How To Earn Extra Income Amidst Inflation RiseEntrepreneurial abilities would enable a salary earner to earn extra income, Funmi Fabunmi reports
In today’s rapidly changing world, many individuals aspire to be their own bosses and generate passive income streams alongside their regular jobs as employees elsewhere.
Industry experts who spoke to The PUNCH agree that building a successful company or side hustle requires dedication, strategic planning and a commitment to continuous learning. This article delves into the essential steps and considerations for starting a business or side hustle that can generate passive income while maintaining a full-time job.
Identify your passion and expertise
The first step in embarking on an entrepreneurial journey is to identify your passion and areas of expertise. Consider your hobbies, skills and the problems you are passionate about solving. By aligning your business idea with your interests, you will be more motivated to work on it during your free time.
Conduct market research
Once you have identified your area of interest, it is crucial to conduct thorough market research. Analyse the demand for your product or service, identify your target audience, and assess the competitive landscape. Understanding the market dynamics will help you tailor your offerings to meet customers’ needs effectively.
Craft a solid business plan
A well-crafted business plan serves as a roadmap for success. Outline your company’s mission, vision, target market, competitive advantage, marketing strategies and financial projections. A business plan will help you stay focused, attract investors if needed, and make informed decisions as your venture progresses.
Start small and validate your idea
Instead of diving headfirst into a full-scale business, consider starting small to validate your idea and minimise risk. Launch a pilot project or a minimum viable product to test the market response and gather valuable feedback. This approach allows you to make necessary adjustments before scaling up your operations.
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Utilise your existing network
Leverage your existing professional and personal networks to gain traction for your business. Inform friends, family, and colleagues about your venture and ask for their support. Word-of-mouth marketing can be a powerful tool in the early stages of your business, attracting initial customers and potential collaborators.
Embrace online platforms
In the digital age, online platforms provide numerous opportunities for entrepreneurs to establish and grow their businesses. Create a professional website, set up social media accounts, and explore e-commerce platforms to showcase your products or services. Building an online presence will expand your reach and enable you to connect with a broader customer base.
To achieve passive income while working for nine hours in five days, automation and delegation are essential. Seek opportunities to automate repetitive tasks, such as customer inquiries, order processing, or book keeping, using software tools and systems. Additionally, consider outsourcing certain activities to freelancers or virtual assistants, allowing you to focus on strategic aspects of your business.
Develop multiple income streams
To generate passive income, it is beneficial to diversify your revenue streams. Consider different avenues, such as affiliate marketing, creating digital products, or offering online courses. These additional income streams can continue to generate revenue even when you are not actively working on them, providing a steady stream of passive income.
Prioritise time management
Managing a business alongside a full-time job requires effective time management skills. Set clear goals, prioritise tasks, and create a schedule that allows you to dedicate focused time to both your job and your business. Optimise your work hours and use pockets of spare time efficiently to make progress on your entrepreneurial endeavors.
Continuously learn and adapt
The entrepreneurial journey is a constant learning experience. Stay updated with industry trends, attend relevant conferences or webinars, and invest in your personal and professional development. Adapt to market changes and customer feedback, and be willing to adjust your business strategies accordingly.
The Founder Finlit Africa, Chidinma Okoli, highlighted three major things to consider before generating a second income source. She outlined them to include:
What existing skills do you have and how you can best leverage that for money? Look inwards and identify skills you already have that are in demand and start to monetise those skills.
Think about your time availability as well. If your current job is very demanding on your time, it might be better to look for a more passive side hustle as opposed to a very active one that will demand your time.
Think about how this side hustle will contribute to your life’s goals or provide you with an edge over others.
She concluded by saying, “Establishing a company or side hustle while maintaining a nine-hour and five days job requires dedication, commitment, and a strategic approach. By identifying your passion, conducting market research, crafting a solid business plan, and leveraging your network, you can lay a strong foundation for your venture.
“Embracing online platforms, automating tasks, and developing multiple income streams are essential steps to generating passive income. Effective time management and continuous learning will help you navigate the challenges and adapt to a dynamic business landscape.
“Remember, building a successful business takes time and perseverance. It may involve sacrifices and late nights, but the rewards of financial independence and personal fulfillment make the journey worthwhile.
She notes that “with careful planning, a resilient mindset, and a commitment to your goals, you can successfully establish a company or side hustle that generates passive income alongside your 9-5 job.
“So, if you have a burning entrepreneurial spirit and a desire to create additional income streams, take the first step today. Start exploring your passion, conduct market research, and craft a solid business plan. With dedication and persistence, you can turn your vision into reality and enjoy the rewards of running a successful business while working your day job.”