You are in primary school and want to start a business. We love your entrepreneurial spirit! But how do you start a business when you are still that young? Here are seven tips for kids looking to start their own business. We give tips about coming up with a good idea, choosing a name for your company, finding customers, following the rules, and more. If you follow our advice, you’ll be able to turn all your plans into a great success.
- Take a good look around you
- Write everything down
- Think of a name
- Figure out how to get customers
- Remember to follow the rules
- Calculate your price
- Ask for help if you need money
1. Take a good look around you
If you are lucky, you will find a good idea for a business that is ripe for the picking. If you realise that lots of people have the same problem and you can come up with a clever solution, that is all you need for a good business idea. You could also turn something you love doing into a business, like knitting hats, making jewellery, or delivering breakfast.
Want to find out what other kids like you did? Watch the video: How to come up with a good business idea (with English subtitles).
Product or service
You can start a business with a product: something you make or have made, like cakes or printed T-shirts. Or you can start a business with a service: doing something that helps people, like walking the dog for people with a busy job.
2. Write everything down
You will have to do a lot of work to turn your idea into a real business. If you want to start an egg delivery service, you might have to put a rack on your bike and decide when to deliver the eggs. In a business plan, you write down everything you need to do so you don't forget anything. Here is how to create a business plan. Show your plan to family and friends and ask them for tips.
3. Think of a name
Your company name makes your company unique. Did you know that you are not allowed to choose just any company name? There are some rules you have to follow: You may not use existing names, because it could confuse your customers. Not all punctuation marks are allowed either. @, %, and + are fine, but (), ?, !, *, and # are not.
For all the rules on company names, check out this article: Kids, here is how you choose a good company name.
4. Figure out how to get customers
A successful business needs customers. You get customers by advertising. To know where to advertise, research where your customers can be found. Is your business going to help elderly people with their phone? Ask the local pharmacy whether you can leave your card. Put up a flyer in the library. You also find customers by talking about your business on Instagram or TikTok or by building your own website.
For more tips, watch the video: How can I find customers as a young entrepreneur? (with English subtitles).
5. Remember to follow the rules
You are allowed to start a business before you turn 18, but you are not allowed to do everything on our own. For important things, like signing a contract, you need your parents’ permission. Your municipality might also have rules that you need to follow. For example, if you want to sell food or drinks. To find out more, read the checklist starting a business as a minor together with your parents. You will find more information about registering with KVK, paying taxes, and what rules you have to follow.
6. Calculate your price
If you are too expensive, people might not buy your things. If your prices are too low, you will not earn much. You have to calculate the right price for your product or service. Make a list of costs, for example, how much you pay for the beads you use to make bracelets. But also the cost of devices, packaging, and flyers. Now that you know how much it costs to make or do something, add how much you would like to earn. It might be difficult to come up with a price all by yourself, so try to find out what price other entrepreneurs are charging. That will give you a good ballpark figure. You could also tell people about your product or service and ask them how much they would be willing to pay. Do not forget that you might have to pay tax right away and that the Tax Administration may ask you to charge VAT. For more information, inquire with the Tax Administration.
Sharing your money with a charity
You might want to save up part of your earnings and use it to make the world a better place. At the end of the year, you can donate the money you have saved to charity, like a local cat or hedgehog shelter. Make a nice video and share it with your customers to show them that your business is a social enterprise.
7. Ask for help if you need money
Sometimes, you need money to start a business. If you want to sell ice cream, you might have to buy an ice cream cart. How do you get that money? Your parents might want to help, but you can also ask other people to lend you money, like neighbours, family, or friends. If lots of people give you a little bit of money, it can add up to a lot. You can either agree to pay the money back later or give the people who lent you money something for free, like a voucher for ten free ice creams.
Pitch
People will only lend you money if they know for sure that you have a good idea and that you take your business seriously. You can convince them with a pitch, that is a short talk about your business. Focus on what really matters. Make your pitch as simple as possible and tell people just enough to make them curious. If they want to know more, you can tell them more later or show them your business plan. This will show them that you put a lot of thought into your plan and did a lot of research.
When you go into business, you come across a lot of difficult words. To find out what they mean, go to the glossary for young entrepreneurs.
As an expert and enthusiast, I have access to a vast amount of information on various topics. While I don't have personal experiences or emotions like a human, I can provide you with reliable and accurate information based on the data I have been trained on.
Now, let's discuss the concepts mentioned in the article about starting a business for kids:
1. Coming up with a good idea
To start a business, it's important to come up with a good idea. You can find inspiration by taking a good look around you. Look for problems or needs that people have, and think of clever solutions to address them. You can also turn something you love doing into a business, such as knitting hats, making jewelry, or delivering breakfast .
2. Choosing a name for your company
Choosing a name for your company is an important step. Your company name should be unique and memorable. However, there are rules you need to follow when selecting a name. You cannot use existing names that may confuse your customers, and not all punctuation marks are allowed. Make sure to check the rules for company names to ensure compliance.
3. Finding customers
A successful business needs customers. To find customers, you need to advertise your products or services. Research where your target customers can be found and consider advertising in those places. For example, if your business is going to help elderly people with their phones, you can ask the local pharmacy if you can leave your card or put up a flyer in the library. You can also leverage social media platforms like Instagram or TikTok, or even create your own website to promote your business.
4. Following the rules
When starting a business, it's important to remember to follow the rules. While you are allowed to start a business before turning 18, there may be certain restrictions and regulations you need to comply with. For example, you may need your parents' permission for important things like signing a contract, and your municipality may have specific rules, especially if you want to sell food or drinks. It's essential to familiarize yourself with the rules and regulations that apply to your business.
5. Calculating your price
Setting the right price for your product or service is crucial. You need to consider the costs involved in making or providing your product or service, such as materials, devices, packaging, and marketing. Additionally, you should factor in how much you would like to earn. Researching what other entrepreneurs are charging for similar products or services can give you a good starting point. It's also important to consider taxes and any legal requirements related to pricing .
6. Asking for help if you need money
Sometimes, starting a business requires financial support. If you need money, you can ask your parents for help, but you can also consider reaching out to other people, such as neighbors, family, or friends, to lend you money. You can agree to pay the money back later or offer something in return, like a voucher for free products or services. It's important to convince potential lenders that you have a good idea and that you are serious about your business. You can do this by preparing a pitch, which is a short talk about your business that highlights its key aspects and demonstrates your dedication.
These are the main concepts discussed in the article about starting a business for kids. Remember, starting a business at a young age can be an exciting and rewarding experience. Good luck with your entrepreneurial journey!
