Taking something that you already love doing and finding a way to get paid doing it sounds like a great idea, but it’s not always easy. Here are some tips for turning your hobby into a business.
HAVE A PLAN
Every great business needs to start with a plan. This will require you to sit down and do some research about the market as well as create goals and strategies for your personal business. For more tips on writing a business plan, click HERE.
SEPARATE BUSINESS AND PERSONAL
Once you start making a profit, you need to start treating your hobby differently. This means reporting your income and expenses on your tax returns. Setting up a separate account for your business will help you stay organized and prevent any tax trouble down the line.
BE PREPARED TO WORK
Once you need to meet the demands of paying customers and hit deadlines, your hobby may start to feel less fun. It may be helpful to start slow and work your way up into a full-fledged business in order to judge how you’ll carry the extra responsibility.
It's one thing to have friends or family interested in your product, but creating a market is a whole different matter. Part of your business plan should include how to find consumers. Some great ways to do this is through social media and/or a website. Reach out to loved ones about sharing your pages with their friends. Seek out potential networking opportunities to help your business grow.