Teens feel comfortable pursuing entrepreneurial endeavors when they are supported in their ambitions. Parents and guardians play a significant role in cultivating teen entrepreneurship. Here are some helpful tips on supporting your child's entrepreneurial ambitions:
- Listen. Offer encouragement and support when your teens have ideas for making money.
- Encourage their ambitions by showing them stories of other teens who have been successful entrepreneurs.
- Plant the seeds of financial literacy by encouraging and compensating teens when they help out at home and in the community.
- Encourage teens to take a holistic view of business. Show them how they can make a difference in the community by volunteering or donating a portion of their proceeds to charity.
- Be a role model. When your teens see you being positive, working hard, cultivating new ideas, taking calculated risks and making ethical choices, they will be more likely to model this behavior in their own pursuits.
- Make use of resources. Take advantage of free programs to help organize the business. Junior Achievement and the U.S. Small Business Administration have a wealth of resources to facilitate teen-owned businesses
- Create a business plan. Detail all funding sources, expenses and outline how the business will make a profit. Research the target market for the business and determine if there is a demand for the service/product your teen intends to offer.
- Legalize it. Ensure that you have researched all required permits and licenses for the business.
- Protect yourself and your family. It is imperative that you protect personal and family assets by incorporating the business. The U.S. Small Business Administration has resources to help you decide on a business structure that best fits your needs.
- Find mentors. If you feel less than equipped to give business counsel to your young entrepreneur, seek out mentors with strong business sense.