By Christine Deutsch (Sarina Russo Entrepreneurs Business Coach)
The entrepreneurial spirit can start young and the internet has made entrepreneurship available to everyone. Starting a business at any age is a big step and young business owners still in their teens face the additional challenges of juggling school and social life while building their business and being taken seriously in their chosen industry.
What kind of businesses can a teenager start?
- Blogging, writing, live-streaming
- Create & sell products or monetise a hobby
- Offer tutoring and coaching
- Baby sitting or pet sitting or dog walking services
- General handyperson, yard work, car washing, odd jobs, errands
- Offering IT services to help others with technology, websites, social media
What are the legal & tax implications for business owners under 18 years of age?
The rules of business, laws and taxes are the same no matter your age. The steps include:
- Determine your business structure – seek advice as to the different structures.
- Get a tax file number – if you’re under 16 a parent/guardian will need to do this for you.
- Get an ABN (Australian Business Number) https://business.gov.au/registrations/register-for-an-australian-business-number-abn, which you’ll also need to get a domain name for your business. Shop around for domain name prices – they do vary.
- Work out what licences & registrations you need - https://ablis.business.gov.au/
- Keep your finances in order – this starts with creating a business & financial plan and understanding how tax and superannuation work. It continues with tracking your finances on a regular and ongoing basis https://moneysmart.gov.au/teaching/teaching-resources/be-moneysmart
and making sure you follow tax & business requirements including paying the required taxes and completing a tax return at the end of each year.
- Work within your limits – check your state rules about when you can work on your business e.g. did you know you cannot work during school hours or after 10pm at night, if you’re still going to school?
- Find support and build confidence – This will help you, as a young business owner, be taken seriously.
- Employ others to do the parts of the business you can’t do.
Examples of Australian successful young business owners.
- Jack Bloomfield 17 Jack started his first online business selling gift cards. Then at the age of 13, he designed a website that keeps all your medical data in one location. His biggest money earners are his five online stores. He buys in bulk and sells almost anything that will make a profit, from bowties made in China to iPhone cases from South Korea.
- Ali Kitinas At the age of 15, Ali developed a boutique skincare business that recycles used coffee grinds and turns them into facial and body scrubs.
- Morgan Hipworth 18 is passionate about food, especially desserts. He opened his first pop-up store selling 10,000 doughnuts in eight days. His store now supplies doughnuts to 20 cafes around Melbourne.
- Nathan Woodrow 17 started his own clothing label, Ryde Clothing. He sells online and in a few retail outlets, and always does a healthy trade at lunch and recess time.
- Ayden Bottos 14 forward-thinking digital expert is currently building websites.
- Bella Tipping was 12 when she started her business Kidcationz, a website considered to be a kids’ version of TripAdvisor. She has been recognised with Young Entrepreneur Awards, is a committed campaigner for social change and is completing her high school education.
No matter what age you start your business the principles of being in business are the same. If you can find a great idea, build a niche, develop your reputation and put together a solid business plan, you will have every chance for success. One way for young business owners over 18 years of age to be supported in setting up and running their new business is through the Sarina Russo NEIS program. The program assists new business owners with the business plan, setting up the business with all legal requirements in place, 12 months of mentoring with a business coach and completing a Certificate IV qualification. To find out more https://sarinarussoentrepreneurs.com/neis-program/
Not 100% sure you will be able to create a startup successfully?
We offer accredited small business training that can help turn your business idea into reality. Sarina Russo Entrepreneurs (SRE), in conjunction with The Self-Employment Assistance program (previously New Business Assistance with NEIS), enables Australians to set up and run their own small business. The Self-Employment Assistance is 100% Australian Government funded.
Sarina Russo Entrepreneurs (SRE) supports candidates as they complete BSB40320 Certificate IV in Entrepreneurship and New Business. During this, candidates create a comprehensive business plan and a two-year financial cash forecast. SRE Trainers provide meaningful mentoring for the first twelve months.
Eligible candidates receive the training and support to create a viable business plan, in addition to obtaining a Certificate IV in New Small Business.
For more information, please click here.
Sources:
https://www.moneycrashers.com/business-ideas-teenagers-kids/
https://business.gov.au/planning/new-businesses/start-a-business-as-a-young-person
