Starting a Business as a Teen: Top Tips for Realizing Success as a Young Entrepreneur

In the world of business, age is far from the most important factor. However, most people are of the notion that the most successful entrepreneurs are in that “sweet spot,” if you will, of being between about 21 and 65. While it is true that the average age of entrepreneurs is 45, some of the world’s most successful business people conceived and acted upon their million-dollar ideas when they were in their teens. While there is no guarantee that you will invent the next major social media outlet or find the next tech giant, it doesn’t hurt to stretch your entrepreneurial muscles and bring an idea — any idea! — to life. Whether you simply want to earn extra cash or have the startup itch, there are several tips presented by Lexy the Rap Dad to keep in mind to make the most of your new business endeavour.

The Benefits of Being a Teen Entrepreneur

According to surveys, 61% of teen girls and 54% of teen boys said they have considered starting their own businesses. Of those, 6% of teen boys followed through on their aspirations, compared to just 4% of teen girls. Fear of failure is the number one reason that most young aspiring entrepreneurs do not start their first businesses until about the age of 28.

Though fear of failure is natural and universal of all entrepreneurs — adults and teens alike — there are countless more reasons for you to follow through with your dreams of business ownership despite your young age.

A few top benefits are the opportunities to:

• Set your own schedule
• Develop time management and problem-solving skills
• Get a head start on the communication and presentation front
• Make valuable connections
• Earn more than minimum wage
• Learn how to manage your finances

Most importantly, entrepreneurship gives you an opportunity to express your creativity and live out your passions in a productive and profitable way.

Top Tips for Teen Entrepreneurs

Now that you understand a few of the top benefits of starting a business before you turn 20, it’s time to brush up on tips for success. First and foremost, experts urge teen entrepreneurs to remember that failure is not the end of the world and that you can and should learn from it. Making mistakes as a teen gives you ample time to acknowledge them, learn from them and grow because of them.

Business experts also encourage teens to find a mentor, be ready to face financial challenges, network, and take risks. Before starting, teens should learn their industry inside and out. It is vital for any entrepreneur to set realistic goals and manage one’s time appropriately. Finally, experts stress the importance of not undervaluing products or services, organization, and marketing. 

It also helps teen entrepreneurs to form a proper business structure. In many cases, it is recommended to form a limited liability company, which offers ample protection against certain liabilities and many tax advantages. LLCs are also easy to form. In fact, depending on your state rules, you may be able to use a formation service such as ZenBusiness and avoid hefty lawyer fees in the process.

Starting a business as a teen can prove hugely beneficial to you and your future. With the right guidance, you may also find it to be a profitable endeavour.