In today’s economy, you can’t rely on a single income source – whether it’s from a job or a business. The key to gaining financial stability and building wealth is to set up a good side hustle. Instead of asking yourself, “should I start a side hustle”, you should take action now!
When it comes to building a side hustle, you need not have a fortune to set it up. Choose a product or skill you want to sell. It can be something you’re good at. Or you can buy a household item in bulk and resell it for profit. Through eBay, Craigslist, or social media platforms, you can advertise your products and build a customer base.
Currently, 44% of Americans have a side hustle. Even if the profit is merely $100/month with a few hours of work per day, it can add up. While 70% of people begin a side hustle to pay off their debts, you can use it to create multiple income streams and improve your financial situation.
Your busy routine may stop you from starting your journey with a new side hustle. But knowing when to start a side hustle can help you make the right choice at the right time.
This insightful infographic by Digital Information World can prove quite helpful in learning about the right time and approach to set up a side hustle.
When to Start a Side Hustle?
There may be various reasons why you think of starting a side hustle. Regardless, it would be a good idea to start one in the following situations:
Dissatisfied with Current Income
Not everyone thinks about investing in real estate or stocks. Even if you have thought about it, you may have hesitated due to a lack of knowledge or funds.
Do you rely on a single income source? Do you struggle to make ends meet with your salary or income? Then it can be a good idea to look into side hustle business ideas to increase your income.
Career Goals
Every professional sets up career goals they want to achieve in the next 5-10 years. If you don’t have any, you should come up with some SMART goals.
It’s possible your career growth isn’t to your expectations. Or you may already have achieved most of your goals and are now seeking a new challenging role. By launching a side hustle business, you can achieve the career growth that you desire.
Gain Financial Security
Side hustles secure your income by providing you multiple sources of income. So, even if your primary income is affected, you’ll have income from other streams to rely on.
That’s definitely a relief!
This practice also increases your income. So, if you have student debt or other loans to pay off, you can do it faster with your side business. Further, it offers you financial security during tough financial situations and relieves the stress of having enough to provide for your family.
Work for Your True Passion
Only 20% of people have jobs that match their passion. While you may be satisfied with your income and career growth, the field you’re working in may not be something you love.
So, how about doing something that you actually love?
There’s nothing like working for your own dreams and passion. It brings you unimaginable satisfaction and pride. So, look into your passions and start a side hustle to make those dreams come true.
Time Availability
Building a side business, regardless of what it is, requires quite a lot of time. After all, you need to manage most of the operations on your own such as marketing, sourcing or manufacturing products, offering customer support, and much more. Therefore, the right time to start a side hustle is when you have enough time to dedicate.
You may have a few hours free after your regular job. You can give this time to your side hustle. But make sure you don’t overwork yourself. Otherwise, you’ll end up ruining your health as well as hurting your relationships.
Possess Marketable Skills
You may have acquired some useful skills due to your interest. For instance, you may have learned programming and building mobile apps. Or it can be landscape or event photography. These skills are highly marketable. So, you can build your side hustle to increase income while working on something you’re already good at.
Want to Acquire New Skills
Learning new skills brings you a sense of joy and achievement. When interested in acquiring a new skill, you should plan to build a side hustle.
It can bring you unmatched opportunities to learn some useful skills that can benefit you in the corporate world. And this will broaden your skillset.
Also, if you’re seeking a career change, it can be a good idea to develop the required skillset by working on your side gig. You can learn from your mentor and network as well as from your own mistakes. Then you can apply for a new job or transform your side hustle into a full-time business.
How to Choose a Suitable Side Hustle Idea?
Did you find the answer to when should I start a side hustle? Then let’s jump forward to the process of choosing a suitable side hustle idea.
Focus on Your Why
Think about the reasons why you want to start a side hustle in the first place. Is it for increasing your income and achieving financial freedom? Do you want to learn futuristic skills and build a professional career? Or you may have some other motivation to launch your side business.
So, focus on business ideas that align with your goals.
Then during the journey, remember the reason why you decided to go with this particular business idea. It’ll keep you motivated!
Go for Your Strengths
What are your professional strengths? Do you have some in-demand skills that can come in handy? You should consider side hustle ideas that align with your skills and strengths.
Since you’re already good at it, you’ll find it easier to establish the business and grow it.
Plan Your Schedule
You need to plan out how much time you can dedicate to your side hustle. It may be a few hours per day or more hours per week. So, plan your schedule and then move on to choosing a side hustle idea.
If you have more time available to build your business, then you can go for ideas that require more effort to build but can offer better returns. On the other hand, you should commit to ideas that don’t require extensive effort if you are too busy.
Consult Your Network
It’s certainly a good idea to consult your network to choose the right business idea.
By network, I don’t mean you should ask random people who know nothing about the industry or about building a side hustle. Rather, reach out to experienced professionals who are knowledgeable and can guide you well.
I’d recommend you to do your research and prepare a list of ideas that can work for you. Then discuss the prospects with trusted people and your mentor to shortlist a suitable idea from those options.
Know Your Budget
And lastly, the most important factor is your budget. Yeah, you can’t ignore it!
The required initial investment varies based on the side hustle you choose. So, be realistic and determine how much you can afford to invest. Don’t ignore the risk factor either. Then you should create goals regarding business growth and revenue for upcoming months.