Online Entrepreneurs Podcast
Austin Cash H., owner of www.guerillagaragesales.com, built a thriving eBay business to earn spending money. “I wanted a summer job, but no one wanted to hire a 14-year-old,” he says. “My dad was in an investment club and told me that one of the member’s wives had quit her job and was making more selling on eBay. He suggested that I try it, and the rest is history.”
“Teens are keenly aware of the success stories of young adults who made millions on the Internet,” says Kevin B. McDonald, executive vice president of Alvaka Networks and member of the board of directors for Web Wise Kids. “The Internet is going to be a major source of America’s growth and innovation in the next 25 years. This could be the beginning of [your child’s] financial future.”
The Internet provides an enticing new way to earn pocket money—or even launch a multimillion dollar enterprise. Of course, with opportunity comes the possibility of problems—everything from slipping grades to getting involved in illegal activities. But for most kids, an online business can be a positive experience—here’s how to support your teen as he or she begins their venture.
Getting Started
Most teens have no problem dreaming up a business, but execution can be another matter—and you’ll need to play an important role in developing the business plan and running the business. In most states, teens under 18 are unable to launch business entities or enter into enforceable contracts—and most banks won’t allow them to open their own accounts or take out loans.
Eleanor Farrell 03/06/08
Our daughter started a babysitting business online, and she can barely keep up. She had to get other kids to help, which is terrific. I see it’s a lot of responsibility for her, though, so I have mixed feelings. She is only 14, and I didn’t want her burdened with the problems of screening the parents, negotiating the money, working out transportation, etc. so young. But she loves it; she says she wants to own her own business someday. I think the benefits far outweigh the risks of this.
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