There are three types of part-time businesses. The first is for people who want to work, but value flexible hours and the freedom to pursue other passions or spend time with their children.
The business will never be huge, but then it’s not meant to be. The second is run by people who have a specific skill or hobby that they can make money from, but there are financial or other constraints stopping them from launching the business full-time.
The third includes businesses that can be launched and run part-time, but the entrepreneur’s end goal is to be able to grow the business to a point where it is self-sustaining and he or she can resign and concentrate solely on the business.
Just like any start-up, this requires time, dedication and planning while still working full-time for another employer – and without jeopardising the job. It is also only a viable option for businesses that can be run both part-time and full-time.
Ideally, a part-time business looking to grow into a full-time business should be service-based, relying on the entrepreneur’s skills and drive rather than, for example, manufacturing products.
Weighing Your Options
Running a business while still being permanently employed can make good business sense.
An entrepreneur with a full-time job to fall back on has a safety net and is therefore under less pressure to make the venture succeed quickly. It also means that a few mistakes are not necessarily the end of the business.
Part-time businesses require less funding and the entrepreneur can often raise the necessary funds by diverting earnings from a full-time job. In addition, launching a part-time business with the aim of growing it into a full-time enterprise can be very rewarding. But, like any start-up, it is also incredibly hard work.
For a part-time entrepreneur who is also holding down a job, time is precious and scarce. But that doesn’t mean it can’t be done. Planning, hard work, doing something you are either very good at or love, and having an end goal can give shape to your venture.
It is also important to be patient. Tony Robbins, a US-based self-help author and success coach, says that once you have mastered time, you understand how true it is that most people overestimate what they can accomplish in a year – and underestimate what they can achieve in a decade.
Finding the balance between what can be achieved and how long it will take could result in a sustainable start-up that might take a bit longer to get off the ground – but is highly successful once it is.
Finding a Good Match
If you are looking to start a part-time business, ask yourself this question: what skills do you have that can be sold as a service? As long as it is a skill that people are willing to pay for, it can be the foundation of a great part-time – and then eventually – full-time, business.
Selling your services part-time enables you to eliminate risk by limiting your financial investment, as well as test the ‘start-up’ waters and make sure you do actually want to work for yourself.
Other advantages include a steady income, ongoing employee benefits and building your business over a longer period of time, which generally gives it a more stable foundation.
However, you and your business must be a good match. You may have an interest or experience in a specific business or service, but that doesn’t necessarily make it a good match.
James Stephenson, small business consultant and author of Ultimate Start-Up Directory, highlights these points when determining a good business match:
- Do you have the financial resources to start or purchase the business, and enough money to pay the day-to-day operating expenses until the business breaks even and is profitable? If not, it’s probably not a good match, and you should consider alternatives.
- Does the business have the potential to generate the income you need to pay your personal expenses, and does it also have the potential to generate the income you want to earn? This is very important because if you can’t pay your own bills, you’ll soon be in trouble. And if, over time, you can’t earn the income you want to earn, you’ll lose interest in the business – a recipe for disaster.
- Are you physically healthy enough to handle the strains of starting and running the business? If not, you may end up having to hire people for the job, which can be problematic if the business revenues aren’t sufficient to support both management and employee wages.
- Do you have experience in this type of business or service, and do you have any special skills that can be utilised in the business? You can gain experience and knowledge on the job but skills that can be used and capitalised upon right away are extremely valuable.
- Are there any special certificates or educational requirements to start and operate the business, and are these readily available? Find out the upfront costs associated with these, how they can be obtained, and the time frame needed to obtain specific certificates. Training and certification shouldn’t be viewed negatively because often the return on time and investment is substantially financially rewarding. Anything worth doing is worth doing well.
- Will you enjoy operating the business, and does it match your personality type and level of maturity? This is very important. If you don’t think that you would enjoy it, then don’t start. Again, the loss of interest in a business is almost certainly the kiss of death.
You can’t stay motivated and rise to new challenges if you don’t like what you’re doing.
Tips for Starting a Business Part-time
- Know what you want. Having a clear idea of your objective in starting a part-time business will help you decide what kind of business to start and how to run it.
- Pick something you enjoy doing. Much of the reward of part-time entrepreneurship may consist of the pleasure you gain from it, not the money, so make sure you like the work you’ll be engaged in.
- Pick something you know. If your business is related to a favourite hobby or professional sideline, you’ll have an extra edge because of your background or expertise in the field.
- Have a business plan. Even a part-time business needs a full-size business plan. In particular, be sure you’re able to describe a viable business model for generating profits.
- Be patient. When you can’t work at it all the time, your business idea will take longer to get under way and grow to maturity.
- Take care to separate your job, business and personal responsibilities. A part-time business can interfere with work and family relationships if you let it.
- Have an exit plan. Decide in advance when and how you’ll sell or get out of your part-time business. Otherwise, it could become a full-time burden.
What You Need To Know When Starting A Tech Business
For the tech entrepreneur, the majority of your intellectual capital will reside in your software, code, databases, websites or mobile applications.
Protecting and managing your intellectual capital starts with finding, identifying and classifying your most important human and intellectual assets. Once you know what you are looking for, you can then determine whether you have the rights you need over those assets. If you don’t, you can then go about securing those rights and then select the best methods of protecting them.
Intellectual capital, intellectual assets and intellectual property
In the industrial and manufacturing industries, the conventional forms of capital needed to start and grow a business were real estate, factories, plant and equipment. But in today’s knowledge economy, these physical assets have largely been replaced by ideas, knowledge and creativity as the new drivers of value.
This new type of information and knowledge-based capital is known as intellectual capital. Your intellectual capital is basically all the knowledge, skills, capabilities and work product that you and your team have to offer, together with the relationships, reputation and brand equity that your business is able to attract and maintain in the marketplace.
Intellectual capital is made up of the following:
- Your ideas, insights, knowledge and creativity (intellectual assets)
- The talent, skills and capabilities of your team (human capital)
- Your contractual relationships and connections with investors, customers and other stakeholders (relationship assets)
- Your unique brand and the reputation and goodwill you have built around it (brand assets)
In the same way as we as individuals have a whole lot of information and knowledge, some useful, some useless and trivial; your business’s intellectual capital can also be categorised according to its uniqueness, usefulness or value.
Where your intellectual capital displays these additional qualities, it may qualify for statutory legal protection. These special assets, commonly referred to as intellectual property, are bestowed with rights and protections which give the owner a period of time (limited) to commercialise or exploit them without any undue or unfair interference from others. The trade-off is that after that period of time expires, the asset becomes part of the public domain for anyone and everyone to use.
Discovering what intellectual capital you have and need
For the tech entrepreneur, the majority of your intellectual capital will reside in your software, code, databases, websites or mobile applications. Copyright law without the need to register rights or comply with any further formalities automatically protects most of these assets. However, it is still necessary to identify and categorise those assets because the ownership rights and the ways to protect them may differ between the different types of asset.
At the same time, there may also be a wealth of other intellectual assets tucked away in your filing cabinets and hard drives, waiting to be discovered. These may include valuable trade secrets, know-how, methodologies, customer learning, and market research.
Once you have linked the value drivers and competitive advantages in your business with the assets that produce them, list those assets and classify them according to the structure that they take. Are they people-based or embedded in technology or documentation. Do any of them qualify for statutory protection?
The outcome should be an inventory of all your intellectual capital, classified according to the different levels of protection available as well as their importance to your business. You probably don’t have the time, energy or budget to protect everything, so taking the time to do this exercise will ensure that you separate the wheat from the chaff which will save you in the long run.
10 Cheap Businesses You Can Start In South Africa That Offer Uniquely Local Relevance
There are a few businesses that are more likely to thrive in South Africa than others. Here’s a list of 10 that meet the needs of the country’s people.
Brand South Africa believes that despite a slowing global economy, South Africa remains one of the most promising emerging markets in the world. It is also Africa’s most sophisticated and diverse economy, according to the organisation.
This diverse composition of the South African market and consumers discerning tastes, which vary from region to region and province, represents a good opportunity for the entrepreneurially-minded to capitalise on.
So, why not start a business that caters to the particular needs of South African clientele? Here are a few business ideas that can be started with relatively low capital input:
- Bunny Chow and Kota Food Retail Business
- Uniquely South African Clothing Business
- Ready-to-Eat Baby Food Business
- Mathematics Upskilling Business
- Low Sugar Refreshment Business
- Aerial Drone Photography Business
- Small Batch Beer Brewing Business
- Niche Project management Business
- Tax Consulting Specialist for Start-Up Businesses
- Mobile Hair and Beauty Specialist Business
A Step-By-Step Guide To Selling Consulting Services
Do people often ask for your professional advice? It’s time to start charging for your consulting sessions.
Ever since I launched my YouTube channel where I talk about different strategies regarding B2B selling and inbound marketing, I’ve gotten a lot of requests from my audience to hop on a call with them and help them out.
This is how I got started offering consulting services to different companies and entrepreneurs. Based on what I’ve learned, here’s how to structure these consulting calls so you can start selling them on your own.
I usually use a pretty simple email whenever I’m asked a detailed question that requires a decent amount of my time.
This email includes the price for the consulting call, which can vary, but generally starts at $300. Usually, that email is enough to get viewers to buy in.
You want to price your consulting services in a way that it makes you want to work for that amount (even if you’re not in the mood). By charging a certain amount for the consulting call, you make sure that you’re adding value and the other person is also taking your notes more seriously.
For those who are just getting into coaching and consulting, the best way to start is to assume that the person on the other end is going to get good information out of your session.
People usually join a coaching session either because they have a burning problem or they are so close to a solution that only few words are enough to solve it for them.
In some cases, people paying for a consulting session already have an idea or solution to a specific problem, but they want to have your ideas or expertise.
It is important to remember that the person won’t reach out to you for coaching if she didn’t like something about what you’re doing.
To get this meeting on the calendar, I use a tool called Calendly. There are a bunch of alternatives out there, but Calendly is a pretty popular solution.
The tool is free, but I use a version that charges about $10-$15 a month and plugs directly into my Google calendar. There are a lot of similar tools out there that you can choose from if you don’t like Calendly.
I recently discovered and started using Google Wallet. It is a free tool from Google and its pretty similar to Venmo. It allows you to input your credit card info and the amount billed is directly transferred to your account on the same day.
I’ve previously also used Venmo and Paypal, and as a company (Experiment 27) we used Chargebee for a while. With Chargebee, we had a problem where it would mess up our revenue numbers and our churn rate.
A lot of these coaching sessions are one- or two-time purchases for a very small amount of money compared to our main service offerings, so it would mess up our purchase rates.
Setting up a Google Wallet account is pretty simple and it also provides invoices. The last coaching session I did, an invoice was paid within two hours.
It is important to know whether the person purchasing a coaching session is getting value out of it.
I picked up this idea from someone with whom I used to do a bunch of coaching sessions who runs his coaching session using Google docs.
He opens up a blank Google doc at the start of a coaching session and adds notes there. Using that model, my clients and I go over different goals and questions by writing them in a Google doc and I also assign homework.
Here’s an example of a document like that.
And because all of it was done in a Google doc, everyone has easy access to it. At the end of each coaching session, I think it’s necessary to have a homework assignment that would set up the attendees on something to work for the next week.
Bonus: Should your consulting landing page have short or long copy?
There’s been a long debate among the copywriting community about whether short copy or long copy is the best. Some say that you need long landing pages outlining data point after data point in order to make someone take action and buy your services.
But, there’s another group of copywriters who believe that the short copy is more effective because of its to-the-point approach and easier click and buy operation. There are always two sides to all advice, but for us, short copy didn’t work.
Our coaching funnel normally consists of our clients watching a YouTube video and then booking a consulting call directly.
The clients would usually find the consulting page and would be welcomed by the headline, “Want me to help you double, triple or maybe even quadruple your revenue for the next quarter?”
Our landing page was converting about two clients a week who wanted consulting services on how to improve their agency business.Being a fan of testing, I thought we could do better.
My favorite coaching page of all time is one that is literally a picture of the coach’s face along with a description that says “Did you know Neville takes on four different private consulting clients?” along with one paragraph of copy and a “buy now” button – that’s it.
So, we wrote a version of our consulting page based on Neville’s, but we saw our conversions drop from where they were before down to almost zero. We had just one conversion for the entire month that we had this landing page.
Since this approach clearly wasn’t working for us, we changed back to our previous landing page. We kept a few items from the other approach.
For example, we changed the pricing section and began offering consulting packages. Having packages on the copy page increased the revenue dramatically.
The other thing that this experiment taught us is that we needed a more intense email drip to sell people on coaching. We rewrote our email sequence, which is now a five-day drip in which we basically hard sell people on coaching as they sign up for any of our lead magnets on our YouTube channel.
Even though the short copy approach wasn’t right for us, we did gain some valuable insights from the experiment.
This article was originally posted here on Entrepreneur.com.
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