As the month of May flies past us, it is a wonderful time to rethink how we are encouraging those we care about by investing in an unconventional way. One of the greatest resources we have is time, and summer break can be a fantastic opportunity to help our kids and grandkids by giving them the experience of starting a “summer business.” One of the best things that my wife and I have ever done was to help our daughters, ages 10 and 7, start a coffee roasting business a few years back. It is nothing elaborate. Think small-batch coffee with a Girl Scouts distribution method…and you are on track! I help them roast small batches of green coffee beans, and then they sell freshly roasted coffee throughout our neighborhood. This whole process has been rewarding for everyone involved. We have noticed their poise, confidence and awareness have increased dramatically because of it!
This whole process has started me thinking that while working a normal job is still a great idea, helping your kids or grandkids start a small business is also another way to invest in their future in a meaningful way. As wealth advisors or financial planners, far too often, we tend to focus only on things like college planning and fail to help clients capture the resources that are right in front of them, namely time and opportunity. While I believe focusing on college is a great thing, I think something simple like a summer business can be a great tool also. Let’s face it: in our current society, there is often a higher emphasis placed on travel sports in the summer than on kids putting their creative energy into summer work. Today, the best film ever produced – The Sandlot – could never have happened because of travel sports!
My personal story is one formed by an incredibly involved Father. The accountability and responsibility that came from working for my dad in our family farming and ranching operation is one of the most essential formations of my life. Those experiences caused me to think, act and plan differently. Work is one of the best ways that I know of to instill enduring principles in those you love. You can tell someone all you want about the importance of something, but when you must actually apply that principle to a real-life situation…magic happens. If you can help your children or grandchildren bring the intellectual exercise of honesty, integrity, dependability, grit etc., to life through a business that you’ve helped them create, you have given them a gift that is not easily discarded or forgotten.
I’d submit to you that there is a shift that happens to someone after they start or run a business. A side effect is that you are constantly seeing opportunities and creating solutions in your head. Summer is the perfect opportunity to challenge those you love with a rewarding opportunity. In fact, ask them if they have ideas on what to start! If you are like me, sometimes a list of other ideas gets you started down the creative path. So, without further delay, here are a few ideas I’ve seen out and about that can give you a creative head start.
Vehicle Detailing Business
One of the first ideas that comes to mind is a vehicle detailing business. You can go door to door within your neighborhood or arrange with a business to use their parking lot. This idea has incredibly low startup investment costs, and your kids can recruit their friends if demand dictates that.
Trash Can Cleaning
Another great idea that I saw a time back from a group of high school-age kids is creating a “Trash Can Cleaning Business.” We have all noticed our outdoor trashcans and wished they smelled better or tried washing them out etc. It was an incredible business because it taught kids the power of being in an industry where there is little to no competition! The group I mentioned above was selling it as a service package and a recurring revenue model. This is a business that can be arranged around your schedule on nights, weekends etc., and that can go year-round!
Organization and Re-Sale Business
The other idea that comes to mind is helping people organize their hard-to-organize spaces and then re-sell the stuff that they want to throw out or give away! Create a business that helps people organize garages and storage rooms at an hourly rate if they will, in turn, sign over all the stuff they want to get rid of. Then, re-sell those items at a profit. Sometimes, people need a little extra nudge to organize their lives, and also, they just want to part ways responsibly with their stuff. And I think there is a market out there for enterprising junior high and high school-age kids to come and help people organize those areas of life that they know need to be organized. I especially like how this idea helps kids understand the true market value of items being brand new vs. used and figuring out a resale value.
Smart Home Technology Consulting Business
I’ll give Mark Cuban the credit for this idea, but another great option out there is helping people out by ensuring all their smart devices are connected and working cohesively. Trust me…there is a market for it! Think of this as a consultant and technician of sorts to go within your neighborhood and make sure that everyone’s smart devices are all working together as intended.
Potluck Ideas
Obviously, mowing lawns, walking dogs, and maybe even house sitting or dog sitting is always an attractive option if your kids love pets. But these are just some ideas that come to mind that would allow your children throughout the summer to take ownership of their time and to learn the necessary skills of marketing, selling, hiring, managing a schedule, managing a budget and input costs etc. This can also be a wonderful way to connect with your kids or grandkids, especially if startup costs are required, and you are able to “invest” in their business. I’ve told my own kids that regardless of the idea, I want to be the first investor in their business or idea that they want to take to market. I’ve also let them know that I’m going to be irreparably hurt and offended if I’m not the first person they ask! But I can think of no greater way to have a vote of confidence in your kids or your grandkids than saying: “Hey, if you have a great idea, regardless of your experience, I believe in your capability. I’m betting on you!” Hopefully, this gives you some food for thought and maybe even inspiration for investing in your family. Please share any ideas you come up with and share your results along the way.
Josh Klooz
Associate Private Wealth Advisor
jklooz@thebahnsengroup.com
Trevor Cummings
PWA Group Director, Partner
tcummings@thebahnsengroup.com
