How Parents Can Guide Their Kids Towards Business Success
Young kids are naturally curious and love to learn new things. They’ll try anything once and are always keen to find out more about topics that excite them. As a parent, you can use this natural entrepreneurial spirit to guide your child towards business success.
You don’t need to spend long hours sitting together at the kitchen table scouring cash-flow reports or calculating price elasticity of demand. Instead, focus on teaching your kid the soft skills that will serve them well should they decide to venture into the business world on their own.
If your kid shows a sustained interest in business, you can even support them by helping them set up a business of their own. This encourages entrepreneurism and helps your child learn about the basics of the business world.
Business Ideas for Kids
Some kids have a natural love of business and exhibit an entrepreneurial spirit from a young age. Some children start selling collectible cards on the playground, while others set up lemonade stands outside their parent’s front yard. Help your child make a start in the entrepreneurial world by finding a business idea for kids that suits them, like:
Hobby Mentor: Is your child a piano prodigy or a skilled skater? If so, they may be able to secure some cash from other people who will pay them as a mentor to help their skills blossom.
Arts and Crafts: Some kids have a natural propensity for stitching, sewing, or knitting. They can sell these goods in eCommerce stores or advertise their wares at local markets.
Tutoring: Older teens make for perfect tutors for younger children. They still remember the subject material and connect with the child on a level that teachers and parents cannot.
Video Game Coach: Despite popular belief, those hours spent playing Fortnite or Minecraft are not wasted. Your kid can coach less experienced players and make meaningful income by coaching other gamers from the comfort and safety of your living room.
The best business ideas align with your kid’s interests and ensure their safety at all times. This means that you may have to direct your kid away from mentoring surfboard lessons or landscaping if you feel it puts them, or their clients, at risk.
Starting and running a business should be fun for your child. If they start to lose interest in their hobby after monetizing it, encourage them to step away from the business side. This is particularly important for older children who want to turn their crafts into cash. Your child’s love of creating beanies and sweaters far outweighs any profits they may earn from selling their goods on the web.
Marketing and Content Creation
Starting a kid-friendly business is a fun way to learn about how business works. Improve your child’s business acumen and help them bring in higher profits by teaching them the basics of marketing and content creation. This will land them more clients and help them understand the underlying principles that guide business growth.
If your teenager has a great understanding of the digital environment, they may want to explore content creation for themselves. Help your teen make a start as a content creator by picking up essential equipment like lighting, sound equipment, and editing software. Once they have the tools they need, focus on developing skills related to video editing, acting, and social analytics.
When teaching your child about marketing, focus on easy-to-understand concepts like brand presence. This will help your kid get to grips with marketing and help them think about the impact of branded marketing materials. Over time, expose them to increasingly complex marketing concepts like promotions, pricing, and search engine marketing.
Teaching Business Management Skills
Teaching kids about business management skills lays the foundation for understanding the intricacies of running a successful enterprise. This includes the day-to-day operations of a business, including the transitions that businesses go through. Instill an understanding of accounting principles and financial administration, such the basics of tracking income and expenses, and creating budgets.
A discussion about the technology available to make these processes easier is something our digital kids of today can understand, such as online resources for invoicing, and tracking income and expenses. This early exposure builds financial literacy and a holistic comprehension of the responsibilities integral to managing a business successfully.
Finance and Profits
Your kid’s first business shouldn’t be about maximizing profits and making as much money as possible. However, that doesn’t mean you should shy away from topics related to finance. All businesses are profit-motivated, meaning your kid needs to understand the basics of how firms bring in their income.
Before paying for a new lemonade stand or lighting for video marketing, ask your teen to put together a business plan. Business plans are key documents that outline a firm’s plans and help them secure the funding they need. This can result in a lot of fun, too, as your kid may enjoy pitching their business idea to the whole family.
Once your kid starts to run their business, help them keep accounts and keep track of key financial metrics like cash flow, gross profit margin, and burn rate. This shows your child that costs are essential to the functioning of a business and that strategic planning is essential if they want to make a profit. This will also help them learn about money and make wiser investments in the future.
Conclusion
Your kid’s first business isn’t about making money. It’s about introducing them to key concepts like marketing, finances, and hard work. Support your child and guide them towards success by finding a business venture that aligns with their interests and is safe. This will nurture their creativity, give them essential digital skills, and help them feel comfortable within the world of business.
About the Author
Katie Brenneman is a passionate writer specializing in education, mental health, family lifestyle and online safety. When she isn’t writing, you can find her with her nose buried in a book or hiking with her dog, Charlie. You can follow her on Twitter.
