Fighting Boredom with Summer Cash
Every kid looks forward to summer vacation and time off from school for
swimming, riding bikes, and hanging out with friends. But parents know the
all-too-common complaint they will soon be hearing: "There's nothing to do
around here!" And in many households, this is followed by, "Can I have some
money to...?"
Ah, summer vacation! Knowing what is to come, parents are
constantly searching for ways to combat the summertime blahs. One new idea to
consider adding to your arsenal this year is youth entrepreneurship.
The
next time you hear, "Can I have some money?" say, "No, but I'll tell you how you
can earn some." Then teach your son or daughter how to start a business of their
very own.
While your young entrepreneur is earning wages, she'll also be
learning to set goals, manage time, talk to customers, market a product, and be
responsible with money. There are few other summer activities that can teach so
many valuable lessons and build so much self-esteem. Besides, children and teens
love the concept of being their own boss!
Getting Started
If you've never owned a business yourself, or aren't sure how to work with an
energetic young entrepreneur, here's how to get started.
Step One: Choose a Business Idea
Young entrepreneurs are most happy and successful if they base their money
making projects on two criteria: (1) Having fun while working; and (2) Serving a
real need in the community.
Your daughter Susie may survey her
neighborhood and see that several mothers need an afternoon babysitter two days
a week. To Mom and Dad, a babysitting service sounds like a lucrative business
for Susie. However, Susie may not enjoy babysitting at all. If Susie is
miserable the whole time she is with the children, she will quit the business
within two weeks, no matter how much money she is making.
Helping a
beginning entrepreneur select a money-making enterprise that brings them joy as
well as cash is a three step process:
(1) Make a list of needs in your community.
(2) Make a list of your child
or teen's talents and interests.
(3) Look for ways your young person can
use his talents to fill a need in the community.
Susie may not like
babysitting, but she may dream of a career as an actor. Suggest that she make
flyers advertising a children's story time at your house once a week. Mothers
can drop off the kids for two hours of stories, puppet shows, and games. Susie
can practice her theatrical talents by acting out parts in the stories she
reads, then serve refreshments and teach a funny poem or finger play. For her
service, Susie should be able to charge $2 a child and make $5 to $7 per hour.
The mothers in the community will be happy, and Susie will get valuable
experience performing before an audience. This is a business Susie can enjoy for
a long period of time.
Step Two: Make a Plan
After your child or teen has settled on a money-making idea, introduce the
concept of writing a business plan. For young entrepreneurs, a business plan can
be a one or two-page summary of the steps to start the business and the costs
for start-up.
A few phone calls may be necessary to get prices on
supplies or printing. You will also want to contact your homeowner's association
and city hall for zoning ordinances or licenses that may be required. Usually
youth-operated money-making projects are exempt from most regulations. Let your
kids do as much of the research as possible. Every step is a learning
experience.
These are the basic elements of a business plan for young
entrepreneurs:
Part One: Organization
1. What is the business
name?
2. What are the business hours?
3. Who are the business
owners?
4. What is the product?
5. What equipment or supplies will be
needed?
6. How much will it cost to start the business?
Part Two:
Marketing
1. Who are my customers?
2. Where are they located?
3.
How will I tell customers about my business?
4. What sales materials do I
need?
5. What is my sales pitch?
Part Three: Finances
1.
Where will I get the start-up money?
2. What are the prices of my
products?
3. What is the profit on each sale?
4. How will I keep records
of income and expenses?
5. How will the profit be used?
Step Three: Launch the Business
For every entrepreneur, child or adult, the official opening of a new
business is a very exciting event. So why not celebrate! If your child is a
little shy about talking to people, a grand opening is a very non-threatening
way to open doors to potential customers and first sales.
These are some
suggestions for ways to launch your business:
1. Write a short story about your new business and send it with a picture to
the local papers or church newsletter. Everyone loves the story of a young
entrepreneur!
2. Invite neighbors over for an open house and have your
kids display their products or demonstrate their services.
3. Distribute
flyers announcing your official opening date and include coupons for discounts
on introductory offers.
4. Make a sign for your car or have T-shirts
made with your business name. Wherever you go, be a walking advertisement of
your services. Customers who see your business name several times over a period
of days are most likely to give you a call.
Step Four: Continue to Grow the Business
Growing a business is a lot like growing a garden. A business must be
nourished with the right amounts of service and attention to detail. So treat
every customer like they are the most important person in the world. Teach young
business-owners to take pride in giving customers more than their money's worth,
and you can be assured this experience in business ownership will be a success.
What begins as a simple activity to relieve summer boredom may turn into one of
the most exciting adventures your family has encountered!
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