1 in 5 people in the UK now make additional income through a ‘side hustle’. If you’ve been living under a rock and have no idea what a side hustle is, a side hustle is essentially a way of making extra money on the side, usually through a small business or some other way of selling something to boost your monthly take-home. Importantly, a side hustle isn’t really a second job – and neither should it be (we go into why later), its more of a side business that you’re running along side your day job to supplement your income.
As always, the following is not financial advice, read our disclaimer
Today cheapskates, we take a look at why this could be a great way to build wealth in the long run, how we’ve used side hustles and what we think are the best opportunities to get into today!
Less side, more mainstream hustle
With so many people out of work during the global pandemic, record numbers of people have taken the initiative to start something of their own to earn some extra money to make ends meet. You’ve probably noticed yourself that there’s likely been an influx of people advertising their services locally on your social media.
We’ve been talking about the benefits of starting a side hustle for years but not for making ends meet like the majority of people these days. Even if you’re not out of work, we think starting a side hustle can be a great way to earn extra cash for your investments, put yourself on the right financial path, and perhaps turn it into something that could one day replace your day job and help you retire!
“I have not failed. I’ve just found 10,000 ways that won’t work.”– Thomas Edison
Reasons a side hustle is powerful:
Done correctly, a side hustle can take little or no money to start, which is the case for all oft he examples we’ve listed below. The benefit of this is – there’s no risk and when you start making money, there’s nothing to recoup so you’re making money from day one
The second reason is that if done correctly, a side hustle could one day turn into your main source of income. When we talk about starting a side hustle, we’re actually talking about starting a business (don’t worry, it’s not as scary as it sounds) that has the potential to scale up into something that can provide some serious cash. If you have the drive and the right idea, there’s no limit to what you can achieve.
The third reason to start a side hustle is that your job isn’t as secure as you think. Most people who are working a regular job have a boss, which means the fate of their employment sits in someone else’s hands. That employment can be taken away easily and for innumerable reasons. Think of a side hustle as insurance for if something happens to your day job, you have something cooking in the background that you could jump into should the worst happen.
The last reason you should start a side hustle, is that you have nothing else better to do with your time. ‘What?’ I hear you say. ‘I’m extremely busy already!’. Most people think they’re busy but in fact, the majority of us have plenty of time every day to dedicate at least an hour to starting a side business. I’ll be frank here, you’re likely spending more time than you think on social media, watching television, sleeping and generally procrastinating – the majority of us do. Don’t get us wrong, finding time can be difficult, especially if you have a family that relies on you. But aside from family, is there anything else more important than spending time to secure your future? Spend some time looking at your daily routine and work out where you can save time. Then dedicate an hour, maybe 3 times weekly to start and dedicate them to starting your side business. You’ll be surprised how much you can accomplish by staying consistent and just DOING the work. Final note – you really only need 6 hours sleep max, get used to it!
Our favourite side hustles right now
OK, so without further ado, let’s get into the top 4 side hustles we like right now. Some of them, we already have or are doing. There’s nothing crazy here and you’ll likely have heard of most, but there’s a reason these are some of the best ways to earn money on the side.
OK so, Etsy is having a moment right now. In April of 2020, sales increased more than 75% on the site with more people shopping online and more importantly, more people starting to sell their creations online to help make ends meet. So there’s never been a better time to start selling on Etsy! If you already create something or have an idea, why not get started today.
There’s a few good reasons Etsy is a great place to start. People expect hand made on Etsy, so the barrier to entry and the overheads can be lower than if you were buying and selling something (note though that customers on Etsy are still expecting high quality, crafted items). Also, because the items are more handcrafted in nature, there’s more opportunity to be unique and stand out.
Here’s our top tips for selling on Etsy:
Come up with a USP. There’s a lot of competition on Etsy so try and ensure your item had a unique feature, design or hook that sets it apart. Who knows, perhaps you will start a trend!
Don’t reinvent the wheel – in direct contrast to the above, when coming up with a product to sell, there’s no need to come up with a completely brand new concept. We find that an improved, better version of an existing idea works best and takes much less time to market and sell.
Pick a niche or theme. Want to instantly add a premium to your product? Tailor you product to a specific niche or theme. Ever wonder why wedding invites and cakes are more expensive than regular invites and cakes? Same goes for other holidays or items made for specific careers / events. If you have a product, try changing the wording / design / colours to fit different themes and events to see what works
Add some personalisation. If you have the capability and the product type allows it, personalisation can really add a premium to your products. Etsy is a great place to sell products that are personalised as a large contingent are already looking for personalisation. Bonus points if you can personalise a product that no one else is!
Fast becoming a favourite for millennials who want to start a side hustle, YouTube can be a great way to earn some serious cash on the side and potentially become your main source of income.
Money is made in YouTube through advertising. Once your video has enough views (see HERE for the different views thresholds for making money) you can start earning from advertisements shown at the beginning and during your videos.
The key here is to grow your views, subscribers and likes by creating engaging content that people want to share. This is usually the most challenging step – as there’s a lot of competition on YouTube for almost every niche. Our advice is to find something your passionate about and make videos that answers a specific problem area that keeps people engaged whilst adding in a USP that sets you apart from the pack.
Passionate about bread and a stay at home mum? Make a bread making channel sharing your baking tips and tricks dedicated to other mums. Whatever your passion, you can turn it into a video niche that people will want to watch.
One of the classic ways to earn a side income over the past 20 years and a fan favourite (you’re technically reading a blog right now) is the humble blog. Similar to the Youtube method above, a blog is traditionally a website or column that you write about something you want to write about – fashion, finance, fitness, whatever. The idea is to write engaging content that your readers want to read and keep coming back for more. The more readers you gain, the more potential you have to earn money from blogging.
As mentioned above, the key here is to pick a niche and to write engaging content that answers a problem. As an example, this website is intended to be a website dedicated to providing information on growing wealth for UK residents who don’t like to spend money – but your blog can be about anything, providing you have an audience and the subject isn’t too broad (to avoid competition)
To make money from a blog, you first need to get readers, but once you have a viewership in the 1000’s, you can start to earn from it. the way most people earn from a blog is through advertisements (bit of a theme here), specifically through pay per click advertising and affiliate links. Affiliate links are advertisements that take customers to a product or service. If the customer buys that product, you get a cut of the profits for introducing them. To make sure you don’t spam your readers, try to ensure you only allow advertisements that fit with the theme of your blog and that you would recommend and use yourself. This gives your blog credibility and gives you a better chance of retaining your viewers.
The original online auction market place – ebay now has over 182 million users worldwide. This means, that if you’re looking to sell something online, you cant do much better than ebay (save for maybe amazon, though that’s not something we’re going to talk about today).
If you’re unfamiliar with selling on ebay, why not try selling some of the old stuff lying around your house to get some extra cash? The process is extremely simple (we prefer using the mobile app which allows you to take images of your item right there during the listing) and you’d be surprised at the price items can fetch. when listing – we prefer to start our items at 99p to gain as many views as possible and if possible, make sure you offer postage. Offering to post your item will dramatically increase your views and in turn the price your item, fetches.
Once you’ve got a handle on ebay, why not try your hand at reselling on ebay? These days, its relatively simple to bulk buy items much cheaper than their sale price here from the far east using companies like alibaba.
For example, you can purchase 100 x 25Ft Magic Hose from alibaba for a total of £340 delivered:
This gives you a cost per item of £3.40p. A quick search on ebay shows that the same item (seen below) is selling for more than £20 (and likely higher).
Hopefully the above gives you some ideas about how to get started earning a side income. The above methods are methods we personally use among others, but the main thing you can do is to GET STARTED. I know that sounds like an obvious piece of information, but getting going is usually the hardest thing for people do do. We say, don’t overthink it too much and learn by doing – you’ll be surprised at how simple it is once yu get stuck in!
Thanks for reading! Head on over to our budgeting section HERE to help make that cash stretch further
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