3 Key Questions to Ask Yourself Before Beginning a Side Hustle
And 3 things to try if you’re not ready
It seems like almost everyone I know, and their dogs, has some kind of side hustle. When we get to talking and they dive into the details, most of them say their big goal is to quit their day job and work for themselves.
I’ve owned a few businesses, so I get it — working for yourself is an awesome thing. Anyone courageous enough to take the first steps toward a new venture should celebrate the journey.
The challenge comes when the dream doesn’t manifest in reality. Most of the people I’ve run into have yet to earn their first dollar. Others are seeing small amounts trickle in slowly, like the drip, drip, drip of a leaky faucet. What I’m learning in these conversations is most side-hustlers aren’t earning enough to quit their day jobs.
I wanted to know if this is the norm, so I dug into Google. My research uncovered some interesting numbers:
- Nearly half of Americans have a side hustle
- They dedicate an average of 13 hours a week to their businesses
- And earn an average of $483 a month (put that in perspective and it’s equal to making about $8.57 an hour in a typical 40-hour work week)
Another telling bit: Many people take on a side hustle because they’re struggling and are trying to do what they can to make ends meet. With the economy in the dumps and the cost of living rising faster than wages, it makes sense. An extra couple hundred dollars a month can make a huge difference when cash is tight.
The ever-increasing cost of living is enough material for an entirely different article. So, today, the focus is aspiring entrepreneurs who use their side-hustle as a path to quitting their day job. From that perspective, it’s easy to see the average side hustler doesn’t earn enough to make the jump to a full-time gig.
Time is a finite thing
If you want to quit your day job, the numbers state the obvious: You’re going to need a bigger boat. That means more time, more effort or more money to scale your business to a level that covers your day-to-day living expenses.
Time is a precious commodity and there’s only so much of it available.
- If you add 13 hours to a typical 40-hour week, you can plan to work 53 hours every week. That equals five 11-hour days or six 10.5-hour days total.
- If you dedicate 20 hours to your side hustle every week, on top of your day job you’re looking at a total of 60 hours a week. That’s an average of six 10-hour workdays every week.
Maybe you’re super motivated and you put in even more time. But if you get stretched too thin something’s got to give. The only way to make a side hustle plus a day job sustainable is to ruthlessly prioritize. That means you may have to give up some things while you build your business.
Are you ready for a side hustle?
Are you already stressed by your day job? Does the thought of adding another 10 to 20 hours of work to your week make you break out in a cold sweat? It may not be the right time for you to start that side hustle.
And if you already have a side hustle but find yourself buried under an ever-increasing pile of debt, your situation isn’t sustainable.
Deciding if a side hustle is right for you is something only you can answer. Try asking yourself these questions to get more clarity:
Why do you want a side hustle?
If it’s all about sweet, sweet cash, you’re going to have a hard time staying motivated. You need to keep yourself energized for the long haul. Most businesses take years, not months to finally bring in enough money to be self-sustaining.
You will perform better and feel less stressed if your side hustle is built on something you actually enjoy. Sometimes the love of what you’re doing is the only thing that will keep you going on days you feel like quitting.
Is your debt growing faster than your income?
The right skills and knowledge will help you start strong. And there are tons of experts willing to help you get what you need — for a price.
Tap into expert experience but be cautious. Some of the biggest winners in the side hustle space are so-called experts who sell courses, programs, and coaching to aspiring entrepreneurs. A good number of these come with a high price tag, and many provide information you can get for free if you’re willing to invest a little time doing research.
Beware of offers that entice you with a low-priced entry level course or free webinar. Most are legit, but others will suck you into their sales funnel with a progression of more (and more expensive) coaching and programs.
Be skeptical when an expert promises easy riches or if they push you with hard sell tactics. Trust your gut and if you feel uncomfortable, don’t go with that program or course. Keep looking until you find the right fit for you.
A lot of hard sell red flags pop up the moment you object to the cost of a course or program. Proceed with care if you encounter a coach or course provider who presses you to do any of the following:
- Put the course on your credit card (be ready to pay a good 20% or more in credit card interest on top of the program cost)
- Raise the price you charge to your customers so you can afford to pay for the course or program
- Commit to a payment plan (many plans are offered at a higher cost than what you pay up front)
I have friends who have fallen into the cycle of never-ending courses and programs. I’m also guilty of getting caught in the trap and spending thousands of dollars myself.
Getting sucked into someone’s funnel is a path that can drop you into suffocating debt in the blink of an eye. Debt is not your friend — it’s the fastest way to lose your business before you even get off the ground.
Another red flag: Side hustles that ask for a bunch of cash up front. If this happens to you, do your research and make sure you’re investing in a legit business. And don’t bite on promises of running an effortless six or seven figure business. There’s no such animal.
The bottom line: If you can’t afford to pay in full for a course or program, you’re better off finding a less expensive one.
Do you have time to start a business?
If you work 40 hours or more a week, you have to decide whether you have the extra time to run a business month after month, year in and year out. It’s even better if you have enough free time to run a business without getting over stressed or losing close personal relationships.
When you evaluate your free time, look for places you can swap out busy time for productive time. Things like getting up an hour earlier or cutting out weeknight television can help you find more time in the day.
Once you know you have the time, the next thing to decide is how much of that time you can consistently commit every week and can you do it for the next two or three years if need be. Being consistent and persistent are two critical traits you need to fuel entrepreneurial success.
If, after thinking about it, you decide you’re not quite ready to jump into full-on side hustle, that’s okay. There are other ways to reach your goals. Take a different road and do something that you can grow into a side hustle when the conditions are right.
3 Things to Try if You’re Not Ready for a Side Hustle:
Start with a hobby
If you have an extra hour or two a week, start with a hobby and discover something you enjoy doing. If you’ve always wanted to try something new, dive in and start small. Practice your hobby and get good at it. When the time is right, look for ways to expand and monetize your passion.
Focus on you
Invest in your personal development. Soft skills like discipline, resilience and self-awareness are core tools needed to run a successful business. Take the hour or two of free time you have each week to hone those skills.
Invest in your personal growth by reading motivational books and following blogs. Look for articles from thought leaders to spark new ideas and ways of working. A coach or therapist can also be an excellent partner, especially if you’re overwhelmed, stuck, or not sure where to begin.
Invest in your profession
Maybe you have an idea of what you’d like to do for a side hustle. Use that knowledge to begin building the specific skill set you need to launch and grow your business.
Invest in your professional development by following others in your industry. Take advantage of your 9-to-5 for free on-the-job training that allows you to build your skills for a year or two. Fill any knowledge gaps by using low-cost learning sites like Udemy or LinkedIn Learning. Read books and start building your network.
The more prepared you are when you launch your side hustle, the better the odds of growing into a successful full-time venture.
Final Thought:
Choosing to dedicate time and money to starting and growing a business is a deeply personal decision. It can impact your quality of life — for better or worse.
If you aren’t ready to start now, there are still steps you can take to prepare yourself. Begin by finding something you love doing, and invest in your personal and professional growth in the meantime.
The time you invest in refining your skills might be just what you need to make your dream of running your own business come true when the time is right.
Reference: Zippia: 19 Must-Know Side Hustle Statistics; https://www.zippia.com/advice/side-hustle-statistics/#:~:text=The%20average%20side%20hustle%20brings%20in%20%24483%20a%20month.&text=Overall%2C%20there%20are%20many%20factors,more%20than%20%241%2C500%20per%20month.
