasSubCategories":true,"url":"/category/articles/home-auto-hobbies-33809"},{"categoryId":34038,"title":"Body, Mind, & Spirit","hasSubCategories":true,"url":"/category/articles/body-mind-spirit-34038"},{"categoryId":34224,"title":"Business, Careers, & Money","hasSubCategories":true,"url":"/category/articles/business-careers-money-34224"}],"breadcrumbs":[],"categoryTitle":"Level 0 Category","mainCategoryUrl":"/category/articles/level-0-category-0"}}},"navigationCategoriesLoadedStatus":"success"},"searchState":{"searchList":[],"searchStatus":"initial","relatedArticlesList":[],"relatedArticlesStatus":"initial"},"routeState":{"name":"ArticleCategory","path":"/category/articles/small-business-34251/","hash":"","query":{},"params":{"category":"small-business-34251"},"fullPath":"/category/articles/small-business-34251/","meta":{"routeType":"category","breadcrumbInfo":{"suffix":"Articles","baseRoute":"/category/articles"},"prerenderWithAsyncData":true},"from":{"name":null,"path":"/","hash":"","query":{},"params":{},"fullPath":"/","meta":{}}},"profileState":{"auth":{},"userOptions":{},"status":"success"}}
Logo
  • Articles Open Article Categories
  • Books Open Book Categories
  • Collections Open Collections list
  • Custom Solutions

Article Categories

Book Categories

Collections

Explore all collections
BYOB (Be Your Own Boss)
Be a Rad Dad
Career Shifting
Contemplating the Cosmos
For Those Seeking Peace of Mind
For the Aspiring Aficionado
For the Budding Cannabis Enthusiast
For the College Bound
For the Exam-Season Crammer
For the Game Day Prepper
Log In
  • Home
  • Business, Careers, & Money Articles
  • Business Articles
  • Small Business Articles

Small Business Articles

Most of the businesses powering the largest economies in the world are small ones! Join this small army of compact companies with the advice in our articles.

Browse By Category

Start-Ups

General Small Business

Previous slideNext slide

Start-Ups

General Small Business

Articles From Small Business

page 1
page 2
page 3
page 4
page 5
page 6
page 7
page 8
page 9
page 10
page 11
page 12
page 13
page 14
page 15
page 16
page 17
page 18
page 19
page 20
page 21
page 22
page 23
page 24
page 25
page 26
page 27
page 28
page 29
page 30
page 31
page 32
page 33
page 34
page 35
page 36
page 37
page 38
page 39
page 40
page 41
page 42
page 43
page 44
page 45
page 46
page 47

Filter Results

470 results
470 results
Start-Ups Starting an Online Business All-in-One For Dummies Cheat Sheet

Cheat Sheet / Updated 09-16-2024

Starting an online business or growing an existing e-commerce business doesn’t have to be hard. Lots of resources are available to help you do everything from creating content for your website to building a long list of loyal customers. Being a savvy online entrepreneur also means learning to use social media to promote your business. Try these suggestions and quick tips for launching your website and engaging your customers.

View Cheat Sheet
General Small Business Small Business For Dummies Cheat Sheet

Cheat Sheet / Updated 04-12-2024

From managing to marketing and everything in between, the world of small business can be both exciting and overwhelming. It’s a place where no two workdays are exactly the same and where unpredictable things happen. If you’re thinking about starting (or you already run and manage) your own business, check out the following list of tips to improve your chances of success.

View Cheat Sheet
Start-Ups Funding a New Business Cheat Sheet

Cheat Sheet / Updated 04-12-2024

Entering the financing world can be a confusing place at first. One way to get a handle on it all is to master the common financing and investing terms. It always helps to know what everyone is talking about!

View Cheat Sheet
General Small Business Five Free, Valuable Online Tools for Managing Your Business

Article / Updated 08-15-2023

No matter whether you’re just starting your own micro-business or you’ve been working for several years, you want everything to run smoothly and cost effectively. As a micro-entrepreneur, your focus is to meet your target market’s needs while staying ahead of your competition. These free resources can help you. Get a free email account for business use. Email is indispensable for communication, marketing, and other pursuits. You can get free email at Gmail or Yahoo, and other providers. Try Open Office Software Suite. This powerful suite of business productivity tools includes word processing, spreadsheet, presentation software, and other software programs. The software is free and regularly upgraded and refined by open source software developers. Network with LinkedIn. On this site, you can network with other businesses and professionals. You can make lots of valuable contacts, find prospects, and get answers to many of your questions from other professionals and specialists. Market through e-mail. Mailchimp is a free email service to do e-mail distribution and marketing. You can send an email blast for up to 2,000 addresses on your list at no cost, which is perfect for businesses just starting out and needing a good way to manage a list of prospects and customers. Use YouTube. This popular video platform gives you the ability not only to gain information and news (including lots of free how-to videos on a variety of business topics), but you have the ability to create your own videos (ranging from providing content to doing sales and marketing presentations) at no cost.

View Article
Start-Ups How to Develop a Side Hustle Business Plan

Article / Updated 08-03-2023

Tens of millions of people in the United States, and hundreds of millions of people around the world, supplement their primary jobs with some type of business activities on the side. These people all spend at least some of their professional lives embracing the idea of side hustles. If you've decided to join the side-hustle world, and you've brainstormed your side hustle idea, you'll want to start pulling together a business plan. For help with exploring side-hustle ideas, brainstorming, and the planning steps that lead to this business plan phase, check out my book Side Hustles For Dummies. If you’ve ever done a jigsaw puzzle, you know that you typically start with a little portion of the overall puzzle in, say, the top left corner. Then maybe you shift to working on the bottom right side; then move to somewhere in the middle; and so on. That's sort of how you put a business plan together — a document that eventually shows the whole picture. When it comes to business plans, you have a little bit of a challenge on your hands: If you put 10 people in a room, you’ll get 20 opinions about what a business plan should look like! You’ve probably come across this same problem when you worked on your résumé, with one person telling you to structure your résumé one way, and another person indignantly disagreeing and insisting that you write your résumé a totally different way! I have some good news for you when it comes to trying to make sense out of all the different guidance you’ll find for how to write a business plan: For a side hustle, you have a lot more leeway in the order of topics that you cover — and even what you do and don’t include — than if, say, you’re putting together a business plan in search of a large bank loan or millions of dollars of venture capital investment. Maybe, someday, if your side hustle really hits its stride and starts growing toward your ideal scenario, you’ll have to worry about making sure that your business plan matches the structure that a bank or private equity firm, or some venture capital company, insists on seeing. For now, though, think in terms of pitching your side hustle to yourself — an audience of one. Are you painting a cohesive and compelling picture of how to get your side hustle going? If your side hustle is a gig-economy job, such as delivery services or ridesharing, you can probably skip over the whole business-plan stuff. However, if your gig services are along the lines of pet-sitting or bartending or doing handyman work — basically, if you’re setting up a small-business structure even though you plan to land gigs from side hustle–oriented platforms — you should at least jot down bullet points for most of the business plan sections. Your side hustle business plan should include the following sections. A short overview and a really short elevator pitch If you're in the business plan phase of your side-hustle planning, you should be able to clearly articulate exactly what your side hustle is going to be, so write it down! In fact, write it down twice! Start off your business plan with both: A one-paragraph (two paragraphs at most) highly summarized version of every key aspect of your side hustle A single-sentence elevator pitch that summarizes your summarized version (got that?) even more! Having an elevator pitch means being able to describe an idea so persuasively in about the duration of the typical elevator ride that the person to whom you’re talking is crystal clear about the most critical or unique aspects of your concept. As an example, one side-hustle starter's — let's call her Sarah — business plan starts with: "I will design, craft, and sell custom-made jewelry. I will build a Shopify site that I will promote using online marketing and advertising techniques, such as Facebook and Instagram ads, Google Ads, and short demonstration videos on YouTube and TikTok, that will link to my site. I will run the business out of my house. I’ve lined up primary and backup suppliers for all materials and tools." Then Sarah adds her elevator pitch: "I will sell custom-made jewelry from my Shopify site that I will promote through a variety of online ads." As Sarah works her way through the rest of her business plan, she can refer back to this section and adjust the wording as necessary. For now, though, she has placed a stake into the fertile side-hustle soil and is ready to start planting. Your time commitment Your business plan is for a side hustle, so you need to be crystal clear with yourself about exactly how much time you plan to spend on your venture. Plus, if you have specific time constraints, like “only evenings after work,” or “only on weekends,” or “only on Wednesday evening and all day Saturday,” you need to acknowledge these constraints and write them down. As you go through the rest of your business plan, you now have an “official statement” that describes your available time that you can use as a sanity check for your side hustle’s details. For example, suppose you plan to do software development on the side. However, because of extra hours you need to work at your full-time job, you only have about 15 hours a week available for your side hustle. You can certainly take on a little bit of software development here and there, but you’ll need to focus on shorter-duration tasks, such as building template-based websites or doing some light software configuration rather than heavy-duty application development. If you don’t have a full-time job and, instead, have a portfolio of several different side hustles, documenting your available time is still important to help make sure that your side hustles don’t clash because of conflicting demands for your time. Your schedule and major milestones Whatever your side hustle is, you have an idea of what you'd like it to be in the future. Maybe your longer-term plan is built around expanding your business, or maybe you have no intentions of growing your business at all, and you just intend to get a little business up and running and keep it going. Think about what your side hustle will look like in time increments that make sense for you — three or six months from today, in a year, three years, etc. Regardless of your expectations and the timeline for those, document it all in your business plan, along with key milestones and decision points along that timeline. Key players in your side hustle Your business plan also should include the other people and companies you'll need to connect with. If you plan to make and sell clothing, who will be your wholesale suppliers? Who will be your key points of contact — the actual people — at each one of those wholesalers? As another example, if your side hustle will be buying and selling baseball cards and other sports collectibles, will you do this via eBay, or other auction houses? Revisiting our jewelry maker, Sarah, who will be her suppliers of metals and tools? No matter what your side hustle is, and even if you’re going solo, you’ll almost certainly be involved with other people and companies at some point. Write all of these details down in your business plan, including any designated backup companies or services that you may switch to at some point. Your customers You need to identify who will comprise your target market (the people to whom you’ll try to sell your products or watch your videos or take your course, or for whom you’ll provide weekend landscaping or bartending services, or whatever your side hustle is). Sometimes, your target market can (and should) be as broad as possible. After all, if you have a potential customer out there somewhere in the world, why not try to attract that person to your business? For example, you might be selling clothing and accessories online to “the world at large” — basically, anybody who wants to place an order on your website for a blouse or leisurewear or a necklace can do so. You might get to know some of your regular customers, but for the most part these customers will be anonymous to you. In other situations, you should narrow your target market to better focus on catching the attention of a person or another business even more likely to be in your side hustle “sweet spot.” For example, Sarah’s customer base will be broad, at least initially. At some point down the road, Sarah may wholesale her jewelry to other online and in-person retailers for them to retail. At that point, she needs to go back and adjust her business plan to more precisely target certain customers — maybe not specific names of people and businesses, but at least descriptions of the types of retailers to which she’ll sell her jewelry. Startup money, budget, and financial projections This part of your business plan includes how much startup capital you’ll need, how to budget, how to forecast sales and expenses, and more. Your business plan needs to include the key aspects of the financial side of your side hustle. (How to figure out all of these things is my book Side Hustles For Dummies.) Pretend that you’re pitching your side hustle to an investor, and you also happen to be that investor. Convince yourself that you have all your financial ducks in a row. How you’ll operate This part of your business plan should include the business processes through which you’ll operate your side hustle. And you should add as much detail as possible. For example, Sarah’s side hustle has nine internal processes: buying materials and tools, deciding on her product list, building her website and storefront, and so on. She needs to take each of those processes and break them down into the underlying steps that she’ll do. She can simply list the steps as bullet points or a numbered list. Risks and mitigation It's important to consider the risks involved in your side hustle idea, and how you could mitigate those risks. List how you intend to counteract and neutralize the risk. As you’ve been working through your business plan, you may have come across a new risk or two, or come up with a new mitigation strategy for a risk that you’ve already documented. So, spend a little bit of time and take a fresh look at your list, and make any necessary updates. You can check out Business Plans For Dummies by Paul Tiffany and Steven D. Peterson for much more information about business plan structure and content, especially if your side hustle really catches on and you’re looking to take it to that mythical “next level.”

View Article
Start-Ups How to Do Taxes for Side Hustles

Article / Updated 08-03-2023

Even if you’re doing your side hustle on your own rather than with a partner or with the assistance of employees, plenty of other people want to share in your success — specifically, your friends and family. Guess who else wants to share in your success? The tax people. And unlike your friends and family, who share in your success by offering you encouragement and celebrating your accomplishments, the tax people want something from you. Actually, they want two things from you: Lots of documents and forms Money Like it or not, you’ll need to deal with all sorts of tax-related matters for your side hustle. Some of the tax stuff is pretty easy to understand, while other tax-related requirements and rules can get tricky. So, buckle up! You won’t find a one-size-fits-all playbook or checklist for your side hustle taxes. Your tax-filing requirements will vary depending on: The legal organization you set up for your side hustle What type of business you’re doing for your side hustle Where you live and work How to file taxes for a side hustle If you organized your side hustle as a sole proprietorship or a single-member limited liability company (LLC), I have good news for you: Your U.S. federal tax filings for your business will be just another section of your personal taxes on your Form 1040. You don’t have to file any separate returns, at least at the federal level. You will, however, need to file an additional form — a Schedule C — that is basically an attachment to the rest of your personal tax return. What if you set up your side hustle as an S corporation or a partnership? Or what if you set up an LLC with a partner? Great news … if you enjoy more paperwork. In addition to your personal tax return, you’ll need to file a separate return, not just an additional form attached to your personal tax return. Depending on how you structured your business, you need to file either: Form 1065 if your side hustle is organized as a partnership or a multi-member LLC Form 1120-S if your side hustle is organized as an S corporation Don’t worry, your Form 1040 for your personal tax return won’t feel left out if your side hustle financials show up on either a Form 1065 or a Form 1120-S. Technically, you don’t pay taxes on either S corporation or partnership income — at least not directly. If you used either of those legal structures for your side hustle, your business income (or loss) will pass through to your Form 1040, where you’ll mash all those details together with income from your day job, your personal deductions, and the rest of your personal tax stuff. You use an IRS form called a K-1 to carry your side hustle corporate or partnership finances over to your personal return. (You’ll have slightly different versions of a K-1 depending on whether your side hustle is an S corporation, a partnership, or a multi-member LLC.) The more complicated your side hustle’s legal structure is, the more complex your filing requirements will be — basically, you have a straight-line relationship up the complexity ladder. Here’s a little bit of good news: If your side hustle is one of those where you’re paid as a part-time employee rather than as an independent contractor — say, teaching a class or two at the local community college — then you’ll receive an IRS Form W-2 for each tax year, the same as you get from your full-time employer. In that case, all you need to do for your taxes is treat your side hustle just like it’s another job and add your side hustle income to your regular income. Side hustle tax rules and forms If your side hustle is service-oriented and you aren’t dealing with any physical inventory, your tax returns won’t be all that complicated, even if you did set yourself up as an S corporation or a partnership. If, however, you’re running an online store where you need to keep track of your cost of goods sold and the value of your inventory, then not only is your overall side hustle record-keeping more complicated, but your taxes may turn into a head-scratcher, too. Remember this simple equation when you're working on your side hustle tax filing: The more physical items you have that play any sort of a role in your side hustle, the more complicated your taxes will be. If you’re buying goods to resell, or if you need to purchase shelving and containers to hold products, then your taxes will be more complicated than if you’re recording and uploading videos, or doing software work, or doing ridesharing for Uber or Lyft. Everyone wants a piece of the tax action If you live in the United States, you’re well aware of the Internal Revenue Service (IRS). If you live outside the United States, then you need to file tax returns with the equivalent of the IRS in your country. You don’t only have to pay up and file returns with the feds, however. Your state and maybe even your city want their cut of your side-hustle profits, and you’ll need to file the proper returns along with writing the checks or doing the electronic funds transfers to pay the taxes that you’ll owe. As complicated as the federal side of taxes can be, in many cases the state and local side is even more complicated. Why? If you’re doing your side hustle in Arizona, you’ll file different state tax return forms than if you’re side hustling in Pennsylvania or California or any other state. Some states just wants a copy of your federal return, but others have their own sets of forms. And to complicate matters even further, many states allow different deductions for expenses than the feds do, meaning that the net income from your side hustle for tax purposes may be different for the IRS than it is for the state where you live. Some cities get in on the act also, and you have to file yet another set of tax returns — and shell out even more money — to the city where you live and where you’re side hustling. Or maybe you’re getting hit at the county level rather than the city level. Sometimes those local taxes are only on W-2 wages (basically, the money you make from your day job), but in other cases, they’re full-blown tax returns that apply to side hustles. Decision time You have two paths you can take when it comes to your side-hustle taxes and filing your returns: Do it yourself. Hire an accountant. Even if you decide that you want to do your own taxes, you don’t have to study up on a ton of tax laws that are always changing or do a whole lot of calculations by hand. All of the big tax-filing programs, such as Credit Karma Taxes, TaxSlayer, TurboTax, and many others, will step you through not only your personal taxes but also basic small-business taxes that would apply to your side hustle, no matter how you set up your business (sole proprietorship, partnership, S corporation), even if your side hustle is just another part-time job with a regular old W-2. And speaking of small-business taxes: You don’t need to be an expert in taxes for your side hustle. After all, you have dozens or even hundreds of other tasks to take care of or decisions to make. However, you should still have a basic idea of the big picture, tax-wise, for your side hustle. Beyond the basics I cover in this article, you can also check out Small Business Taxes For Dummies, 3rd Edition. Even if you made the command decision to hire an accountant to file the tax returns related to your side hustle, you still need to pay attention to some key points and beware of a few big-time traps that could really trip up you and your side hustle. Specifically: Avoid the temptation to use your side hustle to “get creative” with your tax returns. Be aware that if your side hustle crosses state lines, your tax picture could get murky and complicated. Remember that tax laws change frequently and can be tricky. Be sure to correct any tax-related mistakes that you make. Staying legal and staying honest Maybe you’ve read or heard someone saying something along the lines of “I deduct all kinds of expenses through my home business — it’s great!” If that person’s statement really meant “I legally deduct all kinds of allowable expenses through my home business,” then no problem. If, however, the statement actually meant “I sneak in all kinds of personal expenses and deduct them through my home business,” then that person may be in for all sorts of tax and legal problems. And if you follow in their footsteps and start playing shady tax games with your side hustle, you could wind up in a lot of trouble. Business deductions for your side hustle Suppose your side hustle is an online retail site, where you buy clothing items from wholesalers that you then list and sell. While you’re buying clothing items for your business, why not buy some for yourself that you can “hide” among your business purchases? Then you can deduct all that clothing, and basically get your jeans and shirts and shoes at a 30 percent or 35 percent discount because you’ll owe less in federal and state taxes. Don’t do it! Maybe you do a little bit of traveling for your side hustle, and you deduct all those travel-related expenses. You know what? Why not deduct the costs of your next family vacation as well? You already have a bunch of legitimate tax deductions for airfare, hotels, meals, and other travel expenses, so who would ever know if you added a few more travel expenses that really shouldn’t be on your side hustle’s tax return? Don’t do it! Suppose you send a lot of packages to your customers via FedEx, UPS, and the U.S. Postal Service (USPS). Everything that you spend on packing materials and shipping costs is deductible. Why not also include the cost of shipping about a dozen packages to your out-of-town friends and family members for the holidays? Don’t do it! Even if you’re not swayed by the morality and ethics of cheating the government by lying — yeah, I said lying! — on your tax returns, how about a practical reason to be honest when it comes to your side hustle’s taxes? If you get caught, you’ll be in big trouble! At best, you’ll owe money — maybe a lot of money! — for back taxes, interest, and (most likely) penalties. At worst, the government could decide to criminally charge you with tax fraud. Even if you escape being convicted, you’ll have to spend a ton of money on attorneys’ fees. Will the government really come after you for claiming $100 in shipping expenses that you shouldn’t have, or for “only” $2,000 in personal travel that you inaccurately claimed as a legitimate business expense? Maybe not — but do you really want to take the chance?

View Article
Start-Ups Starting & Running a Business All-in-One For Dummies Cheat Sheet (UK Edition)

Cheat Sheet / Updated 08-02-2023

So you've decided to start running your own business but are at a bit of a loss when it comes to some of the basics? Here, you find useful breakdowns of everything from how to plan, run, and most importantly, profit from your new and exciting venture.

View Cheat Sheet
General Small Business Exploring Side Hustle Opportunities

Article / Updated 07-13-2023

If you’re thinking about jumping into a side hustle — or if you’ve already taken the plunge — you’re not alone! According to a study reported on Side Hustle Nation, 45 percent of working Americans — about 70 million people! — had at least one side hustle going. Even better: Another 60 million were thinking about jumping into the side-hustle game. Side hustles aren’t only popular in the United States either. According to an article paid for by GoDaddy appearing on the USA Today website, 54 percent of people in the United Kingdom, another 54 percent of people in Singapore, and an astounding 77 percent of people in the Philippines had side hustles. People start side hustles for a variety of reasons. For many people, money is the prime motivator. But to some people, the financial side of their side hustle is so secondary that it’s almost an afterthought. So, why are you interested in a side hustle? Maybe it’s money, knowledge, or experience. Maybe you’re hoping to make a big career change. Maybe you’re looking to monetize a hobby or passion. Maybe you want a safety net in place in case you get laid off. Or maybe you’re trying to make ends meet after losing your full-time job. How a passion becomes a side hustle As mentioned above, you might start a side hustle based on a hobby or passion. For example of how this can lead to a fantastic opportunity, let’s consider a man named Sandy. He’s been a sports fanatic all his life. He played sports when he was young, and he collected sports cards and memorabilia. Today, a man with children and many responsibilities, his sports cards and memorabilia were stuffed in a box, somewhere in the basement. Then, at the beginning of the COVID-19 pandemic, Sandy noticed that baseball cards, football, and basketball cards, along with all sorts of sports memorabilia, suddenly became wildly popular. Many people were working from home, and many others unfortunately lost their jobs (but fortunately, millions of them started side hustles!). Overall, people were at home much more than before and had a lot of time on their hands, as well as surprisingly flexible work and personal schedules. For whatever reason, lots of people either discovered sports cards and collectibles for the first time or, as with Sandy, rediscovered their long-forgotten collections. So, it’s settled: Sandy has selected his topical area and is going to start a side hustle related to baseball cards, primarily, but also including other cards from football and other sports along with other types of sports collectibles. But exactly what kind of side hustle is this? Sandy could, under the general umbrella of “sports cards and collectibles side hustle,” focus on any of the following: Just baseball cards Baseball, football, basketball, and soccer cards — but basically only sports cards “Game-used” memorabilia, such as uniforms and hats, or balls and baseball bats Autographs Old sports books, almanacs, yearbooks, scorecards, and similar items But wait! Sandy isn’t even close to being done with his narrowing down and filtering. He decides to focus on baseball cards. But what kind? The baseball-card world is divided into different eras: Vintage (basically, older cards from before around 1980) The so-called “junk wax” era from the mid-1980s to the mid-1990s Modern and ultra-modern cards that came after the “junk wax” era ended Sandy decides to focus on vintage cards. However, he still has some more narrowing down to do! He could specialize in: Individual cards Cards for specific baseball teams Unopened packs and cases of old cards (yes, they still exist) Complete sets for a given year Even if you don’t know the first thing about baseball cards and sports collectibles — and don’t care in the least about them, either! — you probably get the idea. Of course, Sandy isn’t limited to only one particular subcategory, or sub-subcategory, or sub-sub-subcategory, or… . But Sandy’s chances for side-hustle success go way up if he hasn’t cast too wide of a net. Whether he plans to buy and then flip (sell quickly) vintage baseball cards, start a podcast about jumping back into the sports collectible hobby, or provide advice to other returning collectors to help them get the most value when they sell their collections, the more focused Sandy is, the better off he’ll be. Sandy could also head right for the techie world for his sports collectible–related side hustle by focusing on non-fungible tokens (NFTs), a hot new area in the sports marketplace (as well as the art world and other areas of society). An NFT is a unique “digital asset” (basically, an online image, audio clip, or video) that uses blockchain technology to essentially make that digital asset behave as if it were a physical “piece of something” that is actually owned by someone. Sandy obviously doesn’t have any NFTs stashed away in those cardboard boxes up in his attic, but as he jumps into a sports-collectible side hustle, he absolutely could find something interesting and potentially lucrative related to NFTs. If you don’t have a clue about blockchain or NFTs and you’d like to learn more, check out Blockchain For Dummies, 2nd Edition, by Tiana Laurence, or NFTs For Dummies by Tiana Laurence and Seoyoung Kim, PhD. Sandy began his side-hustle planning the right way: by first selecting some area of interest and then narrowing that area down. No matter what your side hustle is going to be, you’ll almost certainly find yourself following the same narrowing-down steps. The table below shows a few different side-hustle topical areas and then, for each one, some of the underlying narrowed-down subcategories. Side-Hustle Topical Areas Example Subcategories Beauty and appearance Haircutting and hairstyling, women’s haircutting and hairstyling, hair blowouts, manicures and pedicures, eyebrow microblading, laser hair removal Health and exercise Outdoor biking, stationary biking and spinning, hiking, weightlifting, resistance training, martial arts Home-design services Furniture layout, kitchen remodeling, home exteriors, backyard design, firepits Fashion Women’s clothing, vintage women’s clothing, jewelry and accessories, vintage jewelry Even if you’re doing the “just something to earn extra money” version of a side hustle rather than trying to monetize an interest or hobby, you still need to do at least a little bit of narrowing down. Suppose you’ve decided to do some gig-economy delivery service. Do you want to also do shopping and then deliver what you buy at the supermarket or at other stores? Maybe you just want to pick up food from restaurants and deliver the food to homes, with no shopping involved. Making this particular decision will help you decide between, say, an Instacart side hustle versus doing something with DoorDash or Grubhub. Or you may want to just deliver packages for Amazon. You can “package up” as many different side-hustle ideas as you have time for or that make sense for you. You aren’t even limited to ones that are closely related to one another, such as baseball and football cards, or hair and eyebrow microblading. Be careful not to spread yourself too thin, especially as you’re first getting started in the world of side hustles. Taking your side hustle to market You’ve selected your side-hustle topical areas to focus on, and you’ve decided what sort of side hustle to do (providing a service, selling something, delivering content, or monetizing an asset). Guess what: Your decision-making still needs to march ahead! Now you need to decide how you’re going to take your side hustle to market and how you’re going to reach prospective customers. You could: Go to market totally on your own. Leverage an online marketplace. Join a multilevel marketing (MLM) organization. Going to market on your own You can start, build, and run a side hustle that is structurally identical to a full-time business. As another example of someone starting a side hustle, let's say a woman named Breanna went down this particular side-hustle road for her online boutique. She built a simple website and Shopify store and is doing her own social-media marketing. Breanna lined up her suppliers and set aside a spare bedroom in her house to serve as a warehouse and shipping area. She processes customer orders as they come in and then packs and ships each outgoing package herself. Breanna’s brother, Brian, is also in the side-hustle game, but he has taken a different route than his sister did. Brian is a software engineer who wants to do a little smaller-scale contract software development for his side hustle. So, whereas Breanna is selling physical products for her side hustle, Brian is providing a service for his. But other than the product-versus-service and fashion-versus-tech differences, Brian’s side hustle is very similar to Breanna’s. He also built his own website and has been doing online targeted ads to drum up business. Basically, Brian’s side hustle mirrors that of his sister in terms of going to market as a microcosm of a larger business. Leveraging an online marketplace Rather than try to market and advertise your side hustle totally from scratch, you can get a head start by posting your services on an existing online marketplace that’s widely known and that your potential customers frequently visit to find providers for what you’re selling. Keith is a software engineer at the same company where Brian works, and he also wants to start a software development side hustle. Keith, however, doesn’t have the patience to set up his own website or to do his own targeted marketing on social media to try to find business. Instead, Keith lists his services on Fiverr, an online marketplace where people and businesses come to find contractors for software development, video editing and production, graphic design, market research, writing a business plan, or other professional services. Many people like Keith use online marketplaces such as Fiverr, Upwork, Freelancer, Guru, and other sites as the foundation for their side hustles. Online marketplaces aren’t limited to professional services side hustles, either. For example: If you do dog walking or pet sitting for your side hustle, you can list your services on Rover, Holidog, or Puppy Friends Social Club. If you provide home-related services, you can go to market through Angi or Thumbtack. If you do freelance hair styling or tutoring, or provide dance lessons, you can post your services on the aforementioned Fiverr under the “Lifestyle” category. Suppose Sandy decides his sports collectible–related side hustle will be to help other people figure out how much their long-forgotten vintage card collections are worth. Sandy could list “Vintage Baseball Card Appraisal and Valuation” on Fiverr under “Lifestyle” services. In fact, if you happen to be a Pokémon collector, you’re in good company with other side hustlers who post that they’ll help you figure out how much your Pokémon collection is worth. Another side-hustle freelancer posts that they’ll appraise Peanuts (the comic strip with Snoopy, Charlie Brown, and their friends) collectibles. If you can imagine a product or service, odds are that you can come up with a related side hustle! Multilevel marketing organizations MLM organizations — also called network marketing companies — are the most controversial topic in the world of side hustles. Some people swear that MLMs are the absolute best way to do a side hustle, while others swear at MLMs and regret the day they ever signed up for one. So, what’s the story with MLMs? Suppose you’re interested in selling exercise clothing, activewear, and leisurewear for a side hustle. You could do what Breanna did: Build your own website or storefront. Decide which specific products you want to sell. Find suppliers for the products you want to sell. Figure out the tricks of social-media advertising to reach potential customers. Pack and ship orders if you’re handling your own inventory. On the other hand, you could find an MLM that markets the type of activewear and leisurewear that you want to sell and then join that MLM. You don’t just sign up with an MLM, however. The term multilevel is part of the name for a reason. You typically become part of the sales network for someone who is already a member of that company (thus, the significance of the work network in network marketing). Further, as illustrated in the figure below, that network is constructed in multiple tiers, or levels, thus, the name multilevel marketing. If you join an MLM, you make money from selling products to other people. But you also make money by bringing other people into the company and typically by receiving a small portion of the sales made by each person in your network. Basically, the larger your network, the more money you can make from products that other people sell. The pyramid-like structure of the typical sales force within a multilevel marketing company is why many people view MLMs as a “pyramid scheme.” The full story is somewhat murkier. If an MLM company has a viable product that its independent contractor sales associates — basically, a whole bunch of people doing side hustles — offers and sells to the public, then despite the pyramid-like structure the MLM likely isn’t a pyramid scheme in the classic financial fraud sense. But the key is that the company does need to have real products or services that you and others actually sell. You need to do your homework and determine: How to figure out if a given MLM’s compensation model is good for you Whether you can make any money if you’re way, way down the sales ladder How sales territories are allocated If you’re required to purchase a monthly allocation of products, or if you can purchase products as you sell them From a side-hustle perspective, MLMs have some interesting advantages and possible disadvantages. On the plus side, you can find an MLM for almost anything that you want to sell for your side hustle: clothing, health and wellness products, cleaning supplies, cooking-related products, makeup, and even (ahem) “adult” products. If you can imagine something, you almost certainly can find an MLM to join! One possible drawback, however, is that if you join an MLM, much — maybe even most or all — of your selling will be to family members and friends. Before you head down the MLM road for your side hustle, think about the possibility of constantly pushing new products on your friends and family, or dealing with them as dissatisfied customers, or telling your sister or a parent that the automatic payment on their credit card was rejected last month — yeah, might not be a whole lot of fun.

View Article
Start-Ups Ready to Start a Home Business? Take this Quiz to Find Out

Article / Updated 07-10-2023

Many people talk about starting a work-from-home businesses, and many dream about becoming their own bosses. Making the transition from a full-time career to self-employment, however, is a big change in anyone’s life. Are you really ready to make the move to a home business, or should you put the idea of having your own work-from-home business on the back burner for a while longer? To help you decide, take the following work-from-home business quiz. Circle your answer to each of these questions, add up the results, and find out if you’re ready to take the plunge! How strong is your drive to succeed in your own work-from-home business? I can and will be a success. Period. I’m fairly confident that if I put my mind to it, I will succeed. I’m not sure. Let me think about it for a while. Did I say that I wanted to start my own business? Are you sure that was me? Are you ready to work as hard as or harder than you have ever worked before? You bet — I’m ready to do whatever it takes to succeed! Sure, I don’t mind working hard as long as I get something out of it. Okay, as long as I still get weekends and evenings off. What? You mean I’ll still have to work after I start my own business? Isn’t that why I hire employees? Do you like the idea of controlling your own work instead of having someone else control it for you? I don’t want anyone controlling my work but me! That’s certainly my first choice. It sounds like an interesting idea — can I? Do I have to control my own work? Can’t someone control it for me? Have you developed a strong network of potential customers? Yes, here are their names and numbers. Yes, I have some pretty strong leads. Not yet, but I’ve started kicking around some ideas with potential customers. I’m sure that as soon as I let people know that I’m starting my own business, customers will line up. Do you have a plan for making the transition into your work-from-home job? Here it is — would you like to read the executive summary or the full plan? Yes, I’ve spent a lot of time considering my options and making plans. I’m just getting started. I don’t believe in plans — they crimp my style. Do you have enough money saved to tide you over while you get your work-from-home business off the ground? Will the year’s salary that I have saved be enough? I have six months’ expenses hidden away for a rainy day. I have three months’ worth. I’m still trying to pay off my college student loans. How strong is your self-image? I am self-esteem! I strongly believe in my own self-worth and in my ability to create my own opportunities. I feel fairly secure with myself; just don’t push too hard. I don’t know — what do you think? Do you have the support of your significant other and/or family? They’re all on board, are an integral part of my plan, and have been assigned responsibilities. They’re in favor of whatever makes me happy. I’m pretty sure they’ll support me. I’m going to tell them about it later. If it’s a necessary part of your plan, will you be able to start up your work-from-home business while you remain in your current job? Sure — in fact, my boss wants in! If I make a few adjustments in my schedule, I can’t see any other reason why I can’t. Would you please repeat the question? Maybe I’ll be able to work on it for a couple of hours a month. What will you tell friends when they ask why you quit that great job? I’m free at last! That the benefits clearly outweigh the potential costs. I don’t know; maybe they won’t ask. I’ll pretend that I’m still working for my old organization. Give yourself 5 points for every 1 answer, 3 points for every 2, –3 for every 3 (should be easy to calculate), and –5 for every 4. Now tally up the numbers, and compare your results with the following ranges of numbers. By comparing your total points with the points contained in each of the six following categories, you can find out whether you’re ready to jump into your own work-from-home business: 25 to 50 points: Assuming you were honest with yourself as you answered the preceding questions (you were, weren’t you?), you’re ready to start a work-from-home business! You just need to decide whether to drop your day job or work into your new business gradually. 1 to 24 points: You’re definitely warming up to the idea of starting your own work-from-home business. Consider starting your own business in the near future, but make sure to keep your day job until you have your venture well under way. 0 points: You can go either way on this one. Why don’t you try taking this test again in another month or two? Read this book in the meantime. –1 to –24 points: Unfortunately, you don’t appear to be quite ready to make the move from career to work-from-home business. You should do some additional research and then take this test again in a few months. Maybe working for someone else isn’t the worst thing that can happen to you. –25 to –50: Forget it. You were clearly born to work for someone else. A work-from-home business isn’t for you. Are you ready to make the move to starting a work-from-home business? If the quiz indicates otherwise, don’t worry — you’ll have plenty of opportunities in the future. When you’re ready for a work-from-home job, they’ll be ready for you. If you’re ready now, congratulations! If you’re ready, use these tips to succeed in your work-from-home business.

View Article
Start-Ups Job Coaching Tips that Foster Employee Development

Article / Updated 07-10-2023

Job coaching plays a critical part in the learning process for employees who are developing their skills, knowledge, and self-confidence. Your employees don’t learn effectively when you simply tell them what to do. In fact, they usually don’t learn at all. With the right guidance, anyone can be a good job coach. This article considers what effective job coaches do and how they do it so that you can coach your employees toward successful results. Serve as both manager and job coach Even if you have a pretty good sense of what it means to be a manager, do you really know what it means to be a coach? A coach is a colleague, counselor, and cheerleader, all rolled into one. Based on that definition, are you a coach? Why or why not? Surely you’re familiar with the role of job coaches in other realms. A drama coach, for example, is almost always an accomplished actor or actress. The drama coach’s job is to conduct auditions for parts, assign roles, schedule rehearsals, train and direct cast members throughout rehearsals, and support and encourage the actors and actresses during the final stage production. These roles aren’t all that different from the roles managers perform in a business, are they? Coaching a team of individuals isn’t easy, and certain characteristics make some coaches better than others. Fortunately, as with most other business skills, you can discover, practice, and improve the traits of good coaches. You can always find room for improvement, and good coaches are the first to admit it. Following are key characteristics and tasks for coaches: Job coaches set goals. Whether a small business’s vision is to become the leading pizza franchise in the city, to increase revenues by 20 percent a year, or simply to get the break room walls painted this year, coaches work with their employees to set goals and deadlines for completion. They then go away and allow their employees to determine how to accomplish the goals. Job coaches support and encourage. Employees — even the best and most experienced — can easily become discouraged from time to time. When employees are learning new tasks, when a long-term account is lost, or when business is down, coaches are there, ready to step in and help the team members through the worst of it. “That’s okay, Kim. You’ve learned from your mistake, and I know that you’ll get it right next time!” Job coaches emphasize team success over individual success. The team’s overall performance is the most important concern, not the stellar abilities of a particular team member. Coaches know that no one person can carry an entire team to success; winning takes the combined efforts of all team members. The development of teamwork skills is a vital step in an employee’s progress in a company. Job coaches can quickly assess the talents and shortfalls of team members. The most successful job coaches can quickly determine their team members’ strengths and weaknesses and, as a result, tailor their approach to each. For example, if one team member has strong analytical skills but poor presentation skills, a coach can concentrate on providing support for the employee’s development of better presentation skills. “You know, Mark, I want to spend some time with you to work on making your viewgraph presentations more effective.” Job coaches inspire their team members. Through their support and guidance, coaches are skilled at inspiring their team members to the highest levels of human performance. Teams of inspired individuals are willing to do whatever it takes to achieve their organization’s goals. Job coaches create environments that allow individuals to succeed. Great coaches ensure that their workplaces are structured to let team members take risks and stretch their limits without fear of retribution if they fail. Job coaches are available to advise their employees or just to listen to their problems, as needed. “Carol, do you have a minute to discuss a personal problem?” Job coaches provide feedback. Communication and feedback between coach and employee is a critical element of the coaching process. Employees must know where they stand in the company — what they’re doing right and what they’re doing wrong. Equally important, employees must let their coaches know when they need help or assistance. And both parties need this dialogue in a timely manner, on an ongoing basis — not just once a year in a performance review. Firing someone doesn’t constitute effective feedback. Unless an employee has engaged in some sort of intolerable offense (such as physical violence, theft, or intoxication on the job), a manager needs to give the employee plenty of verbal and written feedback before even considering termination. Giving employees several warnings offers them opportunities to correct deficiencies that they may not be able to see. Identify a job coach’s tools Job coaching isn’t a one-dimensional activity. Because every person is different, the best job coaches tailor their approach to their team members’ specific, individualized needs. If one team member is independent and needs only occasional guidance, recognize where she stands and provide that level of support. This support may consist of an occasional, informal progress check while making the rounds of the office On the other hand, if another team member is insecure and needs more guidance, the job coach must recognize this employee’s position and assist as needed. In this case, support may consist of frequent, formal meetings with the employee to assess progress and provide advice and direction as needed. Although you have your own job coaching style, the best coaches employ certain techniques to elicit the greatest performance from their team members: Make time for team members. Managing is primarily a people job. Part of being a good manager and coach is being available to your employees when they need your help. If you’re not available, your employees may seek out other avenues to meet their needs — or simply stop trying to work with you. Always keep your door open to your employees and remember that they are your first priority. Manage by walking around. Regularly get out of your office and visit your employees at their workstations. “Do I have a minute, Elaine? Of course, I always have time for you and the other members of my staff.” Provide context and vision. Instead of simply telling employees what to do, effective job coaches explain the why. Coaches provide their employees with context and a big-picture perspective. Instead of spouting long lists of do’s and don’ts, they explain how a system or procedure works and then define their employees’ parts in the scheme of things. “Chris, you have a very important part in the financial health and vitality of our company. By ensuring that our customers pay their invoices within 30 days after we ship their products, we’re able to keep our cash flow on the plus side, and we can pay our obligations such as rent, electricity, and your paycheck on time.” Transfer knowledge and perspective. A great benefit of having a good job coach is the opportunity to learn from someone who has more experience than you do. In response to the unique needs of each team member, coaches transfer their personal knowledge and perspective. “We faced this exact situation about five years ago, Dwight. I’m going to tell you what we did then, and I want you to tell me whether you think it still makes sense today.” Be a sounding board. Job coaches talk through new ideas and approaches to solving problems with their employees. Job coaches and employees can consider the implications of different approaches to solving a problem and role-play customer or client reactions before trying them out for real. By using active listening skills, coaches can often help their employees work through issues and come up with the best solutions themselves. “Okay, Priscilla, you’ve told me that you don’t think your customer will buy off on a 20 percent price increase. What options do you have to present the price increase, and are some more palatable than others?” Obtain needed resources. Sometimes coaches can help their employees make the jump from marginal to outstanding performance simply by providing the resources those employees need. These resources can take many forms: money, time, staff, equipment, or other tangible assets. “So, Gene, you’re confident that we can improve our cash flow if we throw a couple more clerks into collections? Okay, we’ll give it a try.” Offer a helping hand. For an employee who is learning a new job and is still responsible for performing her current job, the total workload can be overwhelming. Coaches can help workers through this transitional phase by reassigning current duties to other employees, authorizing overtime, or taking other measures to relieve the pressure. “Phoebe, while you’re learning how to troubleshoot that new network server, I’m going to assign your maintenance workload to Rachel. we can get back together at the end of the week to see how you’re doing.” Effective job coaches teach through show and tell Besides the obvious job coaching roles of supporting and encouraging employees in their quest to achieve an organization’s goals, managers as coaches also teach their employees how to achieve an organization’s goals. Drawing from your experience, you lead your workers step by step through work processes or procedures. After they discover how to perform a task, you delegate full authority and responsibility for its performance to them. For the transfer of specific skills, you can find no better way of teaching, and no better way of learning, than the show-and-tell method. Developed by a post–World War II American industrial society desperate to quickly train new workers in manufacturing processes, show-and-tell is beautiful in its simplicity and effectiveness. Show-and-tell coaching has three steps: You do, you say. Sit down with your employees and explain the procedure in general terms while you perform the task. They do, you say. Now have the employees do the same procedure as you explain each step in the procedure. They do, they say. Finally, as you observe, have your employees perform the task again as they explain to you what they’re doing. As you go through these steps, have employees create a “cheat sheet” of the new steps to refer to until they become habit. Good job coaches make turning points big successes Despite popular impressions to the contrary, 90 percent of management isn’t the big event — the blinding flash of brilliance that creates markets where none previously existed, the magnificent negotiation that results in unheard-of levels of union-management cooperation, or the masterful stroke that catapults the firm into the big leagues. No, 90 percent of a manager’s job consists of the daily chipping away at problems and the shaping of talents. The best coaches are constantly on the lookout for turning points — the daily opportunities to succeed that are available to all employees. The big successes — the victories against competitors, the dramatic surges in revenues or profits, the astounding new products — are typically the result of building a foundation of countless small successes along the way. Making a phone-prompt system more responsive to your customers’ needs, sending an employee to a seminar on time management, writing a great sales agreement, conducting a meaningful performance appraisal with an employee, meeting a prospective client for lunch — all are turning points in the average business day. Although each event may not be particularly spectacular on its own, when aggregated over time, they can add up to big things. This is the job of a coach. Instead of using dynamite to transform the business in one fell swoop (and taking the chance of destroying their business, their employees, or themselves in the process), job coaches are like the ancient stonemasons who built the great pyramids of Egypt. The movement and placement of each individual stone may not have seemed like a big deal when considered as a separate activity. However, each was an important step in achieving the ultimate result — the construction of awe-inspiring structures that have withstood thousands of years of war, weather, and tourists. Incorporate job coaching into your day-to-day interactions Job coaches focus daily on spending time with employees to help them succeed — to assess their progress and to find out what they can do to help the employees capitalize on the turning points that present themselves every day. Job coaches complement and supplement the abilities and experience of their employees by bringing their own abilities and experience to the table. They reward positive performance and help their employees learn important lessons from making mistakes — lessons that, in turn, help the employees improve their future performance. For example, suppose you have a young and inexperienced, but bright and energetic, sales trainee on your staff. Your employee has done a great job of contacting customers and making sales calls, but she hasn’t yet closed her first deal. When you talk to her about this, she confesses that she’s nervous about her own personal turning point: She’s worried that she may become confused in front of the customer and blow the deal at the last minute. She needs your coaching. The following guidelines can help you, the job coach, handle any employee’s concerns: Meet with your employee. Make an appointment with your employee as soon as possible for a relaxed discussion of the concerns. Find a quiet place free of distractions, and put your phone on hold or forward it to voice-mail. Listen! One of the most motivating things one person can do for another is to listen. Avoid instant solutions or lectures. Before you say a word, ask your employee to bring you up-to-date with the situation, her concerns, and any possible approaches or solutions she’s considered. Let her do the talking while you do the listening. Reinforce the positive. Begin by pointing out what your employee did right in the particular situation. Let your employee know when she’s on the right track. Give her positive feedback on her performance. Highlight areas for improvement. Point out what your employee needs to do to improve and tell her what you can do to help. Agree on the assistance you can provide, whether your employee needs further training, an increased budget, more time, or something else. Be enthusiastic about your confidence in the employee’s ability to do a great job. Follow through. After you determine what you can do to support your employee, do it! Notice when she improves. Periodically check up on the progress your employee is making and offer your support as necessary. Above all, be patient. You can’t accomplish job coaching on your terms alone. At the outset, understand that everyone is different. Some employees catch on sooner than others and some employees need more time to develop. Differences in ability don’t make certain employees any better or worse than their co-workers — they just make them different. Just as you need time to build relationships and trust in business, your employees need time to develop skills and experience.

View Article
page 1
page 2
page 3
page 4
page 5
page 6
page 7
page 8
page 9
page 10
page 11
page 12
page 13
page 14
page 15
page 16
page 17
page 18
page 19
page 20
page 21
page 22
page 23
page 24
page 25
page 26
page 27
page 28
page 29
page 30
page 31
page 32
page 33
page 34
page 35
page 36
page 37
page 38
page 39
page 40
page 41
page 42
page 43
page 44
page 45
page 46
page 47

Quick Links

  • About For Dummies
  • Contact Us
  • Activate Online Content

Connect

About Dummies

Dummies has always stood for taking on complex concepts and making them easy to understand. Dummies helps everyone be more knowledgeable and confident in applying what they know. Whether it's to pass that big test, qualify for that big promotion or even master that cooking technique; people who rely on dummies, rely on it to learn the critical skills and relevant information necessary for success.

Copyright @ 2000-2024 by John Wiley & Sons, Inc., or related companies. All rights reserved, including rights for text and data mining and training of artificial technologies or similar technologies.

Terms of Use
Privacy Policy
Cookies Settings
Do Not Sell My Personal Info - CA Only