Side hustles are great ways to make some extra income.
Perhaps you're a student or working a full-time job, but you're just looking to earn a little extra on the side.
You can start simply by checking out these 6 lucrative yet profitable side hustles that can net $1000+ per month extra.
Many people in these situations end up starting a side hustle and to their surprise, it ends up taking off faster and larger than they expected.
All of a sudden, that side hustle has now either replaced their income or even surpassed it.
They're now ready to make the official switch from 'side hustler' to 'business person.'
Working at Amazon a few months ago, I would work upwards of almost 60 hours per week some weeks.
However, I had a side hustle that I planned to turn into a business.
I was selling on eBay and making thousands of dollars in revenue per month.
Although I had to split this with my supplier 30/70, I was still making 30% of a rather large pie.
I was looking to turn my eBay side hustle into a tech platform for selling new/used tech products.
So how exactly do you turn a side hustle into a full-fledged business?
What are the main differences, and how can you make the transition as smooth as possible.
A side hustle is an extra job or gig that a person can take part in to earn extra money whilst also working their main job.
A business, on the other hand, is a "person's regular occupation, profession, or trade" according to Google. It's an organization that carries out commercial activities.
Whilst a side hustle can be a single person, a business usually has different levels of command from the founders and stakeholders, the C-suite team, and then the employees.
Although a business can be a one-man operation, it's usually referred to as a business, when there is more than one person working in or on it.
In this article, we're going to be discussing how you can turn your side hustle into a business.
Wrap it up
The first step to turning your side hustle into a business is simply wrapping up the side hustle and framing it as a business.
A side hustle, like I've explained above, is most likely something you're doing all on your own.
It may not have a name, a logo, or anything like that.
This is where you will want to learn about branding.
Learn to brand yourself.
Your business doesn't need a cool and quirky name, it can be your name.
But branding the name, colours, and messaging correctly is important and more attractive to customers and clients.
Let's say you're selling homemade cookies.
You'll want to have a name and logo that is friendly and heartwarming to your customers.
Light shade/pastel colours will work well because it fits the whole demeanor of a cookie shop.
Branding is something that can easily be learnt and adapted over time.
A word of warning: don't spend all your time on this step. You want to finish branding as quick as possible so you can move onto what truly moves the ball forward.
Have a vision and goal(s)
Next, it's time to start setting your goals and vision for the business.
You will want to first start by setting some long-term goals, a few years into the future at least.
What do you want to have achieved with your business?
What financial milestones will you want to have reached?
Do you want to have opened a physical store? 1, 2 or more?
Do you want to start franchising?
Think about your business and the goals you want to reach for your business.
With Hawk Prospecting, for example, my new software company that helps salespeople and agencies connect with their ideal prospects in minutes, my goal for the next 3 years is to reach £5 million in annual recurring revenue.
From here, you're going to need to set smaller goals. These can be yearly goals, quarterly goals, and monthly goals.
Every goal you set will feed into your grand vision and goals.
When you have the vision set out, what do you need to do in the next year to reach that goal?
What needs to be done in the next quarter to reach your goal?
What needs to be done in the next month, week, and even day?
You may want to check out my article on setting SMART goals - that will help you set goals that you can easily smash.
A vision will steer your actions the right way so it's important to take time and think about what you want to do.
Be realistic, but optimistic too.
I've quoted Bill Gates before for saying something along the lines of 'Most people overestimate what they can do in one year and underestimate what they can do in ten years.'
You most likely won't see the sort of growth you want in the first year.
But the second, third, and fourth years are where things can really pick up.
Implement systems and processes
Whilst working your side hustle, you may have been nonchalant about your processes.
If you were freelancing, you'd probably wait until someone needed your gig, deliver it and that's that.
If you were making cookies, you probably just made cookies like you were making them for your family.
With a business, you need strict systems and processes that will govern how the business operations are handled.
How do you keep up with demand?
How often do you go out and order more ingredients?
How do you nurture clients and customers?
How do you get repeat business?
There are so many things to consider when it comes to your system and processes.
Think about your own business and start to think about what you need to have in place in order to make your operations run as smoothly as possible.
Without these systems and processes, you won't be able to scale.
It's like trying to build a castle on the basis of a house.
It'll come crumbling down faster than you can say you want your old job back.
It will never work.
You can't expect to run your business the same way you ran your side hustle.
A business will be much more demanding and so the systems and processes will be there to help you manage the daily operations of the business.
Start hiring talent
This is one of the most important attributes for a business owner.
In one of my first article posts, I mentioned how this is a skill that every entrepreneur needs.
In fact, it can be the ONLY skill entrepreneurs need to be successful.
Being able to lead a team is crucial for business success.
When you start a business, you'll want to stop being the person who wears all the hats in the business.
With your side hustle, you may be the one doing the marketing, building the products, goods or delivering the services, managing tasks, and so on.
Within a business, you'll want to focus your time and energy on the systems and processes that govern the business.
From here, you can hire exceptional talent that helps you build the business.
You don't need to be the one doing everything.
You have to oversee everything and check off on what your team is going to do.
You're not there to control people, and this is where company culture is important.
Each company has its own culture and so you'll want to make sure that you build a culture that you'd be happy to work in.
Giving employees space to do what they do whilst abiding by the system and processes you've set out is a great starting point.
Do you want to be a remote team, or have an office?
This also adds to the leniency and culture of your work environment.
In business, you hire out your weaknesses.
This means that if you're not good at marketing, you'll hire a marketer or a CMO as soon as possible.
With Hawk, I'll be looking to hire sales proficient people as soon as possible.
Although I've owned a marketing agency before, I'd prefer to spend my time in the operations and systems seat where I can be more effective.
This means I may also hire a CMO to overlook the marketing aspect of the business too.
Every business will be different, so think about your strengths and weaknesses and then hire starting from there.
Starting building a strong culture early on as this is what will make good employees come through the door and stay.
In Amazon, the culture was terrible.
Employees are treated poorly and the conditions are extreme, with no room to breathe.
This is far from the culture you want in your business
In fact, unless you're building the next Amazon, you don't have to worry because your company culture will be far less automated than this.
Start spending to scale
I've always been risk-averse and scared to spend too much money and make nothing in return.
Unfortunately, in the world of business, there is no such thing as a reward without risk.
In fact, there is no such thing as a reward without risk anywhere.
In one of my previous articles, I spoke about how to take more risks and succeed in business.
It's highly likely that your side hustle didn't need much money to run.
Steady yet slow demand kept coming through and that was okay.
A business on the other hand is more like a money-hungry beast.
You must feed it to grow it.
Depending on your industry and goals, you may have to feed it more or less money to grow it.
On top of this, depending on your engine of growth, your business may not even need money to grow.
If you're one of the lucky bunch who can grow off of word of mouth, your marketing budget may be minimal.
Either way, it's important to have a budget allocated which helps you grow the business.
You'll want to spend money on resources, teammates, marketing, and so on.
Outsourcing is another big one.
In your side hustle, you may have found yourself repeating monotonous tasks such as bookkeeping, admin work, etc.
Outsourcing this to an assistant or a virtual assistant (VA) can be a very cost-effective way to free up your time.
Whilst owning my marketing agency, I had a VA help me with client acquisition.
It freed up so much time that I didn't know what to do with myself because everything that needed doing such as client acquisition was being handled by someone else.
Think about where you may need to spend money to scale your business.
Is it marketing, is it outsourcing, or is it operations even?
Start reinvesting your profits into the business so that you're not losing money, but using what the business generates to make more money.
After all, in business, money makes money.
There were the 5 steps to turning your side hustle into a full-fledged business.
Are you at a point where you want to try this?
If so, was this article helpful?
Let me know in the comments below.
Till next time,