Many people have made huge successes out of their desire to turn a hobby into a career, such as Nicole Snow who started Darn Good Yarn, and Christine Watanabe turned her passion for tennis into a business.
What though is the difference between making a bit of money on the side and going full force into business with your hobby?
Will you enjoy it just as much when you’re working to pay the bills?
Running a business as a hobby is great, you can pick and choose which friends birthday cakes you do or which relatives flowers you tie, but when you do your hobby for a living, you can’t be so choosy. You will need to love what you do enough to do it whenever and for whoever, so you can pay your bills and make some money
Do you understand business?
You don’t need a degree or qualification, but are you confident in the basics? It can be a scary thought if you don’t understand the absolute basics of finances, book keeping, employment law etc. If you aren’t fully up to speed on the basics, don’t worry; there are lots of places to get good free advice, but don’t leave it until you’ve bought the business to take those first steps into the unknown!
Can you afford to buy a business?
Remember, buying a business is only the starting point. You’ll have stock and fees to pay on top of the asking price in most cases, so please don’t forget that. Also, make sure you have enough spare cash to fund your initial cash flow when you eventually do take the keys to your new shop. The last thing you want to do is run out of money!