Side hustle: one in 25 Aussies have launched a business during the COVID-19 pandemic
One in 25 Aussies are overcoming their COVID-19 cash cuts by starting their own side hustle. But there are important do’s and don’ts to know before starting one.
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Aussies have been using spare time during the coronavirus pandemic to find themselves a side hustle.
Whether the result of boredom, the desire for extra income or the discovery of a new passion while in lockdown, a Dynata survey of more than 1000 people found one in 25 (4 per cent) started a business during this time.
This jumped to one in 16 for Australians aged 25 to 34 (6 per cent).
Side hustle coach Sonia Petersen was not surprised the pandemic encouraged people down this path.
“Since COVID, I have seen so many side hustles come through,” she said.
“(My advice is to) go for it – just make sure it is a passion, not a quick fix in terms of earning big bucks.”
Cogra Bay’s Kieran Berry, 32, took only two weeks to get his fitness equipment business up and running – all while continuing to work full-time in financial services.
He created Spartan Gym Equipment in response to gym closures during the pandemic and the resulting rush on home workout supplies.
“This seemed like a no-brainer for me,” he said. “I started manufacturing and offering products at the same price or lower than imported products.
“The cast iron plates, squat racks and benches, I can manufacture all of that locally and not many people can do that.
“My wife hasn’t enjoyed it because I have been up until 1 or 2am building the website and speaking to engineers and getting designs finalised and talking with powder coaters.”
Mr Berry had been considering starting a business for a while but the idea for Spartan only came about since the pandemic. Already, the business has five employees, including two business partners, a warehouse manager and an assistant to handle emails and phone calls.
Meanwhile, Fran Lylyk, 29, used her pandemic downtime to start a hamper business.
The Kariong resident and mother of one was working in child care four days a week when she was temporarily reduced to three-day weeks amid the COVID-19 disruptions.
“I had the idea of putting together newborn and new mum hampers that include anything from handmade bibs to nursing necklaces, onesies, a beautiful book or luxury things for the mum like bath soaps and salts,” she said. “I lost a little bit of work so had the opportunity to think ‘What else can I do with my time?’
“I’m still in the early stages, but it’s coming together better than I had imagined.”
Research from internet domain registrar GoDaddy found the pandemic had also encouraged business owners to grow their existing businesses and side hustles.
Almost a third (30 per cent) of the 1200 surveyed said they started or grew a business in this period, mostly motivated by boredom during lockdown (48 per cent), the desire to pursue a passion (45 per cent) or goal to make more money (38 per cent).
GoDaddy director of marketing Suz Mitchell said the first step to starting a business was to really know the customer. “(Understand) not just the demographic attributes but also who they are as people – what media do they consume, what does their day and week look like, what are their entertainment and holiday choices?” she said.
The second step was to determine how best to reach those customers.
“Does your business focus on traditional bricks-and-mortar access to the customer or is online important or a combination of both?” she said. “If a component is online, we suggest jumping on and setting up a domain – keep it short, easy to spell and really memorable.
“We recommend to get a ‘.com.au’ domain address because it demonstrates you are an Australian business.”
TOP TIPS FROM SIDE HUSTLE COACH SONIA PETERSEN
● DO start your side hustle because it is your passion and you feel it is a life purpose
● DO ensure your time and energy is well spent – you still need some down time
● DO be honest with your employer – especially if there is a conflict of interest, but also just as a courtesy
● DO make it happen yourself – if you want it to be a full-time business, only you can seek opportunities and network with the right people
● DON’T quit your day job too soon – have a financial succession plan to transition from your job to your side hustle
● DON’T do your side hustle at work – leave emails and phone calls to lunch time or before or after work
●DON’T allow it to distract you in your job, as that is your priority until you leave