How to turn your hobby into a profitable business

Do you have a hobby you enjoy? One you’ve spent so much time doing that you’ve mastered it? If you have a hobby such as cooking, painting, design or traveling, there are many ways to monetize your passion. You might as well get paid for something you would be doing anyway! 

We’re often asked how to make the leap from hobby to business. While it may seem intimidating, this blog will show you that monetizing your hobby is actually a lot easier than you might think. Today there are more opportunities to turn your passion into a stream of income than ever before. 

Picking a hobby to monetize 

To build a hobby out of your business, you should decide on a hobby that you have some expertise in. Have your friends been asking for that banana bread recipe only you can make? Maybe people have already offered to pay you for your creations or services. The first step is determining you are able to create something that there is a demand for. If you love dogs and want to start a dog walking service, for example, is there enough people in your area who need this? You may also want to see if there are any competitors in your space early on and take note of their services, pricing and marketing channels. If you are creating something similar, what can you do to be unique or different? 

At the end of the day you should have the goal of generating a profit, otherwise it will be an expensive hobby!

Pick a platform 

Did you know that you can monetize the skills you have acquired as well as the final product? For example if you have honed your craft as a watercolorist, consider the opportunity to teach and share your skills online. This is a great way to monetize your passion without having to invest in a lot of overhead. Platforms such as Skillshare, Udemy and Teachable are great for creating courses and classes that allow you to share your skills. 

If you are looking to create a product, platforms such as Shopify or Etsy make it easy to create a marketplace to sell your products with payment portals so you don’t have to reinvent the wheel. We also recommend creating your own website, business cards, social media accounts and email marketing list to reach new and existing customers.

Find your customers 

The first step to making money from your hobby is knowing where to find your potential customers. When you’re just starting out, it’s important to build relationships and to go where your customers are. Maybe that looks like a local networking event, craft fairs, farmer’s markets or meetups. If you can build community around your business with others who enjoy your hobby, you will begin to create demand for your offering. You may also want to start organizing your own events and meetups. For example, if you are starting a catering business consider hosting a cooking class or foodie meetup. Once you begin to get customers be sure to ask for reviews on social media, Google and collect testimonials for your website. 

Know your numbers 

Many new entrepreneurs can get off track if they aren’t keeping up with their numbers. You should know the amount of time it takes to create your product or service and acquire each customer. Be sure that your prices include the costs of materials, software and time in addition to the value of your skill set. This will give you a clear idea of how much you need to sell each month to make a profit and meet your sales goals. 

Looking for ways to fund your new venture? Check out the Flourish Media business funding guide here.