Thursday, February 14, 2013

Becoming an Entrepreneur

Josh (8y) has this thing he wants to buy, and he doesn't have enough money to buy it. He's been talking about it constantly over the last few days.

I saw it was very important to him, so I said I would help him brainstorm some ways to make money. He decided he would like to sell the slippers he had made a while back, as many people showed an interest in them.

So we talked about pricing. He need...s to charge enough to cover the cost of supplies, the cost of his time, maintenance of the sewing machine, shipping supplies and postage, and a healthy profit margin. We also talked about how many pair he was willing to commit to making. Sure, he could potentially sell 100 pair and have lots of extra cash, but is he actually going to follow through on making all 100 pair? No, he would not. He is committed to making 3 pair, which if sold at $15 each, would give him enough profit to buy that thing he wants.

I am really excited about all the learning opportunities involved in this endeavor.

No comments:

Post a Comment