From Side Hobby to Side Hustle
With the Great Resignation bleeding into 2022, many more employees are exploring their passions and leaving corporate for entrepreneurial pursuits. Motivated by the pandemic, people focused on a more fulfilling work-life balance. Choosing to be their own boss, employees no longer feel tethered to their place of employment. So, what did these entrepreneurs do to find their side hustle? Let’s break a few things down.
Hobby vs. Hustle
The Internal Revenue Service determines a hobby as an activity you don’t make a profit from.
“A business operates to make a profit. People engage in a hobby for sport or recreation, not to make a profit.” –IRS.gov
To determine if your hobby is a business, ask yourself one question: Was I paid more than it cost to create? If the answer is “Yes”, then you are a business. Whether you are selling your wares to friends, online, or at a fair, the IRS sees that as a business if you made a profit.
Side Job vs. Side Hustle
Sometimes money isn’t coming in as quickly as we need. Taking on the odd side job here and there for some quick cash might be the answer for many. A side job is a bit different from a side hustle. While a side hustle is a more passionate pursuit you’re committed to for the long haul, a side job is one you might consider to fill your cash coffers in the interim. Need quick cash to make it through a rough patch or a slow season? Pick up a side job or two to fill in the gaps. Use this method to invest in your business, building your owner’s investment fund. Pour those side job dividends right back into building your business’ foundation.
- Delivery Driver – UberEats, Shipt, DoorDash, Seamless
- Share Ride Driver – Uber, Lyft, Turo, Sixt
- Home Share – Peerspace, Swimply, Neighbor
- Skill Share – UpWork, ODesk, Fiverr, Taskrabbit
- Retail – Seasonal, Hourly, Part-time
Hobbies to Side Hustle
- Content creation – blogging, writing, music, photography
- Retail – selling physical and digital creations via Shopify, Etsy, dropshipping, etc
- Skill Share – courses, coaching, services, cooking, organizing, planning
Powerful Passive Pursuits
As you build, there are many avenues to making money within your side hustle. Moving from hobby to side hustle, you want to be able to create revenue streams that pay as you build. Passive income offers the most reward for the least amount of output. Creating digital assets to sell on your site/shop or as an add-on to other products or services is a great way to transition as you build more for your business to offer.
Ebooks position you as an expert in your industry. Do your followers constantly ask for your air fryer recipes or tutorials on how to create engaging reels? Create an ebook based on what matters most to your audience right now. Give the people what they want.
Checklists are a quick and simple way to fill up your email list with potential customers/clients. You can bundle and sell them as a package by adding exclusive content. Check out our 6 Month Checklist on how to transition to full time entrepreneurship for inspiration.
Create a course/webinar that you record and sell over and over again to future students/participants. BONUS: Include an upsell offer to a high-ticket item in your inventory. At High Tides we have several online courses. Some are exclusive to our platform, and others are out in the world generating royalties on platforms like Udemy.
Affiliate marketing is a great way to make money from brands you already use. By talking or blogging about the brands you love, you can make money by signing up to be an affiliate and including your affiliate link when discussing the product. NOTE: Always let your audience know when they are clicking an affiliate link. Not only is it ethical, but it’s a legal obligation to let folks know that your recommendations are financially backed.
Moving from Hobby to Hustle doesn’t have to be as daunting as one might think. It takes 4 to 6 days to establish a business. From there, it takes 6 to 18 months to launch. If you already have a hobby, you’re passionate about, that works in your favor.
- Start with your concept – How does/can this hobby serve your audience? What skills can you expand on within the business?
- Know your audience – Have an in-depth understanding of who you are selling to. Know their influences, where they shop, where they live, etc. Why do you want to serve them? This is where market research becomes your best friend.
- Write a business plan – This blueprint is the ultimate guide to your business. Your milestones, strategies, and metrics will set you up for success. Not sure where to start? At High Tides we offer Vision Roadmaps to help jumpstart your business planning process.
- Build your platform – Let people know who you are. Start showing up authentically in the spaces and places your audience congregates.
- Get marketing – I know we talked about side gigs to get money, so how can you afford a marketing team? Google University. Use free webinars, Google, and YouTube to fill in the gaps of what it is you need to know.
- Manage your finances – Speaking of money, know where yours is flowing. Understand where your money is coming from, and when, so you’re not surprised when it’s time to pay someone else.
- Self-care – Make sure you understand what it truly means to be a business owner.
- Build your team – Having your business best friends is important to your success. They will fill in the gaps and sharpen your strengths. Don’t forget to create your professional community for support.
- Have an exit strategy – Setting the ultimate goal of what you want your business to become allows you a clear exit milestone. Knowing the finish line at the start means targeted planning straight out of the gate.
Are you ready to hustle?
Are you ready to take your talent, skills, and passion to the next level? Before you do, consider the crucial things to ensure your business and your wellness are intact and ready to pursue the next chapter of your life. Following the proper steps to create the blueprint for your business strategy is important. Above all, you want to ensure that pursuing this transition will ultimately be a lucrative time and energy investment. Creating a business that “loves you back” is not only profitable and sustainable but will bring you success, joy, and contentment.
If you enjoyed this article and would love some more tips on growing your Side Hustle, consider applying for our next Side Hustle Intensive, a 90-day incubation program to help you map out your business strategy and transition into making a profit with your business idea. Now accepting applications. Learn more and apply here.