How To Raise Funds For Your Side Hustle & Improve Your Personal Finances

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Have you ever considered how you'll finance your side hustle? Perhaps you’ve fantasized about opening a business that will earn you money while you’re also working a regular job. Or maybe you’re just craving for a new way to make money that fits with your lifestyle and will allow you to build financial independence. Whatever your reasons, side hustles can be a great way to earn money that is open-ended and flexible.

That makes it perfect for working side by side with a full-time job. So if you have a passion for a particular area and you think you have a good idea for a business, a side hustle can be a great way to turn your idea into a money-making venture. And that’s the case whether you’re looking to make money from investments, an extra income or simply a way to fund your own business. And while you might be thinking of a side hustle as simply a second gig, it can become a real source of income too.

 That’s because side hustles can be a great way to gain experience and build your skillset as well as improve your personal finances. With that in mind, read on to learn how you can raise funds for your side hustle and improve your personal finances at the same time.

 

Side Hustle Fundraising Tips

If you want to raise funds for your side hustle, you’ll need to figure out a way to generate extra income. And you’ll also have to identify the best way to do so. That said, one way to think about side hustles is as a way to supplement your regular income.

However, that’s different to simply dipping into savings or taking a loan to fund your side project. Instead, you’re looking to make additional money that’s outside the normal budget. And that can include doing freelance work, selling products, offering services, creating a course or even blogging or selling e-books.

If you’re looking to raise funds for your side hustle, there are a few fundraising methods you can try. Some of these include crowdfunding, selling your own products and services, and crowdfunding through equity or debt financing. The reviewed choices each has advantages and disadvantages. So, let’s look at the options and the best ways to go about raising funds for your side hustle.

Crowdfunding. It allows you to raise funds from a huge number of people through online platforms. It's a novel approach to raise money for new projects, enterprises, or concepts. It could also be a technique to build a community round your product or service. You can also acquire vital industry information and exposure to new customers by harnessing the benefits of the internet community.

By utilizing platforms for crowdfunding which typically are websites, you will be able to interface with the public in the fundraising activity. The platform provider will charge you a fee is the fundraising is successful.

P2P Crowdfunding. In this type of crowdfunding, the populace contributes funds to your business with the expectation that it will be refunded with interest. It's comparable to regular bank lending, only you're borrowing from a group of investors. The advantages of using this fundraising type include: it’s cost friendly-cheaper than most banking rates, because the process is completed online, it is usually faster and simple and it has extensive coverage. The inherent disadvantage this has is that you may be faced with the payment of additional processing charges.

Crowdfunding Through Equity. This entails the sale of a portion of a company to a group of investors in exchange for money. The concept is comparable to how common shares or venture funding is acquired and traded on a securities exchange. Again, a major advantage here is that you can raise a large amount of money. Conversely, the disadvantage is that it does not find investors for you and in addition to this you may be confronted with scammers risk.

Involve Friends and Family Members in your fundraising strategy. This could be a really low cost means of raising money for your side hustle. Some friends and family members may make money available to you totally free of interest and charges.

Go for a Credit Facility. In the past, the traditional financial institutions were the only available means of obtaining loan financing for propelling a business off to a ground start. This in recent times have changed enormously. There is a plethora of  financial tech companies and banks that offer varying degrees of funding to new businesses. In Nigeria, for instance, fintech companies like Fairmoney, Palmcredit, Reinmoney, Kuda bank and QuickCheck offer these services. And the good thing is that the bureaucracy of paperwork are no more existing. Your application process is made quickly through the deployment of technology and tech devices.

 

Side Hustle Ideas

One thing to keep in mind when thinking about how to fund your side hustle is that you don’t want to raise funds for your hypothetical venture. Instead, you should be thinking about how you can generate funds for your idea. And that means that you need to come up with an idea that can be sold or turned into a product. So, if you have an interesting idea for a business, you need to figure out the best way to turn it into a profitable venture. And that could include creating a product or service, offering an online course, or starting an online or offline business.

You could look into the below itemized passive income generating ideas for the ideation of your side hustle:

• On Gazelle, you can recycle used old smartphones and devices.

•  With Click Funnels, you can easily create a marketing funnel.

• Float a cleaning and fumigation company

• Make video tutorials for YouTube or a how to blog teachings

• Develop and sell products on Etsy

• Car wash and detailing auto shop

• Activate a food truck business.

 

Boost Your Personal Financial Situation

Having a side hustle can be a great way to improve your personal finances. That’s because a side hustle often offers flexibility, freedom and the chance to earn money from a passion.

And that means that you can work at a regular job and also make extra money from a side hustle. And this is something that can offer a number of benefits. For example, being able to make money from a side hustle can offer you greater freedom to make decisions while you’re still earning income. And that can make you feel more in control of your finances. Even better, a side hustle can offer you the flexibility to take time off to pursue a passion, take care of family commitments or simply pursue an unconventional hobby you’ve always wanted to try.

And all of that is something that can improve your personal finances in a number of ways. But, if you’re looking to raise funds for your side hustle, you can also improve your personal finances by finding funding for your project. That’s because funding your project means that you’ll have control over the amount of funding you receive. And that can mean that you’re more likely to reach your funding goal and get the money you need to get your project off the ground.

Bottom Line

The key to raising finances for your side hustle is to first find out what you want to do and then figure out how to make money from it. That means you'll need to come up with a product or service that you can sell. And that will be determined by your area of interest. Consider how you can transform a good business idea into a profitable firm. You should be able to discover a crowdfunding site on which to conduct a campaign if you want to raise funds for your side hustle haven developed a great idea.

For more insights into How To Raise Funds For Your Side Hustle & Improve Your Personal Finances, check out these resources:

• Create An Effective Side Hustle
• Guide to Starting a Side Hustle

Seven Steps to Managing Your Money and Avoiding Debt

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You might be in debt. Or you might just be getting your hands on your first credit card. Or maybe you’ve got a little debt here and there, but nothing that’s getting you down. Whatever your situation, you face the same challenge: You want to manage your money so that you never get into debt again. But how can you do that? It isn't as difficult as you may believe. With a few simple changes to your spending habits and strategies for getting out of debt, you can manage your money and avoid getting into debt again. Here are seven steps to managing your money and avoiding debt.

Step 1: Track All of Your Money

If you want to know how much money you have, where it’s going, and how much you can safely spend, tracking your spending is a fantastic way to start. If you’ve never tracked your money before, you should get started as soon as possible. There are a lot of online tools to choose from, and many of them are free. Some of the best online tools to help you track your money include: Mint: This web app will help you keep track of your spending, set financial goals, track your progress towards those goals, and even send you alerts as soon as your balance falls below a certain amount. You’ll have to provide your own secure account, but it’s easy to set up. If you have a smartphone, you can also use their app. You might even want to sign up for their premium service, which offers more insights, tools, and security.

Step 2: Keep An Eye Out For impulse Buys

One of the biggest mistakes that people make when they don’t have enough money is to make impulsive purchases. These are things that you want, but you don’t really need. Or you have the money to spend, but you just really want to have it right now. When you don’t have the money to buy something, your urge to buy it is way stronger than it would be if you had the money to buy it. So the trick is to keep an eye out for those kinds of purchases and not make them in the first place. There are a few options for accomplishing this. First, before you make any big purchases, write them down. You can either write them down in a notebook or use the online tool I mentioned above. This will help you remember not to buy the things you wrote down, as well as make it easier for you to track your spending.

Step 3: Be Realistic About How Much You Can Save

You don’t have to have a ton of money saved up to avoid debt, but you do need to have a little bit put away. The truth is that most of us don’t have enough money saved up to cover a massive expense like debt. This is one of the biggest challenges that people face when they want to get out of debt: They don’t have the money to pay off their debt, but they don’t have the funds saved up to cover the debt either. So how do you manage your money so that you never get into debt again without having a ton of cash saved up? The answer is that you need to be realistic about how much you can save. The most important thing is to set a goal. If you want to get out of debt, then your goal should be to have enough money saved up to pay off your debt when you are an adult. If you want to pay off your debt quickly, then you should aim to have enough money saved up to pay for about half of your debt in one year. And if you want to get out of debt even faster, you can aim to have enough money saved up to pay for about one third of your debt in one year. Once you have a goal in mind, it’s easier to plan your money so that you never get into debt again.

Step 4: Set Up A Debt repayment plan

If you’re like most people, you have a plan for how you’ll pay your bills when you get them. But do you have a plan for how you’ll pay for your debt? Some of the best ways to avoid debt and get out of debt quickly include setting up a debt repayment plan. A debt repayment plan is when you put a little bit of money aside every month to pay off your debt. The nice thing about a debt repayment plan is that it’s not difficult to set up at all. You don’t even have to get approval from a third party like a lender. In fact, many credit unions will even let you set up a debt repayment plan without even telling your creditors. It’s easy to set up a debt repayment plan if you just start writing down how much you’ll be saving every time that you incur a new debt. So if you have a credit card debt, put $50 in a savings account every time that you pay that debt. You can track your progress on a debt repayment plan online through sites like Mint.

Step 5: Bump up the savings rate

Once you’ve set up a debt repayment plan and started putting money away to pay off your debt, there’s only one thing left to do: Increase the savings rate. The more money you save, the less debt you’ll have in your lifetime, and the less chance that you’ll ever have to get a credit card again. So the only question is this: Where do you start? The answer is that it really depends on how much debt you currently have. If you have a small amount of debt, the best thing to do is to set a goal to pay off a specific amount of debt by a certain date. For example, if you have $300 of debt, you could set a goal to get rid of $50 of that debt by the end of the year. Or you could set a goal to pay off $200 of your debt by next spring. If you have a larger amount of debt, then it makes more sense to bump up your savings rate a little bit at a time. The best thing to do is to start by setting a goal to save $20 every week. Once you’ve done that for a month, bump up your goal to $30, and so on.

Step 6: Don’t rely on credit cards to save you

One of the most common questions that people ask when they want to get out of debt is whether or not they should use credit cards to help them get out of debt. The answer is that it really depends on your specific situation. If you have a low limit credit card that you only use for emergencies and you pay it off every month, then using that card to save for big purchases makes sense. If, on the other hand, you have a credit card with a $5,000 limit that you’ve been using to make almost all of your purchases, then using that card to save is a bad idea. Instead, you should negotiate a lower interest rate on your credit card and start making payments. The best way to do this is to make a list of everything that you owe on your credit card and call your credit card company. Explain to them that you want to get out of debt, and ask them for a lower interest rate.

 

Step 7: Estimate how long it will take to get out of debt

One of the best ways to manage your money and avoid debt is to estimate how long it will take to get out of debt. This is important because it gives you a deadline to work towards. If you know that you have a year before your debt is due to be paid off, then you have something to look forward to. And by setting a goal to pay off your debt in a certain amount of time, you’ll be more likely to achieve that goal. The best way to get an estimate is to plug your income and your debt amount into a debt repayment calculator. Once you have an estimate, you can go on to the next step which is to make a plan to get out of debt.

Conclusion

Managing your money and avoiding debt isn’t as hard as you might think. It’s a simple process that involves taking small steps to get your financial act together and following a plan of action. In order to win and change the habit of being in uncontrollable debt, you have to be intentional in applying the above stipulated steps. Make it a daily routine to always take a look at your personal finance plan so that you will not veer off track.

 

 

You’re Missing Out: Master These 6 Personal Finance Skills To Live The Good Life

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Whether you’re a total financial newbie or just want to up your game, It's a good idea to learn a few trade secrets. After all, money isn’t the only measure of success. It is imperative to note that an ounce of prevention is worth a pound of cure. That’s why learning to manage your money more effectively is such a valuable skill. The sooner you can build a solid financial foundation, the sooner you can reap the rewards. And the sooner you can put that financial foundation to use in your daily life, the happier you’ll be.

Save As Much As You Can

Monetary savings is always a good idea, and for most people, their primary goal is to save as much as possible. And for good reason! In this day and age, where we’re constantly being reminded that everything is slowly becoming more expensive, it’s essential to put some money away for a rainy day. That’s why the first step to becoming financially secure is to learn how to save as much as possible.

There are a few various approaches you can take. You might strive to save as much money as possible by reducing your spending. Or, You can also go through your monthly budget and see where you can save money. Ideally, you want to aim to save at least 10% of your income. If you can, save more. The more you save, the less you have to worry about when it comes to money in the long run.

Reduce Your Monthly Costs

After you’ve saved as much as possible and have some money set aside in a savings account, the next step is to review your budget and see where you can make some cuts.

One of the best ways to do this is to review your monthly expenses and see if you can eliminate anything. While we all have bills that we need to pay, it’s also important to keep in mind that you don’t need to pay for things that aren’t essential.

Examine your monthly budget carefully to see if there are any gaps or areas where you may save money.. If you rent, for example, attempt to negotiate a cheaper rent or consider moving to a different place. If you own your home, examine if there is anything you can get rid of, such as a piece of furniture you no longer use or an extra cable subscription you don't need.

Grow Your Wealth

One of the best ways to protect your future financial security is to grow your wealth. And the best way to do this is through investment.

Investment doesn’t have to be complex or scary. With a little bit of research, you can learn how to invest in low-risk, high-return stocks and bonds that will help you create wealth over the long term.

There are lots of different ways to invest your money, including investing in your own business. If you have a spare moment, working out a business idea is a great way to turn your money into money.

Protect What You’ve Earned

One of the scariest things about becoming financially secure is the idea of losing your job. And while the risk of this happening is relatively low, it’s still something to be afraid of. After all, if you lose your job, you lose your income, which means you lose your ability to pay your bills.

Making sure that you protect what you’ve earned is essential. The best way to do this is to set up a savings account with a high-interest rate that will help you protect your money from losing its value.

A good savings account will have a high rate of interest so that you are guaranteed to make money even if the market drops.

Secure Your Financial Future

Additionally, make sure that you are taking care of your financial future by making sure that you are putting away a small amount of money each month. This is money that will be used to help pay your bills in the future.

For example, if you are 27 years old and just starting out, you should be putting away at least 3% of your income. If you aren’t, then you are leaving a lot of money on the table.

This is money that could go a long way in helping you take care of expensive health problems, replace stolen or destroyed expensive documents, replace your car if it gets totalled, and a lot more.

Make The Most Of Your Money

The best way to make sure that you make the most of your money is to have control over how you spend it. This means that you have to be very intentional with every single dollar that you earn.

First, decide exactly how much money you want to make. Then, decide how you are going to spend your money each and every single dollar that you earn should be spent on something that will increase your income.

Otherwise, you are simply wasting your money.

 Bottom line

Losing track of your money is like losing your keys - it's a very stressful and potentially costly event. If you want to avoid this, learn the basics of financial management. You'll be glad you did.