Today, we live in a time where most people are either running their side hustle or are planning on starting one. Whichever category you fall under, having a good side hustle is very challenging. To have a successful side hustle, it is crucial to run it like a real business if you wish to enjoy prolonged success and benefits from it. We have seen many side hustlers fail horribly because of some common pitfalls.
Overcomplicating things in your side hustle is one of the many mistakes that side hustlers do. Below, we are going to share a list of some common mistakes that you must keep a check on while running your side hustle (startup business).
1. Scheduling Issue
Since it is a “side” hustle, the most common problem that people face is of finding the time for it. Usually, people tend to overwork and burn out very easily while establishing a side business. This makes you feel less interested and more exhausted. At the same time, we have seen side hustlers ignoring their jobs and giving more time to building a business, thinking they could make more money through it before it’s time. Both these things are wrong. Instead, you must work on your side hustle for a couple of days a week. While planning your schedule make sure you have enough time to rest and unwind. Remember, a side hustle is not a burden but a dream which is there to help you feel more alive ~ not exhausted.
There are many online business ideas which you can choose from for your side hustle. Some of these ideas are listed here in our blog – List of best online business ideas 2022.
2. Lack of research | Do a thorough research while setting up your side hustle!
A lack of research before starting your side gig can turn into a blunder very easily. We have seen many people making wrong choices because of unawareness. There are many businesses, apps, companies, and people who are ready to take advantage of people looking to make extra income. Screening your options and doing proper research before investing in any side hustle is of paramount importance. Before engaging with any company or business, it is wise to check their rankings on the Better business bureau and TrustPilot and see if there is any lawsuit filed against them at ClassAction.org.
Note: Most successful companies that pay well for a side gig, required no startup business cost.
3. Personal and business finance management
Managing finances while running a side hustle can become a challenge. Since through side hustle you wish to create extra income, keeping it separate from your personal finances can help analyze its performance. The very first thing you should do while setting up a side business is – create a separate bank account for it. Both expenses and revenue coming from side gigs must be managed through that particular account only. Luckily, there are many software in the market which can help you manage your business finances. Paci.ai is one of that software. The best thing about this tool is that it is free and is dedicatedly designed for startups and SMBs.
4. Money & tax management while setting up your side hustle!
Managing your taxes is one of the biggest challenges for anyone working on a side hustle. The best way to manage your taxes is to keep aside the tax amount from every invoice. This way you will not be pressured at the time of paying taxes.
5. No business credit card
For everyone who is running a side hustle, having a business credit card is quite important. The benefits of using a credit card are that you can easily track your expenses and earn some exciting cashback and travel rewards. One thing to keep in mind here is to make sure that you keep personal and business expenses separate.
These are some very common issues that have led many side hustles to failure. While you are working on building your side hustle, it is totally normal to go through different pitfalls. Here, in this blog, we have shared a list of some common mistakes that most people make while running a side hustle. Along with the mistakes, we have also provided tips to avoid them. We hope you find this article helpful.