It’s official—Americans aren’t going back to work.
Even though there were 10 million job openings in June of 2021.¹
If you’ve been out and about, you’ve seen firsthand that jobs aren’t getting filled.
You may have noticed the signs at your local grocery store. Or the longer wait at your favorite restaurant. Or slower service from businesses you depend on.
They all stem from the same source. Americans aren’t rushing back to work.
But why? The COVID-19 pandemic caused mass unemployment and havoc for millions of American families. Wouldn’t they want to start earning money again, ASAP?
It’s not the unemployment benefits holding them back. Those dried up months ago, and the numbers still haven’t budged.
And again, it’s not that there aren’t jobs. There are millions of opportunities out there!
Here’s an idea—many people have woken up to the fact that most jobs suck.
Most jobs leave you completely at the mercy of your boss. If they mismanage the business, your job’s in danger. If you want a bigger bonus, your job’s in danger. If another pandemic breaks out, your job’s in danger.
They give you no control over your hours, your income, your location, or your future.
Who would want to go back to that?
Instead, Americans are looking for a better opportunity. They want control of their future, their wealth, and their hours. They want to replace the insecurity of a 9 to 5 with more reliable sources of income.
If they see an opportunity that checks those boxes, they’ll be willing to re-enter the workforce.
Americans are looking for a better path. The million dollar question is, who will provide it for them?
What ideas do you have for work, be it a side-hustle or a small biz, that check all of those boxes? Comment below.
Does anything sound better than being your own boss?
Well, maybe a brand new sports car or free ice cream for life. But even a state-of-the-art fully-decked-out sports car will eventually need routine maintenance, and the taste of mint chocolate chip can get old after a while.
The same kinds of things can happen when you start your own business. There are many details to consider and seemingly endless tasks to keep organized after the initial excitement of being your own boss and keeping your own hours has faded. Circumstances are bound to arise that no one ever prepared you for!
Although this list is not exhaustive, here are 5 things to get you started when creating a business of your own:
1. Startup cost
The startup cost of your business depends heavily on the type of business you want to have. To estimate the startup cost, make a list of anything and everything you’ll need to finance in the first 6 months. Then take each expense and ask:
Is this cost fixed or variable?
Essential or optional?
One-time or recurring?
Once you’ve determined the frequency and necessity of each cost for the first 6 months, add it all together. Then you’ll have a ballpark idea of what your startup costs might be.
(Hint: Don’t forget to add a line item for those unplanned, miscellaneous expenses!)
“Find a need, and fill it” is general advice for starting a successful business. But if the need is apparent, how many other businesses will be going after the same space to fill? And how do you create a business that can compete? After all, keeping your doors open and your business frequented is priority #1.
The simplest and most effective solution? Be great at what you do. Take the time to learn your business and the need you’re trying to fill – inside and out. Take a step back and think like a customer. Try to imagine how your competitors are failing at meeting customers’ needs. What can you do to solve those issues? Overcoming these hurdles can’t guarantee that your doors will stay open, but your knowledge, talent, and work ethic can set you apart from competitors from the start. This is what builds life-long relationships with customers – the kind of customers that will follow you wherever your business goes.
(Hint: The cost of your product or service should not be the main differentiator from your competition.)
3. Customer acquisition
The key to acquiring customers goes back to the need you’re trying to fill by running your business. If the demand for your product is high, customer acquisition may be easier. And there are always methods to bring in more. First and foremost, be aware of your brand and what your business offers. This will make identifying your target audience more accurate. Then market to them with a varied strategy on multiple fronts: content, email, and social media; search engine optimization; effective copywriting; and the use of analytics.
(Hint: The amount of money you spend on marketing – e.g., Google & Facebook ads – is not as important as who you are targeting.)
4. Building product inventory
This step points directly back to your startup cost. At the beginning, do as much research as you can, then stock your literal (or virtual) shelves with a bit of everything feasible you think your target audience may want or need. Track which products (or services) customers are gravitating towards – what items in your inventory disappear the most quickly? What services in your repertoire are the most requested? After a few weeks or months you’ll have real data to analyse. Then always keep the bestsellers on hand, followed closely by seasonal offerings. And don’t forget to consider making a couple of out-of-the-ordinary offerings available, just in case. Don’t underestimate the power of trying new things from time to time; you never know what could turn into a success!
(Hint: Try to let go of what your favorite items or services might be, if customers are not biting.)
5. Compliance with legal standards
Depending on what type of business you’re in, there may be standards and regulations that you must adhere to. For example, hiring employees falls under the jurisdiction of the Department of Labor and Federal Employment Laws. There are also State Labor Laws to consider.
(Hint: Be absolutely sure to do your research on the legal matters that can arise when beginning your own business. Not many judges are very accepting of “But, Your Honor, I didn’t know that was illegal!”)
Starting your own business is not an impossible task, especially when you’re prepared. Get a jumpstart on your preparation at our free class tomorrow, Sunday, August 22nd at 4 PM EST (UTC -5). Save your seat!
*Registration is required. Your information will not be sold or shared. You will only receive invitations to future iterations of this and our other Entrepreneurship classes.
This past weekend was a busy one with Valentine’s Day and President’s Day happening back to back. But did you realize there was another day this past weekend? Saturday kicked off the start of National Entrepreneurship week.
Having taught aspiring entrepreneurs for some years now, National Entrepreneurship Week is not new to us. But we realize a lot of folks probably didn’t know there was an entire week where organizations across the country held events to support and celebrate entrepreneurs in their communities and provide resources to help emerging entrepreneurs.
So how will you show your support? Will you make a special effort to shop with entrepreneurs in your local community or simply show them love on social media by liking and sharing their posts? Whatever you decide to do, remember that now more than ever they are a key part of the economy. Last year caused a dynamic shift in the way many businesses operated resulting in losses for many and gains for some. However supporting local entrepreneurs helps them and helps your community in that as they expand they are able to create jobs for others.
So what are we at ECV Talks doing to support National Entrepreneurship Week? We’re hosting a FULLY LIVE & FREE Entrepreneurship class this Saturday, February 20th at 6 PM EST. Why is it special that it’s fully live? Well we started this Entrepreneurship week with a video replay of our first virtual version of this Entrepreneurship master class so that Ms. ME herself could be in the chat answering questions. But this coming Saturday we’re dropping the reformatted master class with the latest tips you need to save your side-hustle or escape to entrepreneurship.
So Reserve Your Spot TODAY! This is the last time this class will be offered for a few months as we begin our next small group session of our Escape to Entrepreneurism 6 week course. Want more info about the course? Come to the free class and ask questions. We’ll see you there!
What if there were a way to increase your cash flow without starting a second job, changing careers, or getting a raise?
If you’re like many, that sounds exactly like what you and your family need! Who wouldn’t want some extra money coming in? It might seem like pie in the sky, but it’s not a fantasy.
Earning a passive income is more achievable than you might realize. Read on to discover how passive incomes work, what makes them so advantageous, and common ways to create them.
In general, a passive income is cash flow that requires little to no regular effort to create and maintain.
That’s not to say that they don’t require work. But the labor involved in opening a passive income stream is normally upfront—you spend time and/or money in the beginning to set up the income stream, then sit back and reap the rewards as time goes on.
It’s an advantageous model because it can potentially free up your time—which is the most valuable resource you have.
But be warned—not all opportunities to create passive income are created equal. Here are a few proven strategies for you to consider!
Create digital products. EBooks, online courses, stock photos, and stock music are all passive income generators. They require initial time investments to create and publish, but then earn you money as users buy them over time.
Rent out property. Renting is a classic source of passive income. It requires money upfront to buy the property—and maybe time and more money for renovations. But once rent starts coming in, they’re income sources that don’t require your daily attention. (Note: Becoming a landlord may have other costs involved, like repairs or replacing old equipment or appliances.)
Build a team of sales professionals. This is the hidden gem of passive income. There’s a starting commitment of time to learn about your market and how to close sales. Then you’ll need to create a team of salespeople. Every time they make a sale, you earn a portion of the profit. Once you’ve mastered the basics, the sky’s the limit for how much passive income you can potentially earn!
If having a passive income stirs your interest, let us know. Register for our FREE class this Saturday, February 13th at 2:30 PM EST to get ideas for your passive income opportunity and what things need to be part of your plan. Afterwards if you’re interested you can get a FREE review of your financial position, skills, and the opportunities available and see which one might work best for you!
Really we’re offering both of these items for free, no catch. Of course we’d love it if you find out that our first course offering is a great fit for you, but even if it isn’t you’ll still be eligible to get the free review. So go ahead and register and tell a friend or three!
“Opportunity cost” refers to what you can potentially lose by choosing one option over another – even when you aren’t thinking about it.
Nearly every choice you make precludes something else that might have been.
Opportunity cost exists in everything from relationships to finances to career choices, but here we’ll focus on that last one. Over a lifetime, the cost of career decisions can be massive.
For opportunity costs that can be measured, usually in dollars, there’s even a math equation. (FYI, Ms. ME spent a few years as a Mathematics instructor.)
What I sacrifice / What I gain = Opportunity cost[i]
Let’s say you have two career choices. One is to work as a mechanic at $50 per hour and the other is to work as a karate instructor at $20 per hour.
Opportunity A / Opportunity B = Opportunity cost
Here it is with numbers: $50 / $20 = $2.50
To translate that, for every $1 you earn as a karate instructor, you could have earned $2.50 as a mechanic. The ratio remains the same whether it’s for one hour worked or 1,000 hours worked because it’s based on earnings per hour.
Adding a time element
We can only work a certain number of hours in a week and we can only work for a certain number of years in a lifetime. Adding time into the discussion doesn’t change the math relationship between the opportunities but it does recognize real-world constraints. Sometimes these limits are by choice. You could be both a full-time mechanic and a full-time karate instructor, but most people don’t want to work 80 hours per week. Something has to give, and that’s where considering opportunity cost comes in.
If you only want to work 40 hours in a week, you’ll have to choose one career over the other or split your time between the two. But even in splitting your time, there is an opportunity cost. Think about it like this: Every hour spent in a lower paying job costs money if you had an opportunity to earn more doing something else.
The bigger picture
In our example using the mechanic vs. the karate instructor, the difference in annual income is over $60,000 per year ($104,000 minus $41,600). Over a 40-year working career, the difference in earnings is nearly $2.5 million, and it all happened one hour at a time.
Your career choice shouldn’t just be about money – you should do something you enjoy and that gives you satisfaction. There may be several other considerations as well – like opportunity to travel, the kind of people you work with, and the greater contribution you can make to the world. However, if there are two choices that meet all your criteria but one pays a bit more, just do the math!
Strange as it may sound thanks to Covid-19 and everything else that happened in 2020 many people are doing the math and reevaluating what they want to do with their lives. For some, reconnecting with a long lost passion as a side gig or even a full leap into entrepreneurship is the direction that they are considering to achieve their desired level of wellness. If you’re in this category, tell us in the comments below. 🔻