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Kids Make Great Entrepreneurs: Here’s How To Teach Them About Business And Life

If you don’t fancy the idea of your children spending all their holiday time watching TV and down the skate park, what should you get them to do? One idea that is becoming more and more popular among parents is getting kids to start their own businesses. Not only is this a good idea, given the direction that the economy is going, it’s also beneficial for helping kids develop confidence and people skills.

Here’s how to help your kids achieve their business goals.

Let Them Pursue Their Passion

Kids find it really difficult to focus on things that they aren’t interested in. This is why getting them to go to school can be such a mission: smart children hate the fact that they have to sit in rows all day, doing things which are boring.

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If you want their new business venture to be sustainable, take a step back and ask them what sort of business they’d like to run. Kids who love animals will probably be quite happy to set up a dog-walking business or even a pet sitting business. Children who are gifted in music or acting could hold their own after school classes. The possibilities are endless.

Tony Hsieh, the founder of Zappos, set up a worm farming business when he was a child, selling worms to passers-by at the tender age of nine. His goal was to become the number one worm farmer in the world.

Introduce The Concept Of Money Management

Because parents provide all the resources that kids needs, many children grow up with the impression that money is infinite. The reality of business soon teaches them that it is not. In fact, it shows that it is often very hard to come by. They’ll soon find out that most companies have to go through lenders, like Colbeck, in order to make ends meet, especially for the first few months and years. Teenagers, for instance, can do things like calculate profit and loss, and how much they would have to repay to a lender every month at a given interest rate. Younger children can practice things like counting up how much money they have in the till and what they’d need to spend to expand their business.

If your children are particularly adept, you could even hold your own investor meeting, where members of the community come to hear the business pitch and commit small sums of money if they like the idea. This will get children used to the fact that they have to offer value to investors in order to receive money in return.

Teach Them About Customer Service

Being able to listen and communicate with people is an essential entrepreneurial skill. It’s what forms the building blocks of all entrepreneurial careers. One of the key skills children need to learn is how their business idea can actually benefit other people. Why do people want to have somebody sit their dog, for instance? Getting children to understand that people want problems to be solved (like the fact that they are worried what their dog will do to the house if it gets distressed while they are out) is the key to giving them good “business sense.”

Running Your Business The Right Way For Your Staff

Our businesses can be treacherous areas, full of individuals with their own little lives, hopes and dreams and when these meet – there can be a lot of issues. Humans have complicated lives and can bring issues to work, what’s more they can take them home with them from the place of work.

It can be issue, after issue, after issue. That’s not good. Not good at all.

It might be easy to compare your employees to your family. They are the kids and you’re the adult. You’ll find that this approach doesn’t work – you can’t act like the mom or dad at work and you’ll find this out the hard way.

Communication is the best way of fighting problems in the workplace. The way you talk to employees can have a huge effect on how they not only perceive you, but how they will respond to you and your actions.

An open-door policy is the best way forward, truly. There’s nothing wrong at all with allowing your employees to speak to you on an ‘as and when’ basis. Your employees will value this and while you may think that it doesn’t give you the respect, authority and exclusivity that you as a boss probably deserve, it’s key. Your employees deserve to speak to you about their issues and about anything that is troubling them. If you lock yourself away, your personal office could very well develop into a metaphorical ivory tower – separating you from your workforce and putting your needs above theirs. Bad idea.

As stated earlier, our workplaces are packed full with unique individuals working in an environment which could stress them out. This is the perfect place for friction and conflict to develop in. Problems will arise in a workplace and if they are not dealt with, your team will suffer for it. If problems do linger, they can only evolve into more threatening beasts and this can cause serious issues. Problems that linger are bad for business. What’s more – your employees will see your refusal to deal with problems and could lose a lot of respect for you, especially so when it is an issue that affects them personally.

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Meetings are a great way to address workplace policies and practices and a good idea for your team to help foster good communication habits. If your team feel comfortable speaking up and leaving nothing unsaid – keeping it professional of course – then you’ll be saving a lot of time. If they do have issues and queries with practices and policies instituted by yourself, then this is the best place to bring them up.

Everyone in the workplace will require time off work – from sickness, to parental leave. It’s important that you clue yourself up on the legal aspects of leave from work and don’t come down unduly harsh on employees when it is not necessary. If strict action needs to be taken, make sure you are doing it to what the law says. Legal advice should be taken on anything and everything – especially if there are areas you don’t understand, like adoptive leave – this post explains it in more detail. Make sure you do your research.

It’s your job to foster an environment where your employees are happy and productive and almost every issue can be solved with basic communication and it is better that this information is known to you before you start out, before it’s too late.

3 Brilliant Tips For Becoming A Landlord

The property development industry is highly appealing to any prospective entrepreneur or investor, so it’s no wonder that you want a slice of the pie too. Of course, it’s not quite as simple as diving in head first. As with any investment, you need a plan of action if you want to ensure that you’ll be getting the returns you need for the whole venture to even be profitable.

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Investing in the buy-to-let industry is not a decision you should take lightly; especially not on the basis of the success enjoyed by other property developers. In this current economic climate, judging real estate value and the returns on any investment, no matter how good the property, is a difficult task. It’s worth it when the investment turns out to be a wise one, but you’ve got to enter into this with a clear head.

  1. Don’t be tempted by low rates without thinking it through.

Eventually, all rates must rise again. If you purchase a property on the merits of it simply boasting a low rate. It might seem good for you on the investment side, but sometimes spending less today doesn’t necessarily mean more tomorrow. There were so many investors who bought during the growth period before the recession and were left in an awful situation by 2008 when mortgage rates skyrocketed and the property they thought they could afford a few years ago was now eating away at their investment, leaving them very little wiggle room and very little hope of a sizeable return any time in the future.

  1. A credit tenant lease is a fair way of borrowing money.

As with any investment, you get out what you put into it. That, for the majority of new property developers in the buy-to-let trade, involves borrowing money. Of course, the best method of financing real estate can seem impossible to figure out, because you don’t want to take risks and you don’t want a lender to turn you away if they think you’re ‘high risk’.

If you’ve got a plan, however, and you know how to turn your property into a lucrative development business opportunity, then borrowing might not be as hard as it seems on the surface. There are credit tenants who help new landlords to finance their properties on the condition that the rent is used as a form of security payment. This lease is one of the best ways to finance the real estate development on which you’ve had your eye for a long time, so it’s a great place to start if you’ve been wondering how to fund this venture.

  1. Marketing is key, because you’re letting and not selling the property permanently.

Once you have the ideal property and the funding to get it going, it seems like you’ve got everything figured out. Right? Well, not quite. Renting a property to a tenant is not a permanent deal. Once one or a group of tenants leaves, you have to be ready to fill the property with the next viable candidates; especially if you’ve got a lease which depends on the rent from tenants acting as a form of security payment.

Marketing your property properly will ensure that you’ve always got potential tenants interested in renting, should a tenant ever decide to move out. The key is to ensure that you have enough time during your notice period to find the next tenant; or, if it’s a new property, to find your very FIRST tenant. Whether you use a site like Rightmove or a letting agent, ensure that your property is getting viewed in some way or another.

The Good, The Bad And The Bankrupt: Entrepreneurial Personal Finance For The Next Generation

When it comes to financial advice for entrepreneurs, there’s a lot of discussion about maintaining good cash flow and making sure that you properly manage expenses. But there’s much less discussion about how exactly entrepreneurs should go about managing their own personal stash of cash. After all, a lot of the money that their businesses make goes straight into their bank account.

In the future, entrepreneurship is going to become more and more important as new market opportunities emerge. In fact, we’re living through something of a startup boom, making it more important than ever that children – the future workforce – know how to manage their money as business leaders.

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Here we’re going to look at what some of the world’s top entrepreneurs said about managing their personal finances in a bid to find out how to do it right and what information we should pass on to our kids. Let’s take a look at what they said.

Keep Business And Personal Accounts Separate

Rachel Rodgers, the boss at a local legal firm, says that young entrepreneurs should keep their business and personal finances separate. It is not a good idea to get them mixed up, mostly because it then becomes tough for accountants to disentangle business expenses from personal expenses. Rodgers advises that entrepreneurs use tools, like Mint, to pay themselves a regular, predictable salary as early as they possibly can. This, she says, will help to keep track of personal funds, while making sure that the business account does not become contaminated by personal expenditure.

Take Payments Wherever

Most modern entrepreneurs don’t do transactions face to face. Instead, they do business with people all over the country, and sometimes the world. The fact that in most of these situations, the payment card isn’t actually present means that entrepreneurs often need their own high risk merchant accounts.

These accounts make it easier to accept payments, even when transaction risk is high. Many banks won’t accept certain types of international payment, or won’t accept some companies soliciting those types of payment, so it’s important to find partners that will. Having a system like this in place helps to avoid cash flow issues, says David Ehrenberg, boss at a financial services company, and makes it easier to avoid big business losses.

Track Personal Expenses

Keeping track of expenses is part and parcel of being an entrepreneur. But Aaron Schwartz, boss at a watchmaking company, took this to the next level. He knew that he wasn’t going to make a lot of money during the first year of his business. As a result, he kept track of all of his expenses, including spending 75 cents on an apple, just to keep track of the rate at which he was burning through cash. Once he knew what this was, he stuck to his expenses schedule religiously, only buying the stuff he needed and recording it all on a Google Docs spreadsheet.

Use Accounting Software

Zach Cutler of the Cutler group recommends that all new businesses start off by using accounting software. This, he says, helps separate business from personal finances.

Government Injects £50,000 into Second Tycoon in Schools Contest

Government Injects £50,000 into Second Tycoon in Schools Contest (England)

Tycoon in Schools was set up in 2012 by businessman, entrepreneur and television personality, Peter Jones CBE, with a personal investment of £100,000.

The competition is designed to encourage school-age youngsters from across the country to start their own business. The intention is to inspire pupils to pitch business plans to their tutors, in the hope of receiving seed funding.

Now in its second year, the competition has received backing from the Department for Business, Innovation and Skills, with a funding injection of £50,000 to help roll out the campaign and encourage more school children to take part.

If successful in their bids, students will have one month in which to commence trading and make a profit from their enterprise. Participants will compete for a place on the Tycoon League Table, by making as high a profit as possible.

Schools taking part in the contest will be given a loan of £1,000 to be allocated to those pupils who have displayed entrepreneurial aspirations. At the close of the competition, the students will repay their original loans to the Tycoon Bank, and remaining profits can be used by the school or donated to local charitable causes.

Schools across England may apply for funding through this scheme, on behalf of their entrepreneurial students.

Speaking about the launch of the second Tycoon in Schools, Peter Jones CBE said:

“Last year’s Tycoon in Schools competition was a huge success, and I am more determined than ever to ensure that enterprise and entrepreneurship remains a key focus of Britain’s education system.

“I was thrilled with how many teams got involved last year and hugely impressed by their enthusiasm throughout the competition – I can’t wait to see the new businesses and young entrepreneurial talent that emerges this year.

“It’s fantastic that Tycoon in Schools has received support from the Department for Business, Innovation and Skills and the competition is set to be even bigger and better this year.”

The deadline for registrations for the 2013 Tycoon in Schools Competition is 5pm on Monday 9 September 2013.

Click here for more details (opens in new window).

Source: tycooninschools.com. 10/06/2013