Topic 17: Business

Kids can experience the joys and pains of being in business right from an early age. It might seem a little corny, but the proverbial Lemonade stand at the front gate is not a dead idea! Of course you might not have a front gate but you can adapt the concept to suit your situation.

If not lemonade, selling fruit or veggies from their own garden is a similar option.

Lower Primary age kids will be happy even if they spend an hour and get to make a couple of sales. At this age don’t take out costs, just let them have the takings.

Investing in Income Producing Assets

Offer to sell something like the washing machine or the dishwasher to your kids using their pocket money to pay for it (for a price that requires an appropriate amount of blood sweat and tears), and then pay them a set amount (maybe 50 cents), every time it is used, so they get to learn the value of saving up to invest in income producing assets. They will soon learn that income producing assets are great because they can get paid for NOT working.

You can also use this exercise to teach them about using finance to speed up the process of becoming an investor. If they are getting tired of waiting to save up for the asset you have offered, lend them a percentage of the money and charge them interest, exactly the same as if they were borrowing from the bank to purchase an investment in the real world.

Ideally you will need to ensure the repayments for the loan you offer them do not consume all of their income. You want them to learn the value of leveraging the use of other people’s money.

Upper High School Years:

  • That they can generate income by solving other people’s problems
  • How to recognise opportunities to solve other people’s problems
  • That being in business makes them less reliant on other people for income
  • That the internet has created the greatest opportunity for people to promote what they do to the rest of the world since the beginning of time  
  • That if they know what their friends are looking at online and they understand why they are looking at it, they will have a better understanding of marketing and how to put the message about what they are offering as a product in front of the people they want to reach
  • The difference between business turnover and profit. Unless more comes in than goes out there is no profit, even if a business turns over $1 million a week!

The difference between being an employee, being self-employed, and being in business employing other people to do the work for you.

Lower Primary School Years:

Suggestions:

Upper Primary School Years:

Suggestions:

Lower High School Years:

Suggestions:

Upper High School Years:

Suggestions:



Contact
1 300 918 450

[email protected]

If you have questions, contact us now.
© 2022 Spending Planners Institute Pty Ltd