How To Start A Business For Kids
73
Useful Websites
- Ideas For Businesses Suitable For Kids
Getting kids started in business - Using Cashflow 101 Ideas With Kids
Teaching kids Rich Dad's wisdom about money and business - Creating Financial Literacy In Your Kids
Ideas for teaching kids about money and business - Ideas For Businesses For Kids
Information and suggestions about getting kids started in business - Kids And Money - How To Break Through
Teach your kids how to escape from the rat race
 | Amazon Price: $4.11 List Price: $24.00 |
 | Amazon Price: $21.90 List Price: $10.95 |
 | Amazon Price: $4.43 List Price: $9.95 |
 | Amazon Price: $10.75 List Price: $12.95 |
The First Step
If you only ever teach your child one thing about business, here is the one business idea that will make the greatest difference:
First demand, then supply.
Find a market, find out what the market wants, and then work out how to provide it.
A vast, vast proportion of businesses are started completely the wrong way. Someone has a great idea, or an invention, or something they are good at, or something they enjoy, and then they go about trying to find someone to sell it to.
This is a recipe for heartbreak, if not bankruptcy.
From the very first lesson in the very first week at Cash-Smart Kids, we are teaching kids this vital, vital concept.
We don't start out throwing around words like "demand" and "supply", of course - that comes later. We make sure that the child is doing the right thing, even if he or she doesn't know what the right thing is called. Kids learn by doing, and the basic ideas in business are not rocket science. Economists and MBAs like to throw around the big words, but in truth, the big words aren't necessary.
I introduced my kids to this concept by means of a simple Q&A session, which went like this:
Why do you want to have a business?
To get money.
Where does the money come from?
Customers.
Where are the customers?
Out there.
And where is the money?
In their pockets.
Why would they take the money out and give it to you?
Because there's something they want.
What is it that they want?
Ummmmmm ...
And suddenly they understood why we do market research!
If you don't know what the customers want, you can't offer it. And if you don't offer it, the customers won't hand over the money. And if you don't have customers handing over money, you don't have a business.
Encourage your kids to brainstorm the things that people are willing to spend money on - things they will pay other people to do, things they want a lot (like a cool drink on a hot day - more than one young entrepreneur has made their start selling cool drinks to captive groups of adults, for example at local markets, car boot sales, or sports fields), or things they love (their hobbies, pets, and other passions).
Then have them go out and actually ask questions of their prospective customers. Find out what the market wants to buy, and what they would be willing to pay.
Your kids will then be in a great position to invent a business idea that will actually make them money from the get-go - very important for keeping them motivated!
Ideas From Other Young Entrepeneurs
- Young Entrepreneurs - Fraser Doherty
Another example of kids making money - Fraser Doherty started his jam-making business at the age of 14. Winner of several business awards, he offers his advice to other young entrepreneurs wanting to make their business ideas a reality. - 4 years ago
- Young Entrepreneurs - Ashley Qualls
Ashley Qualls and her WhateverLife.com website have become legend. It's no longer remarkable for kids to make money online, but Ashley Qualls makes lots of money online, and makes money online doing something she loves. - 4 years ago
- Young Entrepreneurs - Donny Ouyang
Donny Ouyang, of British Columbia, Canada, built several successful internet businesses before turning sixteen. His ventures, which include kinkarso.com, christianavenue.org, battleforums.com, and live.tv.ws,... - 3 years ago
- Business Ideas For Kids
Resources for parents to help their kids get started in business - ways for kids to make money, how to start a business for kids, how to teach kids about money and business, and how to build good money attitudes in your kids. - 4 years ago
- Young Entrepreneurs - Cameron Johnson
Young entrepreneur and teen millionaire Cameron Johnson was born to sell. From his first venture selling vegetables door to door, to a series of dotcom successes before he graduated high school, Cameron has shown a sharp business mind and a strong work ethic. - 3 years ago
- Young Entrepreneurs - Divyank Turakhia
Divyank Turakhia, of Mumbai (Bombay), India, started internet consulting at the age of 14, and started his domain registration and site-building company two years later with $600 borrowed from his parents. That original business, Skenzo, is now... - 3 years ago
- Young Entrepreneurs Of Asia
Asia has been the world's economic powerhouse in recent years, driven by strong growth in China and India. Recently, a new group of start-ups have wowed the region. This new generation of young entrpreneurs is globally aware, extremely Internet savvy, and willing to work hard and take considerable financial risk in their teens and twenties. - 3 years ago
- Young Entrepreneur - Declan Galbraith
Traditional ways for kids to make money have focused on household chores, but busking led to multi-million pound recording career for Declan Galbraith. - 3 years ago
Teaching Kids About Money And Business
This does not appear to be a valid RSS feed.vote upvote downsharePrintflag
- Useful (7)
- Funny (4)
- Awesome (5)
- Beautiful (3)
- Interesting (2)
CommentsLoading...
Thanks for the comment, Mark.
I can understand that perspective. Our culture certainly seems to think that managing money is something best left until adulthood. And adults who have businesses often appear burdened.
I can only speak from my own experience here, but the kids I see out there doing creative things to earn money don't seem to regard it as burdensome, or even as work.
For my observation, it seems that to kids, earning money is as natural as spending it, until we adults and our cultural programming interfere and make it all serious and stressful.
Of course, if parents are pushing kids into it, that's just as bad as pushing them into beauty pageants or sporting teams or anything else to serve the parents' agenda instead of coming from the child's own interest. I blogged about that recently, actually, parents who seem to want to use their kids to make money for the parents.
I hear you on the growing up too fast, though - my girls started talking about having "boyfriends" at 10 or 11 years of age! It was interesting that once they started getting involved with adult activities, both in business and in community activism, their interest in become prematurely adult in their dress and behaviour dropped right off.
Of course, I only have girls - I'd love to hear from someone who has a boy. Is it the same with boys? Do they seem to want to grow up too fast?
Jenny
P.S. Your Forex page is really great - I wish there was more level-headed educational material around. Unfortunately, people don't seem to appreciate it, and advertisers don't want to advertise beside it. We tried to get a print magazine going a few years ago that would be all just like your Forex page, covering property, debentures (don't get me started!!!), shares, currency and futures trading, business, and whatever else people get into to try to get ahead. We just couldn't get enough advertisers to cover the cost of printing it. Good on you, and may you do many more like it!
Running a business and managing money are not the same thing in my book. I do think that kids should be taught the value of money. All girls over here too :)
I guess my issue with teaching them to run a business is that it is stressful and the only way to let them do it without the stress is to let them have free food, a free bed, no taxes to pay, a free computer to run the "business" on etc, and this will give them a skewed perspective.
It's a bit like the "free practice accounts" that you can set up at a forex site. If there is no money on the line, you act differently and there is little to be learned. Same thing. If they are not going to be thrown out of the house if they lose all their money, they will make different decisions. Therefore it's not really teaching them how to run a business. What do you think?
And thanks for the compliment - I try and say it as I see it. Costs me money sometimes, but I would rather do it that way.
I agree with you that it would be stressful to expect kids to launch into running a business as an adult does.
Just as we teach them to ride a bike by running beside them and holding it up until they get the hang of balancing, or do the handling of sharp knives and hot things when they are learning to cook, parents need to allow kids to expand into business activities safely and according to their capability.
I think most parents would already provide their kids with free food, a free bed, tax-free income, and the use of a computer. If the kids use those resources to learn ballet, nobody complains that it's a skewed perspective because professional dancers have to pay their own rent and food out of their earnings.
Business is an activity like any other, and it may or may not end up being a child's primary source of income as an adult.
I never had the build to be a professional ballet dancer, but I gained strength, poise and confidence from my ballet lessons, which I use for other things now. Kids will gain knowledge and skills from their business activities, in the same way.
Exposure to the process of creating value for a customer is a vital part of learning how money works. Even if someone spends their entire life as an employee, understanding that a business only exists to provide value to its customers makes that person a much more valuable employee than someone who thinks that money comes from showing up, doing the minimum required, and talking your way out of any trouble you might get into (aka employee mindset).
Just my 0.02, YMMV and all that ...
Jenny
P.S. Yes, I'm with you - you can't put a price on your integrity.
im very confused about those last few comments but this article really inspired me!
I'm glad you're inspired, Casey - I hope you turn that inspiration into something great!
hhow do you actually start a buisness?
Encouraging kids to start a business is sooooo much more than just making money. It teaches them people skills, time management, politeness, understanding of how the business world works (and doesn't work), dedication to a purpose, and just the ins and outs of human behavior and social psychology (fancy way of saying dealing with nice people and jerks). Lesson they will NEVER learn in school or the playground. I am proud to say that both of my daughters have their own businesses - both were self-created by them. My 12-yr old makes around $1200/year and my 7-yr old makes around $80-100/week selling items that they create and sell. The lessons they learn from 'selling' are invaluable.
in our modern world if a child realy wants to do it they will do it
I'm kind of confused
i want to get money i love to have money and how do you do it ????? i dont know how to do it
i am a kid and we need u 2 actually ssuggest ideas
im confused
I am a 12 year old guy in a small town and i like to do lawn work so i just want to start a buisness. I want someone to come and say...hey this is how u do it now do it and i will.
how do you start a candy business
I am a kid and I am looking to make some money... Any ideas on how I can make a profit?
you guys are coming to wrong web site
i wanna start a business but this article doesn't show me how, just all the good reasons to. :(
I am 14 and made almost 400 dollars with a business. I started fixing Xbox 360 controllers and modding them. A kid is definetly able to make a business. He just needs to see what all the kids in school want most.
I THINK IT`S NICE TO HAVE BUSINESS
=]
=]
=]
=]
=]
i want to start a shop called chloes cafe co. can you help
I did it i got $1,000.00 from this site!
I am a young teen and I have a business. Let me tell you, it's awesome. I make about $160-$180 dollars a week for creating functional pieces of art, and I am often asked to create a certain type of item for a usually amazing amount of money. If you're a kid and want to get into business, there's lots of options. If you're creative, make and sell art. If you're talented with wood or metal, make some useful stuff. And if you're not sure what you like, be a babysitter, lawn mower, or even just start a lemonade stand. I started out selling buttons that I colored with Sharpies on my street for 75 cents for a bag of colorful buttons. Some ways you can start are: Go around your neighborhood [if it's safe to do so], seek out families with young kids, and offer to babysit. Or, clean a little for the sick old lady down the street. You could even care for someone's pet while they are away. Also, what a lot of kids I know did, create a work of art out of recycled things, and get a booth at a market/fair and sell. I've found that people are suckers for art made by kids, especially if it's recycled or for a good cause [animal shelter, hospital, homeless people, etc]. And if you can't get any business in what I suggested, there's always yard work. I know a few kids who found their calling in that :)
Anyway, good luck in your business!
i belive as a kid myself that mark has the wrong view on this topic it seems he belives that by running a business kids would not be able to have a kidhood or be kids. but we could the money means we can go do stuff withought breaking our parents of money and that we can supply ourselves with what we want.
It's a very good website kids about the market. I'm 11 and I'm still thinking on what I should plan on doing.
i will make a library and today i did it and i will take alot alot of money
i sell art i am 12 and am a passionate artist and i also do poetry
THANK U FOR THIS SITE I REALLY WANTED A BUSINESS AT THIS AGE
hi my name is Ariyail banks and I am always thinking of how to do something big and how to become rich and/or famouse ,I really need some ideas. P.S.i'M 10
I get the ideas for buisness, but what about HOW to set them up. Our neiborhood isn't very safe, so I can't go to neighbours and clean or babysit. I'm still unsure on how to get started. I do love the idea of recycled art.
Well, Mark Knowles, I kind of beg to differ. It seems to me that most things people want now a days basically cost an arm and a leg to get. So, parent's want kids to help foot the bill. Well, the standard doing extra chores or mowing lawns just isn't cutting it now for the bigger expenses. So I kind of think that kids should start a business. It provides some good life lessons and can help tham create a better future for themselves.
I wanna start sellin sweets probably or somin like that but all this really sez is
'Oh it's such a good idea to start a business' and 'oh and and it teaches children skills and encourages them...' ARRRRGGGGHHHHHHHH!!!!!! we need IDEAS!
but does this come with sales tax and is it legal for a 10 year old?
i'm running a bookmark link chain business people wanted the whaler thing but i will let them chose what pieces they need in the bookmark business is booming
i really need to earn money fast. one reason is because i always buy my family stuff that will help them etc, also because i want to give loads of money to charity, i have been thinking about donating to hospitals and Japan (because of the earthquake). have you any suggestions on what i could do to earn money quickly? many thanks if you do x
hey i am 11 and want to raise money and have an after party for when i graduate this year any tips . i love drawing
hey what is this about
I WOULD JUST LIKE TO ASK WHAT IF YOU DONT KNOW WHAT YOU WANT JUST ASKING BECAUSE I WOULD LIKE TO MAKE NECKLACE TSHIRT BACKED GOOD AND TAKE PICTURES
hi im 13 years old, and i agree that this dosnt tell you much, i have started to sell sweets at my school, the teachers dont object, that is a good way to start upp a buisness, all you have to do is borrow some money/ if yoyu have it use it and buy lts of cheap sweeets then go inot school, and sell them for 10-30 p more, it seems that everyone wants to buy things your not allowed in schoool, like wham bars and refrechers, my top seller is coke tho...
amwazin
im 14 and me and my friend are starting a Jewelry business
and i was wondering if you had any tips
me and my friends did a lemonade stand and st patricks day and made a whopping 60 euro!!!!
i'm elevn and i'm living in sydney australia and i would like to start a business doing make-up for girls parties or events. i would work for 5 dollars an hour and even bring my own make-up. i am willing to do trials or interviews with the parents and bring refences, a portfolio and that kind of thing. does anybody think this is a good idea?
Me and my friend are starting our own clothing business for 0-12 year old girls. Is this a good idea?
I want to start a clothing business but i have no money, do you have any things that would help!!! :(
Kids deserve to make money at a young age i did it 30 odd years ago
thanks
I need suggestions not how to start it
i think those are really good ideas but you all suck eggs got it
hi am bashar shahrouri am 8 years old am in 2 grade
hey who are yhu to tell hym to suck eggs......how about yh suck miii eggs and da frount part to
Hey I just got a job with my twin brother it is good but the houses are poor most of the time so I don't get paid but I have got one so far It is a life lesson
Yes, I see the idea you try bringing up but to kid's researching, for their full potential, you must give an example of a successful business that has been started by a kid.
how can kid make lots of money easy
Hey tae good job for standing up to the stupid mnms guy :)
how much can a child's business make before they have to report it IRS? In other words, do kids have to report their earnings or and is a licience required to sale stuff
Mark Knowles 4 years ago
Not a fan of this idea. Kids grow up too fast as it is. Why not let them be kids?