Source: Flikie
It is easy to turn your passion for something into a nice little earner or NLE provided you have a smart business plan, and choose to invest wisely. A number of people have turned their passions into hobbies and lead successful, productive lives as proprietors, and there is nothing stopping you from doing the same, provided you follow a few valuable steps.
Some things to consider while converting your hobby into an NLE:
- Is there a demand, or a market for the goods, services, or products which you are offering?
- What is the USP or Unique Selling Proposition of your product?
- How much are you willing to invest in setting up the business?
Source: blog.eerlings.com
In the event that your hobby involves something which has consistent demand, it is alright to start out on a small scale. An example of this would be to turn your passion for baking into a cakes and desserts delivery service. Your investment for this would involve purchasing ingredients, buying a large commercial standard oven, and taking care of recurring water and electricity bills. In the event that you are hiring a commercial space, you will need to consider the amount of rent you can afford to pay on a monthly basis.
If the product you are offering is unique or different in some way, you will be at a big advantage but will need to invest an additional amount in marketing and advertising so that potential customers are made aware of its existence.
In terms of investment, you will need to first draft an extensive business plan which will clearly define your product, its value in the market, logistics pertaining to how many items you are making and selling, projected profit and also recurring costs which will need to be borne on a regular basis. These costs include raw materials, rent if applicable, and other costs pertaining to packaging, delivery and shipping.
Source: WSJ
A tip for those of you who are looking to earn well from your new hobby-business involves making full use of free marketing platforms such as social media. This will enable you to market yourself, display visuals of your products, and offer incentives for buyers such as free gifts and doorstep delivery of purchased products. The internet has always been a favorite among hobbyists and entrepreneurs alike due to its ability to broadcast information freely among a wide target group.
For most hobbyists who are looking to turn their passion into a profession, it is good idea to start small in order to get a feel of the market, and to understand as to whether the returns on their investment are worth the effort.
A number of hobbyists turned entrepreneurs have discovered that taking the budgeting process seriously has saved them time, effort, and money, and the more ambitious among them have opted to apply for small loans or have borrowed from friends in order to invest in better materials for their products.
Turning your favorite pastime into an enriching and lucrative career involves a little effort and smart planning, after which you are on your way to becoming a self-sustaining, self-employed entrepreneur.
