Secrets to Starting a Small Business Side Hustle and Make a lot of Money With It

Nowadays, more Americans envision themselves launching their own ventures. This entrepreneurial spirit is especially strong among young people, with half of Gen Z expressing a desire to start their own businesses, according to a report by Samsung and Morning Consult.

The trend of the side hustle is gaining traction across all age groups, with 39% of people taking on additional gigs and 44% believing a side job is necessary to manage their expenses, as indicated by a Bankrate survey. Yet, not all side hustles offer the same benefits in terms of time, money investment, and financial return. While app-based jobs like tutoring or dog walking provide a quick way to earn extra money, they often don't compare to the income potential of a side hustle that evolves into a full-fledged small business.

But what does it take to transform a side hustle into a successful small business—or to start one immediately? Continue reading to discover tips for side hustle success:

1. The Importance of Dedication and Market Awareness

1. Assess Your Commitment: It can be tough to manage a business in addition to a full-time job, but success requires putting in significant effort.
2. Evaluate the Market: Before starting your venture, think carefully about what you want to do. Check if there's a need for your idea in the market or if there's a way to improve upon existing offerings.
3. Respond to Market Demand: Kerr highlights the importance of listening to the market. When he saw a strong demand for Alchemy Merch, he responded proactively, which was crucial for his success.
4. Leverage Momentum: Once you see potential in your venture, don't hesitate. Use any momentum you gain to drive your business forward.
5. Recognize Value: Understand and recognize the value of what you're creating. This realization can be a key motivator and a determinant of success.

Successful Story: Greg Kerr did exactly that. He created Alchemy Merch in 2015 which sells custom pins, rapidly, became his full-time business and now he creates custom products for big companies like Apple, Nickelodeon, National Geographic, and Nike. He was just an independent artist looking for ways to monetize his artwork in new ways. Kerr's business went from $0 to $1 million in sales in 18 months and has seen just under $2 million in annual revenue for the past several years.

2. Slow and Steady Wins The Race

For those looking to start and grow a business:

1. Embrace a Slow and Steady Approach: Believe in the principle that "slow and steady wins the race," emphasizing patience and consistent effort in building a business from the ground up.
2. Learn Through Hands-On Experience: Get involved in all parts of the business operation, suggesting that understanding every element, no matter how small, is crucial.
3. Trust Your Instincts: Following your gut feeling and trusting your instincts can guide you through many decisions and challenges in business.
4. Maintain Open Communication: Keeping open lines of communication with everyone you interact with, from customers to suppliers and beyond, is essential.
5. Value Connections and Learning: Embrace the importance of the connections made along the way and the lessons learned from them, which can prove invaluable for business growth and personal development.

Successful Story: Kim Vaccarella founder of Bogg Bag, used to work in the Real State industry but she had the idea for a "better beach bag" — one that was sturdy, large, and washable. She believes that “slow and steady wins the race” and because of it and getting involved in every step of her business, she went full-time with the business in 2018, at which point she set an ambitious goal: $1 million in sales. Bogg Bag hit that target and exceeded $50 million in revenue by 2023. This year, the company aims to cross the $100 million sales mark.

3. You a Business idea? Just Do it

1. Just Start: Don't wait for the perfect moment or setup to launch your idea. Begin with the resources you have and improve as you go.
2. Embrace Imperfections: Early efforts don't need to be highly polished or perfect. The focus should be on getting started and iterating over time.
3. Use Available Tools: Utilize readily accessible tools and platforms, like Zoom, Facebook, Venmo, Cash App, or Zelle, to facilitate operations and transactions without needing complex systems.
4. Focus on Value: If your product or service truly resonates and provides value, customers will look past any initial shortcomings or lack of polish.

Successful Story: Sarah Michelle Boes, the Founder of Sarah Michelle NP Reviews (SMNP)followed her gut and believed in the importance of action over perfection and adapting along the way, underscoring that a strong product will naturally attract customers despite initial imperfections and today, this nurse practitioner wanted to instill confidence in others, so she put together an online review course. The side hustle hit seven figures in just seven months, then sold to Blueprint Test Prep at the two-year mark in 2022 for a "life-changing" amount. 

To wrap up, the experiences of Greg Kerr, Kim Vaccarella, and Sarah Michelle Boes highlight key strategies for transitioning from a side hustle to a successful business. Each entrepreneur stresses the importance of dedication, market awareness, and the willingness to start simple and learn along the way.

Greg Kerr emphasizes the necessity of hard work and understanding market needs to turn a passion into a thriving business. Kim Vaccarella advocates for a steady, hands-on approach, trusting one's instincts, and maintaining open communication to navigate the complexities of business growth. Sarah Michelle Boes underscores the power of taking initiative, using available tools, and focusing on providing value to overcome initial challenges.

These insights demonstrate that while the path to entrepreneurial success varies, the common denominators include commitment, responsiveness to market demands, and the courage to begin with available resources, however imperfect they may be. For aspiring entrepreneurs, these stories serve as powerful reminders that with the right mindset and approach, significant achievements are within reach.