Courtesy of Susie Moore
"That's what really turns a hobby into a hustle: that one dollar," says Susie Moore, pictured.
In 2013, Susie Moore left a sales job where she was earning $500,000 a year at age 30 in order to start her own business after building up her company on the side to the point where she was earning up to $4,000 a month.Now, she encourages others to pursue entrepreneurship through Side Hustle Academy.
Moore says one of the most common mistakes she sees among entrepreneurs who are just starting out is a skewed view of the role money will play in their success.
"Sometimes where there's a challenge is there's a misunderstanding of sales versus profit," Moore said in a Facebook Live interview with Business Insider. "You need to have profit clarity in terms of what it is that you're doing, including your time. That's an investment. Even if you're not investing in physical products that you're selling, your time itself is a valuable commodity. It's very important to understand what your product clarity is, how you're going to be making money, and then have an idea of how that is going to scale and be possible for you to continue with it and grow over time."
Often, Moore said, people will start making sales "but they charge too low, they kind of start cheap because they don't feel confident, and then they stay there. And then the side hustle gets tiring, because it really does take your energy, it takes your creativity, and when you don't get the financial support, you just don't feel supported. Then, you're not really in a position to want to continue."
She says that she sees this pattern among many of the women she works with in particular. "We have a lot of problems receiving and challenges receiving and commanding what it is that we're worth," she said. "So it's very important to have an understanding of the type of money you would like to make, especially over time as your business evolves, and to be ok to receive it, and to keep growing it."
And what about figuring out how much you should be charging? Here's Moore:
"It really comes down to the research. Google is everything. You have a personal assistant at your disposal constantly. Whatever you want to do - let's say you want to cook healthy meals in San Francisco - there are already people doing that. So look it up! Understand at least 3-5 people in your space, how they're doing it, how they're packaging it, what you like about it, how you'll add your unique flair, and really just ascertain what's going to work for you based on your resources, your time, your means, and then just pull the trigger.
"People all get caught up and think, 'Oh people are already doing it so the world doesn't need me.' But imagine if every restaurant owner said 'Who needs another sushi bar?' or 'Who needs another Italian pasta place?' The world will always have demand for more and more, and you'll bring your uniqueness to it. So it's very important to understand your market, understand where you're entering, understand the price, understand the types of services and products available, and then understand what will feel right for you."
The most important thing, she said, is simply to start. "People blog for hours, or they take loads of pretty photos, they even invest some money, they take various courses, but never actually take the leap in terms of making something for sale," Moore said. "That's what really turns a hobby into a hustle: that one dollar. The most important thing is to begin and to be open for business."
Watch the full Facebook Live interview:
More from Libby Kane:
- A woman who left her $500,000-a-year job to work for herself says too many entrepreneurs start off thinking about money all wrong
- I'm convinced everyone overlooks the best deal at Trader Joe's - and it isn't food
- A billionaire says an overheated radiator at age 19 changed the way he does business to this day
- A career coach shares her 3 favorite tricks to find more time in the day
- The secret to out-earning your colleagues begins with asking - here's how to effectively do it