Build Your Freelance Business and Work From Home! Side Hustles and Top Freelance Jobs | UpWork Fiver | BrainyMoney And Son Han, CFA,CPA | Skillshare

Build Your Freelance Business and Work From Home! Side Hustles and Top Freelance Jobs | UpWork Fiver

BrainyMoney And Son Han, CFA,CPA, Personal Finance Made Easy!

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19 Lessons (50m)
    • 1. Introduction to the Art of Side Hustles

      0:30
    • 2. Importance of Multiple Income Streams

      2:02
    • 3. Why Freelance Businesses Are The Best!

      5:22
    • 4. Side Hustle not always equal to WFH

      0:31
    • 5. Optionality

      0:44
    • 6. Emergency Fund

      1:13
    • 7. Building Real Work Skills

      0:29
    • 8. Skills You Will Learn

      1:04
    • 9. Steps to create a Side Hustle

      1:21
    • 10. MVP

      0:58
    • 11. Side Hustle Examples

      0:50
    • 12. HustleVida.com Website for More Ideas!

      1:29
    • 13. The Key

      0:38
    • 14. Top Freelance Jobs

      3:27
    • 15. Walk through handout Skillshare

      6:44
    • 16. 8 Steps to Start Your Freelance Business

      6:00
    • 17. Budgeting! Make a copy of the Google Sheet

      1:04
    • 18. Let's get started and build your first business budget!

      11:34
    • 19. Reviewing your monthly budget to actuals like a real CFO!

      4:18
113 students are watching this class

About This Class

Invest in yourself and build your own freelance business!

In this class we will cover:

  • We'll talk about the importance of having multiple income streams and how Amazon does this as well
  • How to build your freelance and side hustle business by understanding what a Minimum Viable Product / Service is
  • We will cover the 5 steps to starting your freelance business or side hustle
  • We'll talk about how you start offering your services to free and get paid in experience 
  • We'll cover the top freelance jobs and the best websites to offer your digital and technical services
    • Check out our handout for the Top Freelance Jobs in demand as of today!!
  • Finally, we will cover the most important tips to starting your freelance business!
  • After that, we will create your own monthly budget for your business using this link 

We will also talk a lot of jobs that are work from home (WFH) which are very important in this COVID-19 crisis. Not every freelance business is work from home but many are.

Work from home jobs allow you to set your own schedule and work from the convenience of your home.

We'll learn about home businesses, Fiverr, Upwork and the best places to build your skills!

For more Side Hustle ideas check out a website similar to Fiverr and Upwork called HustleVida.com

Transcripts

1. Introduction to the Art of Side Hustles: So this is another skill shirt only class. It's gonna be about 20 minutes long. We're gonna talk about side hustles. How to start one within 30 days. What a minimum viable product is with the minimum viable service. The key decide. Hustles were to learn all of this within 30 minutes. Probably around 20. Onda, we have a handout for you to walk through is well. So please stick with us on the skill share class on how to create your own side hustle. 2. Importance of Multiple Income Streams: wire side hustles important. Everyone should have a second income. Let's examine Amazon and see how many income streams Amazon has. Okay, so Amazon sold $1 trillion company, and you may think of Amazon as just being able to do one thing. But let's talk about their income streams. Okay, 60% of their sales come from retail sales. So think about Amazon basics or them selling a product themselves, so that's sold by Amazon and fulfilled by Amazon. If you go to amazon dot com that 60% of the revenue a little over half right, 20% is commissions off of third party. So if 1/3 party seller like you are, I go on amazon dot com and sell something they take. 2020% of the revenue comes from US 10% through AWS AWS Amazon Web services. So hosting, among other things, but cloud stores things like that. 20% of the revenue comes from that 5% from Amazon Prime subscription, so I'm an Amazon prime member. I pay, I think, $79 a year for Amazon Prime, or I think it's now, and I think it's like actually $100 now, and that's how they get 5%. The remaining 5% are from add services. So you see ads on amazon dot com and cold branded credit cards, for example. So now you can see that Amazon actually has a multiple income streams because every recession is different. Okay, and they're prepared for that. It's the same thing for you. Every recession is different, so you should have at least two income streams. You don't know what is going to be impacted during the recession, okay? And there's a recession every six years as we talk about in this class. So that's why it's so important to have a side hustle and multiple streams of income. You should not be dependent on only one income because no one job is stable. Look at the 2020 recession. CEOs are losing their jobs. Cruise lines are Blackley to go under. Multiple energy companies are struggling because they have so much debt. That's their only income stream is oil and gas. Then they're likely to fold because oil prices are falling so quickly on DWI. Talk about that as well 3. Why Freelance Businesses Are The Best!: So why are freelance business is the best? I love freelance businesses, and I urge everyone to start one. Let's go through the reasons why I think they're the best. Lodha no start up costs. There's not a lot of risk, especially if you put focus on a minimum viable product. You're not even spending a lot of time because essentially what you're doing is trying to create the minimum viable product. You don't have massive startup costs. Let's say this. Let's say that you wanted to open a bar, a restaurant? What would you have to do? You got the least a space and you have to buy a bunch of cooking equipment and put that in there and you'd have to hire employees. Put a sign out. You have to get, you know, liquor licenses all of this stuff for all costs, and you haven't even made a dollar yet. You don't even know if anyone's income to your restaurant or to your bar. So the star a pulsar. Really risky, because if you're wrong and nobody wants a barbecue joint in New York City or wherever you're based out of, then you're in trouble. And so there's a lot of risk involved with it. And freelance businesses don't have that. All you need is a computer and an Internet connection, and you're gonna be an incredibly good spot. And most people have both of those things. You utilize your time to build skill, right? You're not gonna be sleeping about stressing about having enough money to pay for things. You'll be saying. You know what? How do I get better at this? Gil, how do I get better at Adobe Photo Shop or a copy riding or being a virtual assistant? Whatever that skill you want to get better at, you'll have time to do that because you won't be stressing about pause. Most freelance Pence's started with no employees. You'll be the sole owner of your company. If it's an LLC sole proprietorship or S S Corp doesn't matter. You don't have to manage people there, no benefits to pay. And what did we learn during Kobe? 19. How terrible it is toe lay people off. You won't have to deal with that. You don't have to worry about performance reviews and stuff like that. If you need help, you hire other contractors, right, you can use upward to get somebody to design your local or 99 designs, right? There's so many other websites you can use to hire contractors. That's what you're gonna be focused on in the United States. We call him 10 99. They aren't contractors, which means you don't have to all from benefits, no unemployment. None of the headaches that come along with FTE is or what we call full time employees. No fixed costs. Okay, in my other class, when we talk about being a CFO, something that we talked about a lot of operating leverage operating leverage is a fancy term for fixed costs. If you have a lot of fixed costs than if something goes wrong, your business is gonna go under very quickly. Think about all the small businesses during Cove in 19. They went under quickly because they have so much fixed costs and not enough cash to covering. So rent is the biggest thing. Let's say again, I start a restaurant. Most restaurant owners do not own the land or the building that they're in. They're renting it. They're leasing that space, so if they sell one hamburger or a 1,000,000 hamburgers, they gotta rent that space. What happened here in Copan 19. They went from selling, I don't know, 1000 hamburgers a day to selling one or two hamburgers a day, and then that's what led to bankruptcy. So if you're starting a business, you wanna minimize startup costs and you wanna minimize fixed costs. Freelance businesses do both so little to no variable costs. So variable costs move up when you sell something so they go increase when you when you sell something. So think about this. If I'm selling a hamburger, I got to buy the meat and then I sell it. Okay. Generally speaking, I'm only buying the meat that I'm selling. There's still a cost there, but what freelance businesses warrant, you're only using your time. And that's the best part. You're just trading your time to earn money. And the reason why that matters is, for example, again with covert 19 we use this again, is that you have to buy that inventory even though it's a very real cost, right? I got by 1000 hamburger Patties. And then if my restaurant gets shut down tomorrow because the government comes in and shuts down the city. Then those 1000 hamburgers likely goto waste. If I'm a freelance business, I'm likely not gonna get shut down. Which leads us to our last point. Almost off freelance businesses can be done from home. Think about Cove in 19. You can work from home, which is really important during Cove in 19. It means that you can work on your own schedule. You can't get shut down by the government. All of your work is virtual. Which is why we cover that the most important work from home jobs or the highest in demand more from home jobs right now, because you need to do that so again, to cover into summarize loaded, no start up costs, which means low risk to start a freelance business, utilize your time to build skills, no employees and no headaches. People brag about number of employees. Every employee is just a headache. You don't have to have any if you run your own freelance business. Onley contractors, no fixed costs. This is what caused people to go in depression and think about the terrible situations that all these small businesses were in because they had such huge rent payments that they had to pay, even though they weren't using the restaurant little to no variable costs. You don't have to have a lot of stuff in inventory. You can just have a little bit, especially with freelance business where you're selling a service in almost all freelance businesses can be done from home, right, And that's gonna be really important in coping 19. This is not the first or last time that a pandemic is going to occur again. I urge you to start a freelance businesses and why freelance businesses are the best are the reasons listed here. 4. Side Hustle not always equal to WFH: Another thing that I want to mention is that side hustles air, not just some work from home jobs. Okay, what hustling means is grinding it out. That may mean during Cove in 19 going to H E B or your local grocery store and working overnight chips. So all want to clear the misconception that work from home jobs Inside, hustles are synonymous. They are not que side hustle just means multiple income streams a second or third income stream. What I work from home jobs are truly work from home. So things that you can do from behind a computer side hustles does not always mean you're gonna be able to do that from home. 5. Optionality : so we always bring up like finance terms in our recession class. We talk about leverage and we talk about days cash on hand. Ah, finance arm I want you to know is called Optionality. What that means is that you have different options in life. You can go different pass when you don't have any options. That's when life sucks. Okay? Optionality means that you can do what you want when you have multiple sources of income that allows you to have Mawr Optionality. Think about it this way. If I have a side hustle that's doing really well, okay, let's say it's making $50,000 a year. And if I don't like my current job, I can quit work on my side, hustle and then have time to find another job. That's what we focus on. Everything that we focus on with brainy money in the core for personal finance in this class is that to give you those options, we want you to have that optionality 6. Emergency Fund: So now let's talk quickly about an emergency fund or screw you fund. They're pretty similar, but a little bit different. So what's an emergency fund? We recommend $1000. What $1000 means is that if anything goes wrong, like you have to replace your tires on your car or a small medical issue or something like that, you can cover it. Okay, so it's really important to get that 1st 1000 talk again about this in the core for personal finance. The second thing need to do is create in that screw you fund. Okay. If you watch our recession course. What is that? Six months of savings. Okay. In finance, we call this thing called Dates. Cash on hand or D C O h. What days cash on hand means. Is that how much can you have? In case you make no more money? How long can you last? If you make no more money? You want to be able to last six months, okay. And so that's what it screw you. Fund is six months. You may not like your boss. You mean like your job? Your job may move. There's so many reasons why you may want to quit and take six months off. You got to get six months of savings in finance as a CFO. What we called as dates cash on hand. And we want 180 days cash on hand, which is equal to six months times 30 days, right, 180 days. So that's the importance of an emergency fund and its crew you fund. 7. Building Real Work Skills: so what a side hustles do mainly, they help you build a real world skills because people are willing to pay for these things . So, for example, you may want to become a video editor photo editor at it podcast. There's so many things that you could do and learn to do that people are willing to pay for . Photography's another thing, right? Maybe you take senior portrait sora wedding photography or whatever it is, so you build riel world skills with side hustles. 8. Skills You Will Learn: So when you build a side house up for yourself, you'll do the following. First, you'll learn a new skill. Skill shares a great place to do that. There's so many classes that you can take on skill share, toe build new skills. Okay, you're gonna learn how to negotiate. You're gonna be building your side house and you've gotta negotiate costs, right? You got to say, Hey, I'm only gonna do this if you pay me X amount of dollars. So you're gonna learn how to negotiate on your own, you're gonna build a contingency plan and diverse a fire income. This is huge. Especially during March 2021. We're going through a recession. Diverse. A finer income as we look at those Jenga blocks is really, really important. And then again, you're gonna build real world skills like learn to take negative feedback, right? Run a sales pitch, get rejected, negotiate and then pick yourself up when you fail. When you start a site. Also, it's not gonna be all roses and rainbows, right? Like things were going to go wrong and you've got to be able to come back from that so again, learn the learn skills from skill share and then implement them to become your side us off 9. Steps to create a Side Hustle: So they're five steps to creating your side house, okay? And you could see them above me. Here, one brainstorm ideas focus on producing things, not consuming things. Okay, so what does that mean? Producing videos instead of watching them on tick talk or YouTube or whatever, right? You want to produce things you want to choose One idea. One idea to go after and say, Look, this is something that I really want to do, and I want to learn to get better at three. Get better at that skill, OK? So use a Web site that teaches you a skill and get better at that skill. Honed that skill. Find a tutor. Find someone to help you get better at that skill, for what you want to do is practice for 30 days, okay? And create an M V. P. We'll talk about what M. V. P is later on in this class. It's a minimal, viable product, but you've got to get your side hustle up in going within 30 days so you can start learning . Do people actually want this productor service that a maxi offering and then fifth get it an offer for Frito others okay, offer for free, because when you start a side also, you're going to suck out it. You're not gonna be very good. And that's okay. So you've gotta offer your services for free, OK? Until, like, for example, I got into video editing. I would say, Hey, son, I'll do your video editing for free. And if you like it, then please tell other people and then eventually will make people pay for it. So we'll talk about that in a second. But when you first start, Step five, offer your service or your product for free. 10. MVP: So before we move on, this is the most important business. ERM that you can learn minimum viable product. It's where people get so caught up and not they don't ever produce anything, right. They want to create a Tesla to start off with. What you want to do is create a civic first, okay, credit civic and eventually get to a Tesla. What is the minimum viable product? It's M V P. Again, that's answer minimum viable part of what can I do? That's the minimum thing that see if customers will actually want that thing on that I want . Okay, if I'm developing an app, do I want to? Just essentially spent eight years developing an app, and then I produced it, and no one wants to buy it, or no one even wants to use it. That's why you do a minimum viable product. It's a minimum level product or service that you couldn't do. That tests out what people like. Do they actually want to use your product or not? Or do they want to use your service or not? It's really important and agile software development, but you should know this. That's part of the side hustle class. Okay, So if there's one thing to get out of this, think about minimum viable product And what is yours as you're starting your side hustle? 11. Side Hustle Examples: We're gonna give you some examples to think through here. Okay? So you can do video editing as your side hustle. Tutoring online upward dot com rover dot com Uber uber eats selling items on eBay Photography like weddings, etcetera, consulting of any type I used to do finance consulting when I had more time teaching fitness fixing houses. Have a rental house. I would love for people to come and work for me to, like, fix up my house so I don't have to do it Breeding dogs or training dogs. We've hired dog trainers and they're so expensive, but they're worth it. They are amazing. Okay, So if you can learn how to train dogs, trust me, you could make a lot of money on the side. Also from that go striving, teaching on multiple websites. There are multiple websites that you can do that under. So these air Just an example Small example of side hustles that you could do pick one that you feel passionate about and move forward within 30 days 12. HustleVida.com Website for More Ideas!: so I've gotten a lot of questions from students. About one are possible side hustles and a quiz that maybe help them out. And we found this really great website. Hustle vita dot com. So it's H u S t a t l e v i d a dot com. You can see the link up here. Hustle vita dot com. We found that's really great website that list a bunch of different jobs you could do so you can work. You can rent things, or you can sell things as your side hustles. They have a tip sections, Ah, blawg quiz and some tools. But like, for example, if I goto would work and then I go to Beauty, for example, I click down here. It gives me different options. Even with the Hustle Vita score, apparently that tells you how good it is, so you could just read more about it. Learn more about what it is. So style Seat is a marketing and payment platform for hairstylist, Medicare's makeup artists and barbers. It's really, really great, and we messed around with the quizas well, so click quiz and it says what kind of solo premier, a producer are you? And then you can start answering questions around it. So again, hustle vita dot com. You can take the quiz if you want to, but it gives a lot of really great options to find the best money making option for you. So the best side hustle toe you choose your own hustle. Can you work? You want to sell? Do you rent things? Has tools and a quiz. So it's a really great website that we found, and we highly recommend it. So hustle vita dot com h u S t l e vita the i d a dot com 13. The Key: the key to side hustles. It's to start doing it for free, but act like you're getting paid $10,000. Why is that important? Because if somebody asked me to edit a video and I don't take it seriously, then they're never gonna ask me to do it for money, right? So if I do it really, really well, what I want them to think is like, Dang, I would actually hire some to do this, and I cannot believe that he's doing it for free. So again, the key with the side house or what every your product or service you're offering is to do it. Okay, act like you're getting paid $10,000 but offer that service up or that product up for free for right now, later on, we can charge before, right now, act like you're doing it or do it for free and act like you're getting paid $10,000 for it . 14. Top Freelance Jobs: So the first freelance job that we'd recommend is Web and app development. Okay, whatever language you know, Java, Swift Python, Ruby Java script. You've used those languages in your coding ability to do that type of work. Okay, up work and fiber are too good places to start looking for those type of jobs. You've got to build up your skill set, though, and there are tons of Web sites where you can learn how to program even better. Second Video editor using Adobe Premiere Pro Camped Asia I movie There tons of different Softwares out there. So again, up work in five other places you can get started writer or editor. That means it writing blog's copyrighting building out webpages you would. You would not imagine how important grammar is right, and I actually hire people to do this for us as well, and we recommend this is something that you focus on. You could also write Facebook ads, websites, Google as and proof read and edit blog's. As we've said, the 3rd 1 is Web designer, and we're not talking about actually learning how to code here. This is easy as a Wicks Web site or a War press website with a plug in like elementary. Okay, on DWhite you've got to do is design the websites. Learn what is important to to design the websites of Web design is another one graphic designer. Okay, Adobe illustrator, Don't be Photoshopped Google Auto drawn there so many programs out there that you can use and get strong ad. So vectors air Really important illustrators really important. So you learn how to use these things. I guarantee you eventually you'll find a job. If you become really strong at this, the it's jobs fiber and 99 designs are three websites that we would recommend for that virtual assistant. Okay, there are a lot of people out there that are even busier now than they were before hand before the recession started, because they have a lot of work to take on. We are one of those companies that we are expanding because a lot of people are looking for online education. So we're getting a lot more requests now, so virtual assistance could be really helpful to do administrative things like make invoices, bill companies, things like that. The companies we would look into our fancy hands zip recruiter and flex jobs. Okay, so taking phone calls or responding to requests these air things that virtual assistance would do. Number seven is social media manager, so push out content and certain times work up on being a social media strategy advisers. Remember, I G pages air not just randomly posting whatever you want, but thinking about here, the nine boxes that people see when they log into an I G page or go to your hygiene page. How do you make that visually appealing and then finally and adds manager Okay, step above a social media manager. You need some experience in marketing. But that's another job again. What we could also say Just goto up work and fiber and scroll around instead of watching videos on tic tac Go there. Look what people are looking for. Okay, what people want to hire for in these economic conditions and the economy is gonna change consistently. So whatever month and you're you're in goethe upward dot com, go to Fiverr dot com and see what people are looking for. They will tell you what the most skills are sought actor, and then go learn those skills. You're a demand right, and you're gonna feel that supply by learning those skills. Basic economics. You've gotta have those skills before those in demand skills before someone will hire you again. These air the jobs that we recommend as a top freelance shops. But again, goto up worker fiber dot com, and you'll see what is currently in demand today. 15. Walk through handout Skillshare: so hopefully you printed out the handout. Now let's do this together. Okay? So before we get started, let's talk about the key points. When you build any side hustle for yourself, you will do the following. Okay, this is just a recap. You'll learn a new skill on skill. Share your loan learning Negotiate. You have to negotiate even on a portal. Calmer fiber dot com. Build a contingency plan and diversify your income because you're gonna be divers. Find your income like Amazon. This is gonna be really good for you, and you're gonna be building real world skills learning to take negative feedback, running a sales pitch, getting rejected negotiating picking yourself up when you fail because you will. But you also see yourself improve over time again reviewing the steps to creating your first side hustle. You've got a brain storm ideas choosing one idea. Get better at that skill, practice for 30 days on your own and create an MVP minimum viable product and then offered to other for free thinking long term year because eventually you'll get paid for. But right off the bat, you won't. So starting your side hustle again. Minimum viable product Most important term when you with software development. But for your side hustle as well. You don't want to sit around and think of 30 50 ideas or whatever they mount is and never do anything. Whatever your service or product that you want to offer is your side hustle. You want to be able to do within 30 days again. You want to be able to say, Look, I'm gonna offer video editing using Camped Asia because I can't afford Adobe premiere right now. Start editing with Camped Asia and then eventually by Adobe Premiere, that would be video editing or using I movie. For example, I movies actually free with Apple Computer. So if you have a Mac book that you would just use I movie to start with and then move up to Adobe for me a pro in this situation, you would not You would not wait until you can save up money to buy Adobe Premiere Pro. You would just say, Look, I'm gonna use my movie for now, and I'm gonna get better. I've written down the definition of what a minimum viable product or services here you can read through it on your own. But it's part of lean startup and essentially it saying that even if it's super manual on, it takes a lot of time. What you want to know is, are all customers willing to use the product or the service that you're offering? That's all you're really trying to get to at that point. Are they willing to use the product or service? We have an idea. We can ask our friends and say, Hey, guys, will you use this? Um, and they'll say, Yeah, but then when you actually offer it to them, they may not actually use it. That's what the idea of M. V. P is So now going through the actual handouts, starting your side hustle. What do you like doing? Can you do right now again? A side hustle does not have to be like video editor or something like that. It can also be working as a grocery soccer during Cove in 19 Bardo Amazon warehouse or Walmart. Okay, you're not above any of these jobs. But if you have a higher risk family member due to Cove in 19 then don't do this. But what I say here and I'm bold it. Do not sit around. You need to be learning skills, okay, and skill shares a great place to do that. So try t o focus on creation vs Consumption. So instead of writing down things like watching Netflix think of something like editing videos and I have some examples here, and I have the examples from our power point slides below. If you need more ideas, just goto support dot com or fiber dot com, and you can get more ideas from there and you can see in demand jobs. So I'm gonna write that here for in demand jobs. Go to up work dot com or fiver dot com, and you can look up in demand jobs. So we have examples below listed here. So what I want you to do next is pause the video and then write down what your ideas are that you like to do or circle. I'm here, um, and then circle above items that you think someone maybe yourself, is willing to pay for. Eventually, we say eventually because again, the key is to start doing it for free, um, and then write down that skill pot passion or hobby that you want to pursue. Okay. What's that one thing that you want to pursue again? We're only pursuing one thing right now because we've got to see if this works, and then we move on after that. So the key again. I have a listed here from our power point. Start doing it for free, but act like you're getting paid $10,000. Okay. And there is a very good reason for that because of the reason is because, look, you've got to say, Look, I'm willing to do this for free, but act like I'm getting paid $10,000. So people take you seriously. So starting your side hustle, choose the item circled above that You think you could start doing in less than 30 days? We want to focus on something that we can start soon after building some skills. So you want to focus on things that you can start within 30 days because you should take you less than 30 days to get started. Okay. So what if you need to build a skill and you don't have that skill yet? That's Gil. That minimum skill should be able to be built within 30 days. so you can start offering the product for free within 30 days. Um, the item chosen should still bring you joy and happiness. And we say that's really important because you're going to run into issues and problems and obstacles. And if you don't like what you're doing, you're just gonna give up working. You learn about more more about the skill. Obviously, skill shares a really good place, but there are other places that you can learn and take classes as well. You could just school that and then how can you start getting clients? You'll start offering your services for free or very low cost. Use up worker fiber and use your own network as well. Do you know anyone that needs video editing services, for example, for up work and fiber? Just don't post your profile. You need to go get clients. What you mean you need to do is go look for ads that say, Hey, I need a video editor than message them. Tell him your story. You say, Look, I'm trying to do this for free so I could get experience. Are you willing to give me this job for free? And I guarantee you. Somebody will accept her offer. Okay. If you say hey, I son, I'll edit those videos for free because I'm trying to build experience. Um, if you want to use the videos, it will be free. Otherwise you don't have to use them. I guarantee you. I would say yes after that. And then after doing it for free for six months or so. OK, you're gonna know. Hey, people really love what I'm doing it. I'm really good at this. Then you can start charging. Okay, Um so building the skill and you're getting paid in experience, and that's really important. So don't focus on solely making money. You need to be focused on building experience, getting experience and making yourself better and helping others. If you do that, somebody will eventually pay for your service and then starting your side house the last page here. If someone were to ask you these questions, you should have an answer. Ready? Determine if you are ready to start your side. Hustle one. Why are you pursuing this as your side hustle? How will this side house will make you happy? How are you already set up for success on this side hustle like you already have certain skills. What skills will you need to improve on for this side hustle and what you anticipated Startup cost. You want things to be as low as possible to reduce the risk. Hopefully, you can get started on Ben. Please let some of you have any questions in discussion. 16. 8 Steps to Start Your Freelance Business: Okay, We've gotten a couple of questions that we want to answer related to how to actually start your side business. OK, Your side hustle. Your freelance business. We talked about now developing that skill with him that 30 days now you've got a minimum viable product or a minimum viable skill. So now what do you do? The first thing you gotta do is now you've got to believe that you have a strong skill set . It's not the best skill set out there. Your video editing, landscaping, raising dogs, whatever it is, right? You know, you're good enough. Okay, So have the confidence to know that you're good enough and that, Yes, there are people out there that it better than you and they're not the best one. But you're good enough. And that's what minimum viable service or minimum buyable product means. The second thing here is that because you're offering minimum buyable service or minimum buyable product, you should be offering it for free. Too many people get stopped caught up on saying, Hey, I want to get paid for this, but understand there two ways to get paid one in monetary terms, like someone's paying me a dollar or whatever currency denomination you're getting. So look, you're getting paid a dollar or you get paid in experience. You've got a focus on getting paid in experience. That's for the first few months. At least three months. I would say that's what you want to get paid in. You want to get paid in experience. So that's the second thing that we would say. Focus on the minimum viable product. Minimal Bible service Because you want to get paid in experience. Don't worry about the money just yet. Third thing. Don't build a huge business plan, okay? There are a lot of people who say you need this huge business plan. You don't need that. If you filled out the side hustle handout document, which is in our class, then you've done enough. OK, you thought through it enough. Now let's just go ahead and get started. Build up that skill and start offering that service. So the fourth thing you've got to do is build a website. Okay, registers a domain on whatever. Go daddy dot com or somewhere like that. Super cheap. Generally, like $10 do not pay over $10 for domain if it's taking, move onto something else. Okay? Don't over complicate your first website. It cannot think of a business. Same. Just use your first and last name dot com so my would be son han dot com. We come up with the business name, so we don't need to do that. But in your case, you should just use first name, last name dot com. That's good enough to get started again. Minimum viable product even for your website use weeks or squarespace. Both of those are pretty cheap to use. You can use WordPress if you are a Web developer, but weeks there squarespace means that you can get your website up generally in about two days. They shouldn't take you more than 48 hours to get your website up, and making it will actually look good. And then on your website, make sure that you have a place to share a portfolio of your work and your video editor, photographer landscape or whatever you do. You should have pictures and videos. Okay, it's 2020 Now you've gotta have videos up things that you've done OK, and so it's important to show a portfolio. So people know what to expect. The fifth thing is use your network to get clients. Okay, It's gonna be really important to do this. Also used up port dot com and fiber dot com, which we mentioned multiple times. And we have a video that actually goes to the website here. Its growth through so you can see the in demand jobs. Consider going door to door for businesses or for individuals, cold call businesses. That's totally okay as well. And again, this is on the handout, which you should have already downloaded. So cold call businesses go door to door, do whatever you can to get clients and again say that you're looking to get paid inexperience. Do an amazing job for your clients. Okay, that's six thing. Do an amazing job going be above and beyond because you want them to say, Wow, son did that for free. I would have paid him $5000 to do that, and you're walking way saying, Look, I got a ton of experience and a testimonial. Which brings us a number seven. You've gotta get written feedback or video feedback, some sort of documentation that you can share with future clients there's a huge possibility that they say Man, Hey son, you know we want references. You've got to say Look at these other people. Look what they've said That's how you know we have a good product. OK, so that includes up work and fiver. Ask for feedback. It's important to get that written feedback. It's really, really important that other people can see that you do a good job. Also, here's a tip up. Working fire er use feedback, written feedback that you've received as their algorithm to push you up higher. Okay, so that's a huge tip that not many people know. If you don't get that feedback, you get pushed down. OK, so you're your profile's not is relevant. So again, really important to get written feedback and then if you received negative feedback, that's OK as well. That's saying, Hey, son, you've got to do this better. And I told you, building a side hustle or freelance business gives you real world skills. You gotta learn how to TechNet IQ negative feedback in critical feedback. Whatever you wanna call it, negative feedback helps you grow professionally, and the number eight is create a social media profile okay, We recommend Instagram Facebook are linked in Twitter is not really great for businesses, depending on business. Yours is. But look, you've got to build out your social media profile, so use whatever platform you feel like is necessary. OK? So if you don't have time to choose multiple, just choose one member minimum buyable product. Even for this, just choose one and move forward with it. Get something out there. Don't spend a lot of time on your social media. Your goal is to gain as much experience as you can. OK, so your goal is to be focused on experience, not on building a really amazing social media platform. If you don't have the skills to back it up, it won't matter anyway. So you've got to focus on earning people's trust and earning their in earning your own credibility so you can get paid in experience and then eventually later on couple months, amount, maybe six months or now you get paid. But now you are saying, Look, I'm really good at my job because look, I'm getting paid. But look at these testimonials that I'm receiving, and that's what we want you to focus on again. Build that experience and the money will come 17. Budgeting! Make a copy of the Google Sheet: So before we get started, you must go up to file, make a copy, select making copy. Name it whatever you want and hit. OK, you cannot edit my spreadsheet because thousands and thousands of students accesses spreadsheet. We don't want everyone making edits to this. Okay, so the only way to access this I cannot give you edit access. You goto file, make a copy again. I'm gonna say that one more time cause we get so many questions about this file, make a copy, and then we're gonna go through the spreadsheet together, nearing to see how awesome it is to use this as a tool for your freelance or side hustle business. So again, file, make a copy. Name it, whatever you want. I could name it sons coffee, And then I'm gonna hit freelancers. Guy had enter, so it's gonna hat. Now I have my own copy that I can edit again. You've got to download and make a copy. Now let's go through what? The spreadsheet is four. It's pretty awesome. And it's free for you to access. All you've got to do is file Make a copy 18. Let's get started and build your first business budget!: Okay. What I wanted to do was provide a free spreadsheet to you that will allow you to calculate your business's net asset value or net worth of your business. Track your monthly budgets for your business and input daily transactions for your business and the manage your budget. Looking at your budget toe actuals, then reviewing it for the entire year. So here's the spreadsheet. The link is available in the resource is section, and there are six steps that we need to cover. Step one is input all your assets and liabilities to calculate your business's net asset value or net worth. You should do this every month. Step two is to create expense categories in your monthly budget for those expenses. Review this monthly, but you'll most likely not have to make any changes because these are the actual categories and the budgets for those categories. Great revenue categories. That's Step three and your monthly budget for those sources of revenue. Review this monthly, but again, most likely unless you're budgets. Order categories change each month. They shouldn't change each month. They should change a couple of times a year. Step four Input daily transactions for income and expenses and add a link for those receipts. Do this every day. Any time you have an actual transaction, then step five His review your budget each month and then look at the grass. Do this every day, if possible, and then Step six is review your year to date net income. Do this monthly. Look how you're doing each year is your business. Making money again with freelance business is the best part is you don't have a lot of expenses. It's mainly just making money and your time. So let's go through the steps down. Step one is input all of your assets and your liabilities. Okay, so these air actually our assets checking out one. We have about $15,000 in it. Ah, we have a Mac book Pro work. About $2500 photography equipment worth about 1000 and accounts receivable. Outstanding. Right now $20,000. Actual counsels people as of May 2020 for us is $20,000 Liabilities. Business loan one. Nothing. We have a business credit card with about $200 on it in a line of credit, with about $100 on it, so you can see over here. Now you're gonna input these things. Okay, so let's say that you only had $10,000 in your checking account. You don't have a Mac book pro. So you put this 20 you can actually change these two. So instead of a Mac book pro put like Dell laptop and say that laptops were $200 photography equipment accounts receivable for Let's say yours is 1000 and then you can fill in other asset categories here. We left them blank. Don't add any rows, but you can fill them in here so you can just replace this with replace this with whatever , and you can keep doing the same. Okay, I'm gonna undo that. And you're going to see that you can just replace those things. Same thing with the liabilities. You. Hopefully you don't have a lot. Remember the reason why stress freelance businesses inside hustles is because you're not taking on a lot of leverage, A lot of debt write a lot of fixed costs were trying to avoid all that stuff here, so you shouldn't have a lot of money. This is just like buying some food and stuff for the office for me. So now let's look at the total assets. 12,200 is total assets. Total liabilities is $300. Met worth is $11,900. So you know that's pretty good. So what we want you to do here is take a picture of this and posted like print screen and posted as your project. Now let's move on to step two. Step two is the expense categories. Again, Anything here you can change. Okay, you can rename any categories. If I flop, zoom up here to expense categories. Get started. What do you spend money on each month? How much you spend on those categories each months. That's the questions which are not an answer. And again, around to the nearest $10. No need to be exact here. Okay, We just want a round number. So think about what monthly payments do you have for your business for the expense categories. Thes expenses that we have website slash wordpress $30. Think if IQ $125. We don't actually use the developer anymore. We already done with all that stuff. So developer, blogger and constant Contact. $5 Dropbox, $10 a month up Worth Freelancers We spent about $50 month on that tax payments here. OK, we actually have to pay taxes each month. That is something. If you're earning income, you want to do that way. You don't owe taxes at the end of the year. So we send in $200 a month to make sure that we can cover any taxes that we owe equipment. Another $5 WordPress plug ins, $5. Manager of marketing editor. This is our biggest cost. We pay somebody $1000 a month to maintain and toe, edit our videos and do things like that. Okay, and then food is just another category. But just like everything else, we have additional categories, which you can add. The next step is Ask yourself, Is this a fixed cost or a variable cost? Very simply defined is that fixed cost is you have to pay no matter what. No matter what, you've got to pay this to maintain your business. OK, the easiest one to think about is restaurants and rent. Rent has to be paid if you sell one pizza or 1000 pizzas if you own a Pizza Hut, right? Same thing here. We've gotta maintain our website. And that's $30. Think if it we've gotta pay that no matter what, That $125. But other things are very okay. So our tax payment varies with the amount of income we make, and then we can always fire employees rights or manager marketing makes $1000 a month, but we could fire that person, so that's a variable cost. So some costs are fixed. Some costs are variable. Think about that. You want toe, have very little fixed cost. So when you go over here, you can see fixed costs only $125 a month. Variable costs 1265. Think about recessions and think about cove it. What happens when your business doesn't make any revenue? You want to be able to cut your costs quickly, so the less there, the less fixed cost you have, the better you want fixed cost to be near zero if possible. Variable costs vary with how much revenue you have, so you stop making revenue than you want to make sure that you can reduce all your costs. Big business ing there as a CFO highly recommend understanding the difference between Vicks fixed and variable costs and maintaining very low fixed costs or what we call operating leverage. OK, operating leverage means that you are comparing your fixed costs in variable costs and you want your fixed costs to be very, very low compared to your overall cost structure. And if we calculated here, we can actually do this. So we say fixed and variable costs. Let's change these two percentages here, and when we do that, you'll see that fixed costs represent roughly 12% of our business, and variable costs represent roughly 87% were publishing a class right now on how to be a CFO, where we dive deeper into fixed in variable costs. But here's a quick gauge. 12% fixed costs 87% variable, low operating leverage. Okay, so now let's go back. Step one. We've calculated our assets and our liabilities. We know the network from our company. Step two is now. We know all the expenses categories for our company and the monthly budget for each one. And are they fixed, or are they variable again within $10. We don't need to be exact here. And then over here is our summary of are fixed and variable costs along with the percentages of the fix in variable costs. So let's move on to Step three, which is revenue categories. Okay, so our biggest revenue stream is actually from skill share. We make roughly $2500 a month from skill share other websites, 1000 and then freelancing for other people or other organizations around $450 a month and then random small stuff, $200 a month. So what are you doing here? You want to answer the question? Where do you get your money from again? With these income categories, you can change them. Anything in orange you can change so you can change this. You can change all this stuff. We're not gonna do it here because look, it's not really that important. But look, I can change it, and nothing happens. So it's important that you name your income categories correctly, so you understand where your money is coming from. So again, most of our revenue is earned from skill share, so that's a really quick one. Step three is creature rubbed and categories. Step four. Now let's input the transactions. Expenses on the left, revenues on the right. OK, so you've got to put in actual dates in this format. OK, so it's got to say may 1st 2020 or June 1st. 2020. Okay, It's got to be in this format. If it doesn't, the spreadsheet will not work. So the format has a match. You put the amount and then you select the category. Okay, So $200 tax payment is what we made for May. And then we're gonna go down here and when a select tax payment. So how does thes categories come up? These categories come up from step to. So as I change, step to watching, I'll show you these categories will change. So let's focus on other expense. Category five. I'm going to step two. I'm gonna rename that random expense test. Okay, Now, if I go to step four, you're going to see random expense tests come up here. That's why it's important to maintain these categories, OK, because you're going to use this and Step four. Really cool how the spreadsheet works, right? and the last thing you wanna do is copy a Dropbox link or a Google drive link of the receipt. Here, you need to maintain your receipts if you're running a freelance or side hustle. And so what I highly recommend is using a free tool like Dropbox or Google Drive and copping it is a PdF and then copying the link here so you always have access to your pdf. There's no reason you need to spend $50 a month on QuickBooks when you're first starting out. That's just more costs. Use this free spreadsheet and then you will always have access to your receipts. If you just save a mess. Pdf and copy a Dropbox or Google Drive link and link it here. Then, when you click on this link, the pdf comes up. So your maintaining your own QuickBooks in that awesome like you just took this course, and now you're saving at least $50 a month because we don't have millions of transactions like public companies. We have roughly 10 transactions, 20 transactions a month, right? And so that's the best part about this class is now you have a spreadsheet that will maintain your budgets and essentially act as your QuickBooks pro free. So here's some other expenses that we've had for the month. I'm not gonna go through each one you put in the date again. You've got to make sure that the data correct. And then you select the categories again. The categories change based off of step two revenues, you can imagine work very similar. You put in the date you put in the amount you put in the description and the description on both. You can type in whatever you want, so you can type in whatever you want on the description. Okay, I'm gonna undo that. And then the category, you've got to select the category. Okay, so you've got to say skill share here. Um, and then here you got a select your category to whatever other websites. But in this case, this would say skill share, and this would say freelance for others. Okay. And so that's the revenues for the month of May. Again check your date. Then you want to copy your Dropbox or Google drive link here Some sort of copy of the receipt in case you're taxing authority, no matter where you live. Ask for the receipt. They will. Or the invoice. You've gotta have a copy of that. That's why you should have a Dropbox link here. 19. Reviewing your monthly budget to actuals like a real CFO!: So let's move to step five with it, Which is our monthly budget to actual part of the spreadsheet. Okay, Step five at the bottom here. So let's review what we've done so far, we've calculated or assets and liabilities giving us our net asset value or net worth. We credit our expense categories. We gave it a monthly budget. Fixed or variable. We did that created revenue categories. The income categories in the monthly budget for each one we inputted are actual transactions putting in date, amount description, the category. Remember, remember to put the Dropbox Google Drive link here. Same thing with our revenues. Date, amount description Selected the categories from the drop down. Remember to put the Google drive link or dropbox links. We always have it for you. Taxing authority. So we put it in input. Our transaction. So now Step five, review our monthly budget from May 2020 1st thing you gotta do is select the month, then select the year you're looking at. Okay, Now, what we want to do is look at our monthly budget. So let's before we look at this graph, look at our expense is we had a planned expense of 1440. But we actually spent 1547. All of the details down here. Here are budget categories. Here's how much we plan to spend. Here's much how much we actually spend. The biggest category we went over on was website slash WordPress by $258. When we sum it all up, you get 100 $7 difference. Okay, so now what about the income we planned for 1 4050? But we actually only made $3000. Okay, So if we look here, what happened? We made our skill share. Money. 2500 Plan 2500. Actual difference. Zero. The other websites. We said that we would make $1000. We actually made zero. Okay, so the difference is negative. 1000 freelance for others, 450 to 500 then other income sources. 200 0 So we add it all up, we get negative 1150. So if we sum this together, we get negative $1257. And that's what it says here. You made less money than you expected by negative $1257. Okay, so let's look at this. Overall, somebody graft now. Monthly budget for May 2020. We had a plan that income of $2710. We actually only made 1453 which is made in these beautiful bar graphs here, so you can see it. So that's the first thing you'll see when you look at the summary for the month. So then the summary says you made less money than you expected by negative $1257. Okay, so this is the summary for the month Now. We know where we stand for the month of May 2020. So step six is a look at our year to date summary. Okay, revenues, expenses. Here. You can see you have to select the year. So we selected 2020 and then January, February, March, April May. This is where we only have transactions for May $3000. Expenses. 1547. So are net income is $1453. We should see our net income by month and more hope is that it's positive, right? And then your total for 2020 will appear here. So one thing I want to clarify that we've gotten questions from students is in putting transactions. Should we erase the May Know you should add June transactions here July, August, September and you're gonna keep going down and balance why There's so many rows because step six pools, all of that data in tow. One beautiful spreadsheet so you can see your money, your net income for each month throughout the year. And again, you want those to be positive, right? We want to be baking money here. So that's it. We have now created our spreadsheet and let's summarize. We calculated our assets and liabilities so we know how much money our company is worth. Step two created expense categories except three created revenue categories. Step four. Put in input the actual transactions. This is the QuickBooks part set. Five. We've reviewed the summary for the month and step six. We now have a year to date summary. Okay, so all of this is free on the spreadsheet. It's awesome. Please use it. We use it as a company because it helps us track where we are perfect for freelance and side hustles. Okay, so please use a spreadsheet, um, and download a copy. So the big thing here is you've got a download. A copy of this spreadsheet.