What would your future-you have to say to you?
The no-pants guide to spending, saving, and thriving in the real world.
What would your future-you have to say to you?
This post was published a year ago as part of Budgets Are Sexy’s Side Hustle series.
On a chilly February day in 2007, I went with a friend to get a permit to carry a pistol. It was partially on a lark, and partially because a right not exercised is a right lost and I am a strong believer in the right to self-defense.
I spent the morning in an overcrowded classroom and the afternoon on an outdoor shooting range when it was -9 degrees Fahrenheit. I was cold numb, but I had the paperwork I needed. As my friend and I slowly thawed out on the drive home, we looked at each other and said “We can do better than that.”
After picking up teaching certifications from the NRA, the Minnesota Dept of Natural Resources, the Minnesota Association of Defensive Firearms Instructors and finally, the Minnesota Bureau of Criminal Apprehension, we started teaching as Metro Defense Training, LLC.
We’ve been doing this for 3 1/2 years, holding one class per month. In the first two and a half years, we taught about 80 people what they needed to know to legally carry a gun. Last year, it exploded. By March, we had made more money than we made in all of 2009. The rest of the year rocked just as hard. We turned ourselves into one of the top 10 training organizations by volume, among a field of 200 competing agencies.
This isn’t a huge market, and it will never make us rich, but it is bringing us a decent chunk of extra cash. It’s made a huge difference on my debt repayment. I don’t include this money on my budget, so every penny I take as pay goes straight to my debt. This has pushed me two whole years ahead of my debt repayment schedule.
The most important thing we did was to partner with each other. We make a good team. My partner is a natural-born salesman, while I’m an introvert. I couldn’t have built this without him. I am a super-geek, so our technical costs have been nonexistent, aside from a domain and hosting. I’m also a bit obsessive about my passions, so I keep us up to date on any legal issues and developments. He’s working on an MBA and has run small businesses before, giving us valuable knowledge and experience.
We’ve never cut any corners. We give the best possible class we can, no matter what. No extra fees, or sardine-packed students.
We answer questions for our students for years after class. If a student wants a refresher, they can come back for free as often as they’d like.
Word of mouth has been a godsend. The local sheriff–in the most populous county in the state–recommends us when people call. You can’t buy ads like that.
Marketing. If a tree falls falls in the business district, does anyone care? If you run a business, put up some ads or fliers and get the word out. No matter how good your business is, you’ll never make a cent if nobody knows about it.
Scheduling. The nice thing about a business like this is the flexibility. We can run a class whenever we’d like. Unfortunately, we forget to schedule the next class until the end of the current class. We could do better. That still leaves a full month’s notice, but some people have to request time off from work far in advance, or do things like going on vacation.
Absolutely. We found an accessible niche that serves a need in the community. We’ve turned a passion into a healthy side income, without having to devote full-time labor to it. The buy-in cost was low. It only cost about $1000 and a few weekends to get the equipment and make our training presentation.
It has been an excellent learning experience. I’ve learned a lot about running a business, and I’ve become something of an expert on the related laws. It’s led to my involvement with a non-profit, which has put me in contact with a number of lobbyists and politicians. I’m learning more about how our legal system works than you’ll ever learn watching C-Span and sending letters. Even if the business failed, I’d still be ahead of the game when you count the skills and knowledge I’ve acquired.
The most important thing I’ve learned is that, when you are looking for a side-hustle, you should find something you care about and chase that until it turns into money. Not every hobby or interest can turn into a paycheck, but many can. Ultimately, you have to do something you care about and care about what you do.
From a question posted here:
Thank you for all your help in my previous question. After meeting with the agent, I’ve decided on term life insurance over whole life. But I am still not sure how much term life I should buy. Should I buy as much as I could afford or some specific amount?
My answer(edited a bit):
That question is far too open-ended.
Are you married? If yes, are you the primary breadwinner? Do you have children? Investments? Savings?
Here’s my situation:
I am married, with three children. I have the primary income.
We have a mortgage, a car payment, and some consumer debt.
I added up all of the debt as my base level of term life insurance. My family will not be burdened with debt if anything happens to me.
To the base level, I added 5 years of my net income. Without changing a thing, my family will be supported exactly as is for 5 years if I die. They won’t, however, have the same level of expenses, due to the base level of insurance paying off all debt. All of my living expenses also evaporate. For example, there will be one car sold, one less mouth to feed and body to dress, etc.
I figure with the lower expenses and no debt, my insurance will support my family for 10 to 15 years if my wife manages the money right. If she continues to work, it should last almost forever.
How do you figure the “right” amount of life insurance?[ad name=”inlineright”]
I work daily to raise my kids to be more financially responsible than I have been. One of the most difficult pieces has been to explain the benefits of delayed gratification to my children. It’s hard enough, as an adult, to take delayed gratification to heart. For a child? It seems to be almost impossible.
My son wants an XBox 360 Elite. Good for him. He wants to renegotiate the terms of his allowance to get it faster. Currently, every other time he gets an allowance paid out, it goes into his bank account, to be mostly untouched. The other times he can do as he pleases with his money. We are enforcing a 50% long term savings plan. Now, with a medium-term goal in mind, he wants to keep all of his money, and only put gift money into the bank account.
Should we let him tap his bank account for a shiny new bauble? It’s been building for a while, so it’s delayed, right? I don’t think that would accomplish much. Like any other 10-year-old, his interests change often.
Should we let him change the terms of our agreement, speeding a medium-term goal at the expense of his long-term savings? My wife and I haven’t had a chance to discuss this, but my initial reaction is not to allow it. His savings has the potential to turn into a decent car in a few years, if he wants. That would be a car he knows he earned.
Last week, when we were at the store, he asked if he could borrow some money to buy a game. I don’t expect him to carry his money around everywhere, so I would have allowed it, if he would have had the money at home. He didn’t. His plan was to pay me what he did have as soon as we got home, then work his butt off for a few days to earn enough extra to pay it back. I won’t be a credit agency for my kids, so I said no. He was disappointed, but, by the time he had earned the money, he no longer wanted the game. I consider that a win, but I don’t know that he learned any lesson other than “Dad’s a jerk.”
Someday, when his life launch is smooth due to a lack of debt-dependence, he’ll look back on these lessons and smile.
I hope.
Just some quick carnival links today.
What Can Cause Damage to Your Credit? was included in the Totally Money Carnival.
Financial Blogger Conference was included in the Festival of Frugality.
53 Percent was included in the Best of Money Carnival.
Winning the Mortgage Game was in the Totally Money Carnival.
Thank you! If I missed anyone, please let me know.
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You can subscribe by email and get, not only the posts delivered to your inbox, but occasional giveaways and tidbits not available elsewhere.
You can ‘Like’ LRN on Facebook. Facebook gets more use than Google. It can’t hurt to see what you want where you want.
You can follow LRN on Twitter. This comes with some nearly-instant interaction.
You can send me an email, telling me what you liked, what you didn’t like, or what you’d like to see more(or less) of. I promise to reply to any email that isn’t purely spam.
Have a great week!
Live Real, Now was included in four carnivals recently:
Yakezie Carnival – Daytona Edition at Not Made of Money
Totally Money Carnival #56 at Afford Anything
Carnival of Financial Camaraderie #22 at My University Money
Carnival of Financial Planning – Edition #225 at Beating Broke
Yakezie Carnival – Dr. Seuss Lorax Edition at Miss Wallstreet
Canadian Finance Carnival #77 at Canadian Finance Blog
Carnival of Financial Camaraderie #23 at Canadian Finance blog
Thanks to all of the hosts for including my posts.
You can subscribe by RSS and get the posts in your favorite news reader. I prefer Google Reader.
You can subscribe by email and get, not only the posts delivered to your inbox, but occasional giveaways and tidbits not available elsewhere.
You can ‘Like’ LRN on Facebook. Facebook gets more use than Google. It can’t hurt to see what you want where you want.
You can follow LRN on Twitter. This comes with some nearly-instant interaction.
You can send me an email, telling me what you liked, what you didn’t like, or what you’d like to see more(or less) of. I promise to reply to any email that isn’t purely spam.
Have a great week!