Advice for young person on self-employment

If he doesn’t want to go to university, it would be a good idea for him to study a business course at a local college and get some work experience under his belt. Being a successful self employed person is about so much more than just having a good idea - and if he doesn’t have an idea that’s not a good sign. Is he basically saying he wants to be his own boss and not take orders from someone? I’m afraid that successful self employed people aren’t their own bosses - they are wholly subject to the demands of clients and founders, they work all hours and have no paid holidays or sick leave. Without a good business plan and some experience he won’t get funding and few start-up businesses can survive without that. I think you need to have a serious talk with him because he’s not living in the real world. All the technical ability in the world won’t ensure success if you’re stuck for ideas about what to do, can’t get funding and have no way of paying for the basic necessities in life.

finders, not founders.

My GS - just a bit younger than this - is very influenced by YouTube videos by people (usually American) claiming to make a fortune with very little effort. For example by delivering leaflets!;When we discussed what this would really involve he lost interest. His next plan (also as seen on YouTube) was to up cycle old furniture - despite having none of the necessary skills or ideas of costs.

Argh! Funders!

Germanshepherdsmum

If he doesn’t want to go to university, it would be a good idea for him to study a business course at a local college and get some work experience under his belt. Being a successful self employed person is about so much more than just having a good idea - and if he doesn’t have an idea that’s not a good sign. Is he basically saying he wants to be his own boss and not take orders from someone? I’m afraid that successful self employed people aren’t their own bosses - they are wholly subject to the demands of clients and founders, they work all hours and have no paid holidays or sick leave. Without a good business plan and some experience he won’t get funding and few start-up businesses can survive without that. I think you need to have a serious talk with him because he’s not living in the real world. All the technical ability in the world won’t ensure success if you’re stuck for ideas about what to do, can’t get funding and have no way of paying for the basic necessities in life.

I agree with GSM, a business course is a great idea and hopefully this will spur him on with the ideas side of things.

Once he has an idea, there are numerous sites online about putting together a business plan including full costings and projections.

He’ll need to register with HMRC soon as he’s ready for the off and he really really needs to understand that he’ll probably not make a profit for at least three years and he’ll be working many hours a day and many days a week.

Once he has his “idea” he needs to understand what he might need in terms of premises (if any) and equipment.

Lots to think about.

Wishing him luck

Thank you, GSM - my thoughts exactly. I agree he does need a dose of realism. I did suggest training to become a store buyer. That way, he would learn how to source items.

Which A levels is he taking?

Maths, Economics and Business Studies.

Good subjects. So why doesn’t he want to go to university? A levels alone won’t equip him to be an entrepreneur.

University isn't the right path for everyone, but I do agree with what others have said that some kind of business course would equip him well to set up his own business. It's not all plain sailing though - my husband ran his own business for many years and it brings many headaches with it along the way. Working for yourself definitely has advantages - but there are also many disadvantages too. Is there a business gateway type of service available in your areas? They would help give him realistic advice and information.

GSM I think he is put off partly by the cost of university. Also he says he doesn't want to do any more studying as he is starting to find it tedious. It's hard to know how to advise him as he seems set on the self-employed path. As eddiecat78 said about her GS, I think he is influenced by what he reads online. However, he has been set on this path for about a year - I thought he might have deviated by now. Very tricky and I am not the parent (both of whom went to university and would like him to do so).

MisInterpreted - thank you. I had not heard of the business gateway but will do some research.

It’s so hard isn’t it! We have five between us. Eldest daughter did not go to Uni (she’s 40 in April), first son did go and did Law combined with Psychology, second daughter did Primary Education at Uni, third daughter did A levels and has a very good job in the Civil Service at 23, younger son, 21, is an absolute nightmare! He plays in a band, does casual work in a pub, bit of DJ work and is a vlogger and content writer, he’s always busy, makes very little money!

Skydancer

MisInterpreted - thank you. I had not heard of the business gateway but will do some research.

I don't know if they have them throughout the UK, but they did in our area. Perhaps contact your local council and they should be able to advise you if there is anything similar local to you.

I can understand being fed up with studying - I married at 19 to avoid university (offer from Cambridge) and ended up studying in my spare time whilst working full time and running a house to become a solicitor. Worked out well in the end but bloody hard graft. Bad choice but youth is wasted on the young. I can understand not wanting to take on a student loan, but is that a good reason to turn down university and a potentially lucrative career? My son studied those same subrects at A level, studied Accounting and Finance at the LSE and is now a partner in a big City law firm earning eye-watering money. Becoming self employed straight after A levels with no ideas or experience is very unrealistic. He needs to consider university again (it is not like being at school), or at least employment, which will perhaps offer a ‘sandwich course’ in order to get a degree level qualification. The A level subjects he’s taking are unlikely to lead to self employment but indicate his strengths.

The Princes Trust helps young business people
www.princes-trust.org.uk/how-we-can-help/support-starting-business

It’s possible to make a business out of pretty much anything. What’s key is having a passion for the subject.

A sales-based business could be anything from selling apples to zippers.

A service-based business could be anything from accountancy to zoology and wildlife conservation. or providing a middle-man service that sits between the producer and the customer.

It might be better for him to focus on what he is passionate about outside of study. A good exercise is to mind-map everything to do with that passion and see what opportunities might spring from that. People can make money from creating a website dedicated to a particular passion and finding sponsors for that. It’s essentially how Mumsnet started.

If he has a good head for numbers and is studying how economies and business works that will set him in good stead for the underlying functions of business; it will help with creating a business plan; working out where the market is and what the competition i, but these are skills that can be applied to anything.

We see how this does or, all-to-often, doesn’t work in the kinds of people who pitch up for Dragons’ Den. They arrive full of enthusiasm, with a good idea for a product or service but have poor skills in design, financial projection, how to scale up production and how to market.

It’s pretty easy to set up and run a website with e-commerce functions using drag and drop website builders such as Wix, SquareSpace, Ionos etc. An alternative is to buy in a professionally-built turnkey or bespoke system. Similarly, accounting can be done with any number of off-the-shelf systems, from Sage to smaller apps.

Unless he has a particular passion, my advice at this stage would be for him to find some part-time work, either paid or voluntary, in an area that interests him, to get a general feel for business and see where it leads.

The problem with a lot of would be entrepreneurs is that they envisage a business that is "new" or in sone way glamourous or exciting. They often think they have to reinvent the wheel.

The easiest way to get started is not to rack your brains to come up with some whizz kid idea or invention but to go the tried and tested route. Pbasically look at what's out there and do it better. Look at what's out there and do it better.

I have worked for several multi millionaires and they all took the same route, starting out with a tried and tested business but outing their own twist on it.

They all started out working for someone else, not one went straight into starting their own business. They all "paid their dues"

Yes there are teenage tech wizards who have made fortunes by the time they are 16 but they are outliers and probably as rare as hens teeth.

The mere fact that he hasn't any ideas is a warning sign that he's not nearly ready to strike out in his own. At this stage it's no more than wishful thinking.

Dreams without a plan are just dreams.

To be fair, there are a lot of new-style businesses that younger people are making money from.

We are living in the age of the influencer from Micro (10,000- 50,000 followers) to Mega (1 million +) followers. Many are just endorsing other people’s products and being paid per social media post. It can make someone a lot of money in a short time but isn’t really sustainable in the longer term. Fashion and fame can be fleeting if there is no underlying talent.

Some of the Micro to Mid-Term influencers develop businesses as an offshoot of social media fame. There are a handful of craftspeople I like to watch on You Tube who have grown successful retail businesses after forging relationships with the companies whose products they used as a hobby: e.g. fabrics and sewing notions, artists paints and brushes. Some have developed or put their name to a line of products and/or have written books about their passion.

The internet and social media are powerful tools.

Tim Holtz is someone who has built a very succesful business selling paper-crafting and art products. He started out working in a craft retail store, became a buyer, went to a large craft fair, saw what was on offer, started to design his own products and it all took off from there. So what DerbyshireLass said. He put his own design spin on something that already existed.

I have worked for several multi millionaires and they all took the same route, starting out with a tried and tested business but outing their own twist on it. ... They all started out working for someone else, not one went straight into starting their own business. They all "paid their dues

This would be my advice as well. I started to learn about selling at 14 when I got a part time job in a chip shop and learned how to up-sell. I also did a lot of sales and canvassing as side hustles when I was younger, before I began stalling out at antique fairs.

Ive always had a passion for antiques but I have very specialised knowledge in some areas (costume/accessories/jewellery) and zoned in on a particular area of the trade. I also wrote a book and many articles in that area,

Working for someone else would give him a grounding on the mechanics of how to run a business and a sense of how the whole thing hangs together.

I get the impression that (like a lot of young people) he has some very unrealistic ideas about self employment and lacks discipline. He does not like study but research is a very important part of setting up a business. Sourcing products and services and how to reach new markets.

Meant to say......more than one of the multimillionaires I worked for were severely dyslexic, leaving school at 15 without a single qualification to their name. But what they did have was energy and discipline. In the early years they worked like dogs.

Very often entrepreneurs do have a natural selling ability, they are born sales people with winning personalities and good good people skills.

Also a good grounding in basic admin and accounting won't do any harm. Of course eventually, if they become successful then that side of the business will be delegated but by having that grounding they are less likely to be swindled or have the wool pulled over their eyes.

Self employment has many perks and advantages, not just the money. But it also has its lesser attractive features. It's not for the feint hearted or lightly motivated.

Germanshepherdsmum

Good subjects. So why doesn’t he want to go to university? A levels alone won’t equip him to be an entrepreneur.

University is not always a route to becoming an entrepreneur. So many young people are rejecting the idea of university now or are finding placements with firms where they can get day release and gain a degree that way.

A person either has what it takes or not; those A levels are a good start but drive and ambition are necessary too.

The Prince's Trust has helped many young people to set up successful businesses.
www.princes-trust.org.uk/how-we-can-help/support-starting-business

OldFrill

The Princes Trust helps young business people
www.princes-trust.org.uk/how-we-can-help/support-starting-business

Oh sorry, I see you posted that already OldFrill

Well worth repeating though.

The mere fact that he hasn't any ideas is a warning sign that he's not nearly ready to strike out in his own. At this stage it's no more than wishful thinking.

Dreams without a plan are just dreams.

Yes, the drive and ambition have to be there and ideas which enthuse him.