Investing money for hobby business.

[Daphnesmate04]

I want to start a small hobby business. The initial investment would be around £300 money - logo design, packaging and materials etc.

It is money I can afford (or afford to lose) but obviously don't want to. I just fear outlaying this money and not seeing a return. I think my biggest fear is what it would do to my pride.

As anyone done this - actually invested money and not seen a return (or taken ages to cover initial costs)? For some reason I'm feeling it is a real barrier...and probably more to do with the fear of failure. Sorry to be asking for negative stories.

Anyone?

I started my business nine years ago. Naturally there was some element of investment to start with and the first tax year of six months I made a loss. It took three years before I was earning what could be considered a full time income (all be it a lot less than it should have been for the hours), this was growing the business organically. For six years it has been my only full time job. This year I have signed a lease on business premises and employed two members of staff, all during a pandemic. It's possible if you're patient, but you have to take the leap initially. And make sure you have a unique product. Also, don't call it a hobby business. It's a hobby or a business, it can't be both.

Me! I set up my business up end of last and beginning of this year, Covid hit and my business never was able to run. I'm hoping once things settle a bit I will be able to hit the ground Running.

As it's a hobby I'm not worried about the loss really.

Delilah Congratulations on the success of your business. I appreciate your comment about not calling it a hobby business but I think it is a defence mechanism against failure. Of course I would prefer to refer to it as a business but it is about keeping things low key for the time being. And although I refer to it as a hobby business, I intend to be professional about how it is set up.

My product is not particularly unique, though in a way it could be said that there are very few of each product available. The uniqueness will come I hope in the creativity surrounding it.

Someone, sorry to hear that things have not yet taken off. I am using this downtime for planning, making space and a lot of behind the scenes tasks such as logo design.

I decided to take the plunge yesterday and I'm arranging to have my logo designed - it is actually not too costly and it felt like a weight had lifted, just to have made the decision!

Good for you Daphne! I wish you the very best of luck with it all. Don't over plan and talk yourself out of it. I'm not a natural risk taker and have a tendancy to overthink things. I've learned to push past that to a certain extent and just go for it.
You don't even need to tell anyone what you're doing if you're worried about pride. Don't advertise to friends and family, they're your worst customers anyway 😁

Thanks Delilah. I have the art of talking myself out of things, honed to perfection! And even if it all goes wrong, I've really enjoyed the process so far. I have always been the one to support others - sahm, stepped back from job to be there as DH has the 'big' job. Even in my previous job I was supporting others/problem solving and I also supported my father in setting up his business. Now I need to try and be my own cheerleader. Ironically, I have a business degree but never really used it for one reason and another.

Took some money today 😂 just £65 but still, positive, it's not my main business aspect but still nice and exciting to see something come in for once.

That's really good news Someone.

How’s the cheerleading working out Daphne?

I’m scarily in a position to start my own business and scouring the boards to find some positives!

I have my own business, offering services, but during my maternity leave I started making a product which I sell on etsy as a hobby business. I find it impossible to set up without any initial costs at all, I have to buy packaging and branding materials but it's not huge. I make a couple hundred a month. I am happy with that at the moment as I don't have capacity to expand.

How did it go with your logo design?

Thanks for asking TimeToClose and doadeer.

I now have a logo and I have ordered a reasonably priced light box for photography products (I was worried it was going to cost a lot more, just waiting for it to arrive.)

My next outlay will be packaging. I wanted to buy in bulk to save costs but might have to go middle of the road plus storing it. Long term I will have more space but room currently being used as a play room (as is the rest of the house!)

A couple of hundred a month is what I'm aiming for doadeer. Younger two children are still young, so I want to be around for them and not commit to working outside of the home yet. There is room for small expansion but I think I will have to be more of a risk taker. I am interested in what I do and hope it doesn't wear off. Sourcing is key for me, I haven't yet perfected the formulae which limits things.

I've given myself plenty of time. I don't plan to launch until September - which sounds like a long time away but at the moment I have a pre-schooler to care for who is taking priority. I am enjoying the journey...and even if it doesn't work out - well I've thoroughly enjoyed myself getting there, especially the sourcing and creative aspects.

Are you facing any particular barriers Timetoclose? Happy to act as a sounding board. Sourcing (and paying) for a logo became a hurdle for me, I'm not totally certain why though it sort of formalised things a bit I guess. I don't have any friends in the same boat although we have a local network for business start ups including shared spaces for desk work (free of charge I believe) - of course not been able to access of late due to current circumstances. I don't like to talk about it too much to people I know because of the failure aspect.

Is it a complicated product? What will you be selling on? I'd just start ASAP and you can learn as you go... You don't know what you don't know at the beginning!